Welcome to the Fossil Oil Company Blog for news of interest to our clients and the oil and gas investment industry.
Houston, TX — 12/1/2014 —Fossil Oil Company addresses the concern regarding the recent drop in oil prices of more than 30% over the last six months. Today’s investors want to know how low prices can go before oil projects, such as the current Fossil Oil Joint Ventures, will no longer be profitable. Fossil Management and its Consulting Engineers have reviewed our year-end Joint Ventures to answer this important question regarding the breakeven oil prices.
First, one of the primary causes of this sudden price decline relates to substantial oil production from the unconventional shale plays such as the Bakken in North Dakota, the Eagle Ford in South Texas, Wolfcamp in the Permian Basin (Midland/Odesa, Texas), Niobrara in Colorado, Marcellus in Pennsylvania, and the Utica in Ohio and New York. Most of these shale plays have a breakeven cost ranging from $80 down to $50 per barrel. The major oil companies who dominate the drilling in these shale plays indicate that a significant drop in drilling activity will take place during 2015, as their drilling rig leases expire. Continue reading →
For Immediate Release
October 14, 2014
Houston, TX — October 14, 2014 — With the year-end fast approaching, many investors are looking for the best possible oil and gas investment opportunities.Fossil Oil Company, LLC offers some of the most lucrative oil and gas investment opportunities available with significant 2014 Tax Write-Off benefits.
There are many kinds of oil and gas investment vehicles, all of which involve a degree of risk/reward and the management of that risk. Among these are stocks, bonds, and options in oil and gas companies; commodity contracts in oil and gas activities, and limited partnerships.
In all of these vehicles, the investor is dependent on the overall success of the group or company, rather than the production of the well in which he or she is investing. Continue reading →
For Immediate Release
Fossil Oil Company Makes New Oil Well Discovery in Lincoln County, MS!
Houston, TX — 10/1/2014 —Fossil Oil Company announced that they have successfully drilled to a total depth of 10,700’ and tested the T. L. Smith # 1 Well in Lincoln County, Mississippi.
This deep Lower Tuscaloosa Denkman Sand was drilled by D & D Drilling Company of Ferriday, Louisiana and was logged by Schlumberger Wireline Services. Currently, the Operator, Reynolds E & P of Shreveport, Louisiana is making preparations to clean up the location for the arrival of the completion rig. They will run the Cased Hole Electric Logs, including a Cement Bond Log, run in the hole with a string of production tubing, and then perforate the prospective Denkman Oil Sands.
Fossil Oil’s newest drilling program is the Friendship Church Oil Well JV – II to be drilled in Pike County, Mississippi. This 10,700’ Lower Tuscaloosa Channel Sand is a direct step-out (1,200’) from a new oil discovery drilled by Fossil Oil in 2013. This lower risk oil well is expected to encounter more than 1 million barrels of oil according to Fossil’s Chief Consulting Geophysicist, Kevin B. Hill. It is estimated that it will take 2-3 additional offset wells to drain the projected recoverable oil reserves. This Joint Venture still has a few Investment Units remaining at this time. Continue reading →
FOR IMMEDIATE RELEASE
PRLog (Press Release) – Jun. 24, 2014 – HOUSTON — President of Fossil Oil Company LLC, Dennis R. Kittler, has been awarded the Lifetime Achievement Award.
Fossil Oil Company, LLC is an independent oil and gas investment, exploration and production company, with top management collectively bringing more than 130 years of experience to generating oil and gas drilling investments and managing their operations from drilling through production
Reposted from OilPro.com Forum: 6/23/14
I recently wrote about this, and indeed, speculation on the Iraqi situation drove oil prices about 5-6% higher in a matter of days as the ISIS attacks played out.
To answer your question now, you need to know how bad it is going to get in Iraq. Speculators feed on headlines. If the headlines in Iraq get worse, oil prices get bid up. If the headlines in Iraq get better, oil prices will come down.
This morning, headlines in Iraq are getting better. Reports suggest that Iraqi forces regained control of a key Syria/Jordan border crossing (Al Waleed). It was previously thought that ISIS fighters had seized the borders. Also, the fighting hasn’t spread to the south, where 3/4ths of Iraq oil production lies.
So for now, it looks like the speculators are taking their profits, and that means selling oil which will take the price down. And, in fact, Brent prices are falling this morning (from nine-month highs) as the speculators sell. So to answer your question: for now, no, the speculators are not driving oil prices up anymore on Iraq. But who knows what headlines tomorrow will bring. The beauty in the commodity markets is there is always something to speculate on.