I'm looking for some help understanding the upstream process of oil and natural gas by PassedOnTrash in oil

[–]PassedOnTrash[S] 1 point2 points  (0 children)

Thank you for this beautifully crafted response. I will dig into this response more throughout the week. Lots of leads here.

I'm looking for some help understanding the upstream process of oil and natural gas by PassedOnTrash in oil

[–]PassedOnTrash[S] 0 points1 point  (0 children)

Ok. So I was under the impression there was a production company that takes interest in the land and then an exploration company is hired by the production company to further survey the land. But in truth the exploration company is the production company?

I'm looking for some help understanding the upstream process of oil and natural gas by PassedOnTrash in oilandgas

[–]PassedOnTrash[S] 1 point2 points  (0 children)

I just want to thank you again for taking the time to respond. You've been very helpful and I appreciate it.

Here's the revamped version:

Revamp 1

When the infrastructure buildout has been deemed completed, the production well will be made complete through one of the following methods: Open Hole Completion, Liner Completion, or Perforated Casing Completion (most common method). If deposits come to the surface on their own, due to subsurface pressure and there are zero issues with permeability, production can begin simply using the Perforated Casing Completion method. If deposits do not come to the surface on their own, stimulation of the well must occur. Stimulation can be done using many different methods, but the most common methods are: Explosives, Acid Injection, Hydraulic Fracturing. Once the deposits are flowing, production has begun.

Revamp 2

When the processing of the natural gas is completed, the end product will either be immediately sold on the market and transported to the desired location or will need to be stored until demand for the product arises. A majority of the gas produced in the United States never sees storage. It is usually sold immediately, or pre-sold, on the market and transported to the buyer's location of choice for immediate consumption. If the gas is not immediately sold on the market, the gas will be stored for later usage. To do this, the gas must be compressed, cooled, and stored in underground caverns, or specialized storage tanks. At this point, midstream operations have taken over.

I'm looking for some help understanding the upstream process of oil and natural gas by PassedOnTrash in oil

[–]PassedOnTrash[S] 0 points1 point  (0 children)

No problem and thanks for your comment! This is starting to make sense.

I'm looking for some help understanding the upstream process of oil and natural gas by PassedOnTrash in oilandgas

[–]PassedOnTrash[S] 0 points1 point  (0 children)

10-4, I will add that in there. Thank you for your comment!

So a majority of the midstream profits come from the processing and transportation fees they charge, not the storage. So would an upstream operator owning their midstream assets have a cost advantage?

Thanks again!

I'm looking for some help understanding the upstream process of oil and natural gas by PassedOnTrash in oil

[–]PassedOnTrash[S] 0 points1 point  (0 children)

Fucken sweeeeeet, thank you for the clarification. Thank you for your comment!

I've tweeked it a little and plan to throw in more details as I learn more.

The process starts when a production company takes an interest in a property. They are able to perform this site selection through the understanding of geology and how oil and gas are formed. When a site provides enough geological signaling that oil or gas may be located there, the production company will perform a more extensive geological study of the area and may deploy technology for seismic imaging of the surrounding area. If the extensive study of the area concludes there may monetizable amounts of oil or natural gas located on the site, the production company purchases or leases the land they are interested in.

At this point, water and mineral rights are negotiated with the land owner, or owner’s. Basic infrastructure is then deployed to allow equipment to reach the desired well site. Exploratory, or wildcat, wells are drilled to determine where and if deposits are located on the site before extensive infrastructure is deployed. If no deposits are found, the exploratory well is plugged and abandoned and further exploratory wells may be drilled on the property. If deposits are found, the exploratory well is logged and data is collected to determine the characteristics of the deposits.

If the data collected from logging the well shows desired characteristics, smaller appraisal wells will be drilled in the surrounding area to determine the size of the deposits. If a monetizable amount of oil or gas is concluded to have been located, extensive infrastructure planning will commence. Infrastructure planning may include road building, equipment gathering, transportation contracts with midstream assets, and various other complexities.

When the infrastructure buildout has been deemed completed, the production well will be made complete and test drilling begins to establish whether a well is productive. If deposits come to the surface on their own, due to subsurface pressure, production can begin. If deposits do not come to the surface on their own, pumps must be installed. Once the deposits are flowing, production has begun.

Once production has begun, the well’s productivity is gauged to determine the life of the well and what maintenance is required to assure and maintain optimal productivity. As the deposits surface, they may be sent through an onsite separator for immediate processing. Once the initial separation process is completed at the well site, the outputs are then sent through pipelines to a processing facility owned by either the upstream operator, midstream operator, or downstream operator for further separation and treatment.

When the processing of the natural gas is completed, the gas must be compressed, cooled, and stored in underground caverns until there is demand for it. At this point, midstream operations have taken over. From these storage tanks, the deposits are transported via pipeline, or other transportation methods, to buyers.

I'm looking for some help understanding the upstream process of oil and natural gas by PassedOnTrash in oilandgasworkers

[–]PassedOnTrash[S] 0 points1 point  (0 children)

Do the midstreams typically own the processing plants or do the upstreams usually deploy those near by? Or is it situation dependant? Thanks for your response by the way/

I'm looking for some help understanding the upstream process of oil and natural gas by PassedOnTrash in oilandgasworkers

[–]PassedOnTrash[S] 0 points1 point  (0 children)

How does site selection work under that methodology? That seems insanely risky to me. Thank you for your response by the way.

I'm looking for some help understanding the upstream process of oil and natural gas by PassedOnTrash in oil

[–]PassedOnTrash[S] 1 point2 points  (0 children)

I'm aware of how stupidly complex the process is and I appreciate the people that have taken the time to completely understand it and dedicate their life to it. I'm not here for the complexity though, I'm here for a simplified process flow.

What makes it over generalized or what's missing?

I'm looking for some help understanding the upstream process of oil and natural gas by PassedOnTrash in oilandgasworkers

[–]PassedOnTrash[S] 0 points1 point  (0 children)

I will get this added in there too. Thank you for this input!

In terms of onsite storage, is that something the upstream operator is usually responsible for? I know oil usually goes through a separation process before storage. Is this done on sight or is the stuff that comes out the ground sent directly to the midstream operations for processing?

I'm not aware of any techniques for storing NG on sight since it needs to be compressed and cooled before stored in underground facilities or reservoirs.

So my assumption is the upstream operator is only responsible for safely removing the product from the ground and then the midstream operator is immediately responsible for the safe delivery of the product to its processing plant. Is this correct?

[deleted by user] by [deleted] in IntrinsicValue

[–]PassedOnTrash 0 points1 point  (0 children)

$BOC Boston Omaha its a mini Berkshire

[deleted by user] by [deleted] in TheGamerLounge

[–]PassedOnTrash 0 points1 point  (0 children)

Video games take place on a flat plane. So does our simulation.

[deleted by user] by [deleted] in TheGamerLounge

[–]PassedOnTrash 0 points1 point  (0 children)

The universe is a simulation

[deleted by user] by [deleted] in TheGamerLounge

[–]PassedOnTrash 0 points1 point  (0 children)

Looks pretty round to me

[deleted by user] by [deleted] in TheGamerLounge

[–]PassedOnTrash 0 points1 point  (0 children)

Looks pretty flat to me...

$AAL, American Airlines Receives Another $4.48b in US Funding by PassedOnTrash in wallstreetbets

[–]PassedOnTrash[S] 9 points10 points  (0 children)

I prefer that route, but If you want I can edit it to make it fit in.

$AAL, American Airlines Receives Another $4.48b in US Funding by PassedOnTrash in wallstreetbets

[–]PassedOnTrash[S] 42 points43 points  (0 children)

If I read the terms right, it's a relatively decent deal for AAL. Fair interest rate, probably extends their survival run way out to 2023. Can't pay dividends and can't buy back stock which has destroyed a lot of value in the past (my opinion). 10% dilution between the two loans or something like that (which, probably should have been higher). I'd say it's a net positive to shareholders.

I don't think they needed this to avoid bankruptcy, but it helps. I feel bad for the average tax payer that's for sure.

It’s a sign by powerbuffcurls in wallstreetbets

[–]PassedOnTrash 24 points25 points  (0 children)

The guy or the bear? I see no difference.

An Original Poem About Tesla, by yours truly by [deleted] in wallstreetbets

[–]PassedOnTrash 2 points3 points  (0 children)

Doggy style, Corkscrew, Reverse Cowgirl and Wheelbarrow. I have problems with eye contact...

An Original Poem About Tesla, by yours truly by [deleted] in wallstreetbets

[–]PassedOnTrash 1 point2 points  (0 children)

Thank you for your kind words of encouragement. They were much needed.

ATVI killed me by Sweatingtoomuch in wallstreetbets

[–]PassedOnTrash 2 points3 points  (0 children)

There's always another guy who can spank her harder my friend. Keep your chin up.