Comments about ‘Beneath the surface: Hard times, high hopes meet in Uintah Basin’
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That picture is of a workover rig, not a rotary drilling rig. Yes, this area is boom and bust, but this one happened overnight, as has been mentioned in the article. And not everyone worked in the oil patch. We haven't made the "big money" that was being made by many, so there was not enough income to be able to save for the down time. My hours have been cut in half this year. I will not even reach $10,000 for my whole year's income. One son has lost his car, another daughter is about to, because they can't find any work. Neither worked in the oil fields, but the downturn has affected the jobs they did have. True, the Basin needs to diversify, but one problem with that is lack of railway or freeway being close at hand to transport any goods that might be manufactured here. The Federal Govt. is sitting on $100 million in paid-for drilling leases, and that money would very much help our schools, public works, and employment situation if they were released. It's foolish to purchase oil and natural gas from foreign countries. It's available here.
Like previous booms, when the going is good, everyone is just grabbing money hand over fist. Young kids were buying huge homes as their first home. Everyone had to have an ATV, a trailer, a truck. And more. There just wasn't any attempt to save money.
Now, we've got so many new hotels coming in, it will be interesting to see how many can remain. It will be another 18 months or so before the Dinosaur Monument visitor center opens. So, times will probably be hard for a while.
It is just too expensive to drill here and natural gas is so cheap that it doesn't make sense to go after those leases. But that could change someday. I just don't expect it to do so for a while.
This was a story that definitely needed to be shared. I would imagine similar stories are happening all across the country in different towns and cities. Reading this makes my heart sad for all of these people and the circumstances that have spiralled out of control as a result of what's happening.
Governor Bangerter's economic development director visited the Basin during a similar time in the 1980s when another energy bust had occurred. It was a sad time as mothers stood crying and begged the state for help. Local elected officials said that they would never be caught in the same situation again because when the good times once again came they would invest in developing alternative employment options. They were absolutely correct. An energy based economy will always run in cycles. It is critical that the economy become more diversified so that, when the bust comes, the community doesn't suffer as much. Unfortunately, those elected officials are long gone. When the boom once again came, the entire focus of the Basin was on developing infrastructure to support the industry and fighting for more leases. I support efforts to help the Basin recover, but would like to see a portion of the mineral lease funds collected during the good times either invested in developing other sources of income or put into a fund to help the area when the cycle once again turns sour.
The Basin is bigger and stronger this time around to handle the boom bust cycle. New buildings, businesses, housing and education facilities will help move us into new opportunities.
Come see for yourself. There are some good hotel rooms available and places to eat and play.
Drill here Drill now. Want 4.50 a gallon It will happen soon.
I took my family on a fishing safari through the basin a couple of years back. It is a challange to fish every good piece of water in the basin and we had a great time giving it a go. We had different species of fish for dinner every night, and it is definately on the list of things to do again. It still shines as one of my favorite trips.
Drilling in the Basin is for Natural Gas, mainly. Natural gas prices are too low to make drilling profitable and the pipelines are limited enough that any new wells can't get the natural gas to market anyway.
I'm amazed at all of the new motels in town - who would think we need two Motel 6s? It will be interesting to see if how many of these motels are out of business within a year, maybe two. The new visitor center at the Dinosaur monument needs to open as soon as possible, to give us some respite.
I lived through the bust in the 80s and people were more realistic--they put money into savings and the market for houses was not ridiculously priced for the area. This time in the boom "The Basin" was right--you had kids dropping out of high school to 45 year olds going crazy with the $100,000 plus incomes they had. In some ways it's sad because many of the people heading toward bankruptcy are young and did not know how to manage the money--on the other hand, who needs 4 four jet skis?
The city failed Vernal--they let the state take the revenue and did not go after the oil and natural gas companies for more support for the town. The city used revenue from oil leases to fund the rec center--why not put that money into infrastructure and schools, and go after one of the companies for a couple million to build the center (that's chump change for what they were pulling in).
Vernal is an example of America failing greatly--skyrocketing house costs, poorly planned infrastructure to handle a boom that big (one road that goes through the town).
Having lived in Vernal for the past 15 years, I've seen the good times and the bad. During this past boom, we have seen home values triple, the crime rate double and young people graduate from high school and not be able to find an affordable place to live, other than at home with mom and dad. (So much for growing up and moving out on your own.)
We will recover from this, with our collective heads held high.
For the Basin but that is what happens when you put the majority of the economic eggs into one basket. Some were wise, others weren't and now they pay the price. That doesn't mean we don't feel sorry for them. The other problem they are facing is back east in places like Tenn., KY etc those states have opened up Natural Gas pipelines from their own sources in the state and that is far cheaper to get and deliver then gas from out west. Diversification is the key combined with some jobs that require more than a high school degree.
Some place the blame on the govt, such as a new president who they don't like, because it's easier that accepting that their mentality is responsible for the bust. The main reason is speculation. It's what drove home prices nationwide to unreasonable levels.
Now, a recent national headline states that there is no floor to natural gas prices, it just hit it's lowest in 7 years. The reason is simple economics, supply and demand. All of the supplies are full and overflowing and demand decreases.
Why would any area continue to want to pursue this type of business as their mainstay? Maybe it's because uneducated roughnecks could get 6 figure incomes. Well, as time will show, that was too good to be true. There are new educational opportunities available to those in the basin, if they will just realize that it is better for their future than fighting to survive in the gas/oil field.
the environmental wackos don't have a hand in this. There is so much expensive red tape to go through before you can drill, no wonder it's not cost effective. Environmentalists are control freaks and they don't care who they hurt in the process.
I see this same story repeating in a few years over "green jobs'.
no everybody that works in the patch is uneducated roughnecks... of course thats coming from someone who has no idea of what goes on in an oil/gas field. and all of us would love to go to college and get a higher edu. but, when your family has lived here for generations, and this is where you want to die, choices are limited. Maybe Vernal city failed us... maybe not. Its real easy to point fingers at what everyone else did wrong. But over all, everyone knows that it's kind of the nature of the beast. Boom bust boom bust... most of the people that have lived through one or two of them have it figured out and are ok. Its not like we have a terminal illness or anything. People need to remember that if all we had was our health and family... pretty much everything else can get put on the back burner. All you can do is the best you can... and nobody can ask anything more. I just think everyone needs to keep their heads up and quit pointing fingers
I agree Kyle, not everybody who works in the oil patch is an uneducated roughneck. I for one worked in the oil patch since I moved out here at the end of 2005. I was laid off in June due to the slow down in drilling. Rumors abound that the drilling is going to pick back up, but who really knows. I am not uneducated. I may not have a BA from a college/university, but I have educated myself through my life experiences. While I haven't found a job yet, I know that, "my God will supply all my need according to his riches in glory of Christ Jesus" (Philippians 4:19). I will follow his will for my life and I won't point fingers at anyone!!!
a lot of the men and women in the oil field actually have degrees but get paid better money to work in the oil field they are NOT uneducated
Yes specualation well who does that. Everyone. As far as the new pres. we are not the only ones that are feeling upset his approval has dropped 11% since election that is the fastest drop of any pres. in 50 years.
As far as supply and demand it is full agreed but we sit on the largest natural gas reserve in the world yet we go to other countries to use theirs.
As far as uneducated roughnecks. Most of these jobs are complicated and take a good mind. Just because they don't have a degree to hang on their wall says nothing. To our way of thinking why not make six figures when you can because you are able to. These people are salt of the earth hard working men and women they work hard everyday. That is what are country is founded on hard work. They don't want to sit behind a desk and push a pencil, they are proud of what they do. So take your "education" and shove it up your ahem. Young adults come here in the summer to work and pay their way through college that makes me want to honk.
We really can't blame Pres. Obama for the slow down in rig activity in Utah. Both he and Salazar told us what they would do if elected, and, unfortunatly, they kept their promise. I may be getting a little rude when I see someone with a "Obama for Pres." sticker on their bumper and thank them for putting me out of work. It's been six months since I've had a job and hopefully things will start picking up.
God bless you Kathy and Richard! Lord knows all you have been through... Things are tough in the construction field as well. I pray you son, Roy, somehow has made a change.
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