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Jack McClendon

๐Ÿ‘ค Speaker
368 total appearances

Appearances Over Time

Podcast Appearances

Odd Lots
Jack McClendon on Why It's So Hard to Create a New American Oil Boom

I'm an imperfect narrator for that as well, too, because I will admit that I have not watched the show maybe as religiously as other people that have watched it.

Odd Lots
Jack McClendon on Why It's So Hard to Create a New American Oil Boom

You know, as, as, as I said, I, my, my wife watched two episodes with me and she said, this is ridiculous.

Odd Lots
Jack McClendon on Why It's So Hard to Create a New American Oil Boom

Okay.

Odd Lots
Jack McClendon on Why It's So Hard to Create a New American Oil Boom

Okay.

Odd Lots
Jack McClendon on Why It's So Hard to Create a New American Oil Boom

Well, there you go.

Odd Lots
Jack McClendon on Why It's So Hard to Create a New American Oil Boom

So, so maybe, maybe that's, maybe I'll just leave it at that.

Odd Lots
Jack McClendon on Why It's So Hard to Create a New American Oil Boom

Yeah, no, sure.

Odd Lots
Jack McClendon on Why It's So Hard to Create a New American Oil Boom

I'm happy to do that.

Odd Lots
Jack McClendon on Why It's So Hard to Create a New American Oil Boom

And, you know, I won't tell you anything that you guys maybe haven't already heard, but costs in general, you know, our costs are kind of allocated into two buckets, right?

Odd Lots
Jack McClendon on Why It's So Hard to Create a New American Oil Boom

You have your operating expenses, which are kind of fixed and variable costs.

Odd Lots
Jack McClendon on Why It's So Hard to Create a New American Oil Boom

Those are the day-to-day costs to run a business, whether that's paying your people who are actually out in the field, you know, the cost of chemicals to treat your wells, the prices you pay for electricity to power your wells.

Odd Lots
Jack McClendon on Why It's So Hard to Create a New American Oil Boom

And then you have your capital costs, which are, you know,

Odd Lots
Jack McClendon on Why It's So Hard to Create a New American Oil Boom

largely tangible and intangible goods, right?

Odd Lots
Jack McClendon on Why It's So Hard to Create a New American Oil Boom

So the day rate of cost to drill, the amount you pay to drill a well, the amount you actually pay for the physical tools and equipment that actually go into a well, that's steel and metal and other human labor.

Odd Lots
Jack McClendon on Why It's So Hard to Create a New American Oil Boom

What I will tell you is since COVID, and this is, as I said, not unique to us, is costs have gone up.

Odd Lots
Jack McClendon on Why It's So Hard to Create a New American Oil Boom

Personnel costs are up and

Odd Lots
Jack McClendon on Why It's So Hard to Create a New American Oil Boom

And back in the day in COVID, salaries went up across the board.

Odd Lots
Jack McClendon on Why It's So Hard to Create a New American Oil Boom

And you know as well as I do, once you raise salaries, it's very hard to get those back down.

Odd Lots
Jack McClendon on Why It's So Hard to Create a New American Oil Boom

Chemical costs have gone up.

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Jack McClendon on Why It's So Hard to Create a New American Oil Boom

Utility costs have gone up.