• 2 minutes Oil Price Could Fall To $30 If Global Deal Not Extended
  • 5 minutes Middle East on brink: Oil tankers attacked off Oman
  • 8 minutes CNN:America's oil boom will break more records this year. OPEC is stuck in retreat
  • 9 hours Here We Go: New York Lawmakers Pass Aggressive Law To Fight Climate Change
  • 4 hours The Inconvenient Truth Of Electric Cars
  • 1 hour Iran downs US drone. No military response . . Just Completely Destroy their Economy. Can Senator Kerry be tried for aiding enemy ?
  • 3 hours Oil Demand Needs to Halve: Equinor
  • 9 hours Magic of Shale: EXPORTS!! Crude Exporters Navigate Gulf Coast Terminal Constraints
  • 11 hours Ireland To Ban New Petrol And Diesel Vehicles From 2030
  • 11 hours Is $60/Bbl WTI still considered a break even for Shale Oil
  • 6 hours Solar Panels at 26 cents per watt
  • 4 hours The Plastics Problem
  • 12 hours Wonders of Shale - Gas, bringing investments and jobs to the US
  • 12 hours NATO Article 5: Attack on one member is attack on all. Members all must come to defense . . . NOT facilitate financial transactions to circumvent and foil US Sanctions. Somebody please tell Angela.
  • 5 hours Huge UK Gas Discovery
  • 8 hours Hydrogen FTW... Some Day
  • 7 hours Section 232 Uranium
  • 5 hours Green vs. Coal: Bavaria Seeks Fast-Track German Coal Exit in Snub to Merkel Plan
Alt Text

Small Crude Build Sends Oil Lower

Oil prices continued to fall…

Alt Text

Bullish EIA Data Pushes Oil Prices Higher

After two consecutive weeks of…

David Messler

David Messler

Mr. Messler is an oilfield veteran, recently retired from a major service company. During his thirty-eight year career he worked on six-continents in field and…

More Info

Premium Content

This Oilfield Service Player Is Looking To Make A Comeback

Introduction

The collapse of deepwater drilling in the Gulf of Mexico, (GoM) beginning in 2014, with no real recovery yet in sight, has spread a lot of misery around the oilfield. Nowhere is that more evident than in the fortunes of Carbo Ceramics, NYSE: CRR. A former oilfield high flyer, Carbo, whose stock crested in 2014 at $154.30 per share, now trades under $2.00 per share.

Yahoo Financial

Their legacy is that of the provision of high technology of crush-resistant ceramic beads used to prop open fractures created in oil and gas formations by hydraulic fracking. This is referred to in the industry as “stimulation”, and is the process by which oil and gas flow is enabled from tight rock formations. The deepwater jobs in the GoM sometimes used as much as a million pounds of the stuff at a time. As in all booms, the industry players lost sight of the general up and down nature of the oil markets historically, and when the bust hit were stuck with too much inventory, and a bloated manufacturing structure. A situation that described Carbo to a T.

The question now before us is, does Carbo have a long term upside that might make a patient investor some money? Or are they a value trap, slated to slide to zero?

The problem with ceramics in the “low cost” oilfield

The onshore oilfield expansion in the shale plays has sucked most of the “oxygen” out of oil company investment coffers in recent times. The…


Leave a comment
  • DouglasBucklang on May 27 2019 said:
    I am confused. Apparently this firm, located in the US, was heavily involved with the manufacturing of proppant. I assume that their product was not specifically designed for offshore applications.
    With the supposedly robust shale oil industry booming in the States and the amount of hydraulic fracturing required to keep that industry viable (and therefore a booming market for proppant), how did they manage to go belly up?

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News