J. R., Founder And President, King Operating Corporation discussed on Jim Bohannon

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Of it Jim Bohannon show you will have a show as our guest is J. R. young and that this is a website J. A. Y. our young while you Angie dot com he is the founder and president of king operating corporation they look for petroleum in the ground and I'm curious as to what's going to happen the gasoline prices let's say all well let's look ahead through let's say up to Labor Day the labor day okay well I will tell you right now I I don't see much movement until the end of the year and I but I know you asked some of its okay if if I think too short a period of time just give me your estimate on whatever time frame works for you twelve okay in the reason why is because there is three hundred less rigs drilling for oil and gas in the United States today normally there's eleven hundred almost twelve hundred rigs that work and drill for oil and gas and they produce a tremendous amount of oil that may produce twenty five to thirty five thousand barrels of oil the first month and now there's three hundred less rings them a run in one a year ago so what you're gonna see is when the scroll bars comes out and everything's gonna settle down which you will and you have a lot less all of the market what's going to happen is you're going to see prices starting to increase labor data into this year I can see seventy five dollars a barrel easy it is not within the distance from the Middle East or anything but just because of that because of the lack of supply on the market our demand stays strong our demand is strong with this corona viruses coming down we'll come back well now does come back yeah yes you are as well as a win win win we we think of the summertime we think of more driving and therefore gas prices go up is that still a safe rule of thumb it is very broad form the right now you're seeing a lot of the demand global demand coming down because of the the crown of bars and things so I don't know if it catches up by that term it could go up by the summertime but if it is it may stabilise go up a little bit but not until the end of this year we see a big a big job all right now one eight six six five oh Jimbo is our number one eight six six Bible five four six two six so I'm curious about the job the impact of of what you do from from shale oil collection the like getting well and obviously to help the country in terms of energy dependence but I'm wondering do you do that and if it if you don't how has that impacted you well I'll tell you that we have are we going to different prospects in their both jail they're both unconventional is most shale breaking the old mark the prospect we have right now it has a conventional and unconventional to it which means basically that you don't need to be doing the big fracking which pricing just because money drawing of ten thousand foot lateral just think of that per se yeah Jim here if you're two miles from start to finish under the ground and your fracking every two hundred feet of fracking or are you are you setting off an explosion that fractures the the rock I'm not too sure would we we toss around the term fracking very glibly especially for talk show host but that doesn't mean we we know what what is actually going on read ME slated the real simple terms so what we do is we put withdrawal well first with the drill bit we may go out to two miles whatever whatever the the prospect calls for let's say two miles long with a drill bit will bring that drill bit out of the ground it will put hi there hi booze is still in the ground okay it's five and a half inch pipe and it's all the way for two miles and then what you do is you go down and you'll perforate this end bracket in stages what that means is you'll put a perforation going down the hole and you'll go all the way out your two miles to the very end annual perforate the pot then you'll put the shots in the pipe safely say shots in the pipe but I don't know what that means it's a small explosion is putting a perforation in that part okay guys raise your your your perforating that pipe was eight shots per foot for two hundred feet so you're you're perforating the pipe for two hundred feet and then what you do is you take water just water and you throw it down though well bore and you'll put it down so fast the little break open the formation there was what I mean by that is is breaking open the form like a baseball bat on the windshield or like like concrete because it is hard is hard rock it is not going to produce a list is broken up and so when you frag what you're doing is you're sending water is you know a hundred miles an hour down the well bore and you're breaking up with that formation that makes sense killing of spider web no no he does again again as I say to me it was just two syllables fracking allegedly tell me a lot but now I know I have a better understanding of it yeah in this union minister to order three yeah and then you'll you'll want to water down your struggle two hundred free and then you'll put a plug their Nicolas sandy and afterwards you put a lot of say in the end because what you want to do is have the essay and open up the pores and straight thank you the pores open and then you put a status is more so the rocker we talking about boards of the pipe wars in Iraq boys on the rock okay yeah because you want it you want to keep it uses this car uses a profit if you will okay now we're coming up on a breaker that doesn't move so we're gonna go back and pick up the the tale of how fracking is accomplished in some of the other questions that come from that with J. R. young back in a moment loading up on things from Walmart yeah I use my new Capital One Walmart rewards card it is unlimited five percent back on everything I buy from Walmart online see what's five percent back five percent what.

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