U.S. Oil Services Industry Will Be 'Crushed' Without Cuts, Parsley CEO Says

The transcript discusses the challenges of achieving global oil production cuts amid the COVID-19 pandemic. It highlights the need for cooperation among countries and companies, including OPEC, to address the supply-demand imbalance. The company expresses willingness to adhere to state-mandated cuts and outlines its strategies for reducing production. The discussion also covers the potential economic impact on the U.S. energy sector and the operational challenges of shutting down production.

What is the main challenge in getting oil producers to agree on production cuts?

• Lack of technology

• Diverse interests among producers

• Insufficient demand

• High production costs

What percentage cut is being called for in Texas, and why might it not be enough?

• 20%, due to global market needs

• 40%, due to environmental concerns

• 30%, due to high production costs

• 10%, due to low demand

What could be a long-term consequence if global production cuts are not achieved?

• Increase in renewable energy use

• Increase in domestic jobs

• Exporting jobs to OPEC countries

• Decrease in oil prices

What is the estimated drop in global oil demand due to COVID-19?

• 40-45 million barrels a day

• 30-32 million barrels a day

• 20-25 million barrels a day

• 10-15 million barrels a day

What measure did Secretary Perry suggest to stabilize the oil market?

• Increase in oil exports

• Increase in domestic production

• Reduction in oil prices

• 60 to 90 day pause on imports

What is a challenge for shale producers in reducing production quickly?

• Lack of skilled labor

• High operational costs

• Insufficient technology

• Gradual shutdown process

How can high-pressure wells be managed to reduce production?

• Increase water injection

• Choke back the flow

• Drill additional wells

• Increase pressure