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Stock impact report

Oil prices are skyrocketing, but this is why companies won't rush to drill in California [Yahoo! Finance]

Phillips 66 (PSX) 
Last phillips 66 earnings: 5/1 07:00 am Check Earnings Report
Company Research Source: Yahoo! Finance
Oil rigs just south of Taft, Calif., bring up crude oil for Chevron at sunrise on July 22, 2008. (David McNew / Getty Images) If you are an oil producer with wells in California and global oil prices have risen to over $100 a barrel in the last week, are you going to drill new wells? It's a question that touches the lives of hundreds of thousands of Californians who either live near oil wells or receive royalty checks as mineral rights owners. Experts said probably not, given this state's aging fields and the unpredictability of global prices. It's too early for data that will show if companies have ordered more drilling rigs on their fields — known as the rig count — since the U.S. and Israel invaded Iran and sent oil prices soaring. But analysts and producers say only if prices stay above $80 for at least a year do they expect an increase in drilling. "Nobody expects today's high prices to last and we could very likely get back to the low $60 [per barrel] environment we f Show less Read more
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