What is Gas up to by you?

dougie wrote:

Ive noticed that no one in this string has yet hollared "Drill Drill Drill" . I did a search awhile back as I wondered just what...

Ive noticed that no one in this string has yet hollared "Drill Drill Drill" . I did a search awhile back as I wondered just what effect opening anwar and more off shore leases would have on the price we pay at the pump. It would appear that it would have no effect until maybe 2030.

I know that when Bush opened up more offshore drilling the prices did drop and many attibute the drop to the opening of said leases. But others point to the recession and the fact that it was people deciding to drive less that caused the price drop.

Im going with the use less and it will cost less theory. And I believe its the "only" thing you and I can do.

motogeezer wrote:

We're using way less right now than we did a few years ago. Supply and demand doesn't affect oil / gas prices, futures speculation drives the...

We're using way less right now than we did a few years ago.

Supply and demand doesn't affect oil / gas prices, futures speculation drives the market.

We're all being fleeced, like the sheep we are.

"Less than a month after Tillerson's revelations, Gary Gensler, formerly a Goldman Sachs executive and now head of the Commodities Futures Trading Commission, laid the issue out for all to see. As published by McClatchy Newspapers on June 9, 2011, "Gensler cited May 31 data that show end-users accounted for just 12 percent of the 'long' positions in futures contracts for benchmark West Texas Intermediate crude oil. That means that 88 percent of bets on price hikes for oil were held by financial players - mainly Wall Street investment banks and hedge funds that invest for the ultra wealthy - not interests seeking to use the oil."

Read more here: http://www.star-telegram.com/2012/02/27/3765797/oil-the-never-ending-story.html

txmxer wrote:

thief!

KAWboy14 wrote:

i dont care how high it goes.....i am saving $20 a week in taxes this year and am getting free obamacare! oh plus i own a...

i dont care how high it goes.....i am saving $20 a week in taxes this year and am getting free obamacare!



oh plus i own a chevy volt!

SteveS wrote:

The year 2030 is what has been stated by the oil industry as when we could expect our country to be able to use solely our...

The year 2030 is what has been stated by the oil industry as when we could expect our country to be able to use solely our own oil and purchase none from the Middle East or Venezuela or anywhere else, i.e. total energy independence. That is actually an indication of how long it takes to build up the necessary infrastructure and put the oil into production.

And though it's true that with all that oil in production, we'd still not get back to $30 a barrel prices, we certainly wouldn't have to be at $125 or any of the other outrageously inflated prices speculators create at the merest whiff of a rumor of Ahmejinedad scratching his crotch or anything else inane like that.

Detractors and environmentalists also claim that putting more of our own oil into production wouldn't lower prices because the oil companies pay whatever the world market price is. That's bull and everyone knows it. But even if you accept that and don't believe that having domestic companies producing oil domestically and selling it domestically will result in domestic competition and the possibility of oil price stability, consider this: if the US isn't out there buying oil in the Middle East and taking up the largest portion of it, how much competition among the other countries do you think there is going to be for that oil?

Finally, if the domestic oil companies are producing all the oil we need, and especially if they keep the prices up, how much profit do you think they are going to be making? And if the profit is produced domestically, what will the result be? Huge tax payments. Huge lease/royalty payments (oil is mostly in federally controlled land). What will that do to the federal deficit?
How many people will be employed to produce the oil? (estimates a million and a half) And how many indirect jobs will be created (using the Administrations formulas)? (another million).

txmxer wrote:

You aren't entirely wrong...but there's numerous errors in all of this. I won't go through all of it, but here's some key items: [b]The year 2030...

You aren't entirely wrong...but there's numerous errors in all of this. I won't go through all of it, but here's some key items:

The year 2030 is what has been stated by the oil industry as when we could expect our country to be able to use solely our own oil and purchase none from the Middle East or Venezuela or anywhere else, i.e. total energy independence.


Nobody with any credibility has ever said that the US could reach energy independence (politicians don't count). Not even with all of North America considered in the equation does anyone think this could happen.

How much oil is in ANWR?


Detractors and environmentalists also claim that putting more of our own oil into production wouldn't lower prices because the oil companies pay whatever the world market price is. That's bull and everyone knows it.

Base on what? You apparently have no clue how global markets work. Or oil production specifically. It's a race just to keep up production at current levels. For every well that comes on line, there are wells going offline.

domestic companies producing oil domestically and selling it domestically will result in domestic competition and the possibility of oil price stability, consider this: if the US isn't out there buying oil in the Middle East and taking up the largest portion of it, how much competition among the other countries do you think there is going to be for that oil?


Marginal. If there truly was an excess of oil going to market, it would be difficult for speculators to push the price. But with all the money people are making, SA and other countries don't mind turning down the spigot to match global demand to supply to allow the markets to be corrupted to the higher pricing.

Additionally, almost all oil is traded on global markets. Refer to my first post about the lower prices up north. Want to know why? It's because the Keystone pipeline isn't built. They are discounting the oil $30/bbl to sell it locally. Put in the pipeline and it goes to the global market and makes pennies difference in the commodities price. SA and others with easy oil know that what they don't sell today will sell in the near future. They are stupid rich and could not care less about the populace that's starving.

Finally, if the domestic oil companies are producing all the oil we need, and especially if they keep the prices up, how much profit do you think they are going to be making?

1) Are you planning on socializing oil production to insure it's local trade only?
2) If they keep the prices up then your comments above are moot.
3) Yes, if US oil companies profit, it's good for the US economy.
4) We already have an oil and gas boom that is employing tons of people, but really the problem is not enough equipment to meet demand. Probably a great time to be in the oil field equipment business...but, go back 30 years and see all the equipment that sat in fields rusting and you'll know why more people are not scrambling to get in the business.

SteveS wrote:

I found the 2030 date interesting because I literally just read a report yesterday that said if all federal lands were opened to oil production (not...

I found the 2030 date interesting because I literally just read a report yesterday that said if all federal lands were opened to oil production (not including parks) today, the result I stated could happen by 2030--because it would take that long to gear everything up.

As to world prices, how is it that Brent Crude for April Delivery in Europe is $123 today but on the NY Mercantile Exchange Light Sweet Crude is $108? Markets look at each other, but the prices are different.

Your comment about wells going offline when others come on isn't germane to the argument about pumping more oil. Obviously if the goal is to pump more oil, you don't take wells offline.

Your assertion that increased production won't lower prices because somebody else will decrease production to artificially keep prices higher only holds true if production demand outstrips production--or until the holdouts can't stand it any longer and want more money.

Nonetheless, the real change will come when we get back to oil companies producing, buying, selling, refining and distributing oil and refined products to end users. Right now the market is run and dominated by financial houses, not oil producers and buyers. That's what is driving prices insane and that requires re-regulation of the markets to fix.

indy_maico wrote:

Where it was 3.67 yesterday it is 3.85 today