[quote]PGA200X wrote:
How more blatently obvious does it have to get? With all of the “broken pipes” that needed to be repaired after Katrina how the fuck would an oil company show record profits when it had all of these “repairs” to perform? Its fucking ridiculous.
[/quote]
Not all of the broken pipes, platforms and refineries belonged to one company.
Their loss, our gain. They couldn’t make it, we could and we did at higher sale prices. Plus the damaged platforms produce mainly sweet crude and the Exxon, Motiva (Convent Refinery), Valero, and Marathon refineries run on sour crude (Arabian).
Vehicle depreciation, maintenance, and insurance combined are more costly than gas.
[quote]blitzkrg wrote:
there is plenty of oil in the world…
nobody will run out…
[/quote]
The problem is not supply but ease of access which has a huge effect on cost.
[quote]B rocK wrote:
Just give it some more time and we’ll have more E85 cars out there and soon after that…HYDROGEN![/quote]
Hydrogen is not feasible.
They currently make hydrogen from natural gas which is at least 3 time cheaper than any other method.
Do you see any problems with that?
There are no alternative fuels. We will be forced to conserve as prices increase.
This was already discussed to death in an earlier thread.
Oil is spiking. It will stabilize long term somewhere between $40-50/bbl. It is now economic to pump the more difficult fields. At $45 or more you will actually have a glut once the capacity fully comes online. Big oil waited until they thought the price would stabilize. They didn’t want a repeat of the late 80’s and early 90’s. A bonus is the fact that these reserves are coming online in stable parts of the world such as the US, Canada and Mexico. The Middle East fucknuts better take note. If they rely on Chinese growth they will be left holding the bag when the Chinese economy slows and eventually stabilizes.
Proven oil reserves are based on a complicated formula that is based on 1960’s technology. It’s actually the SEC that will not let the oil companies publish their true reserves. Technology has come leaps and bounds since the 60’s. Oil will not run out for at least 70 years assuming NO further technology is devleoped. Big mistake to think that way. Nobody in the industry is that foolish.
US capacity to produce is contrained by onerous environmental regulations and refining capacity right now. Both will begin to fade.
Good call on Valero. It’s still got room to grow and they have been aggressive in securing refining capacity. The big moves in Oil are probably in the past, at least for this cycle. Some of the board vets may remember the discussion a year or so ago around the time Katrina hit regarding buying Exxon (oil stocks)as a hedge?
The Iranian bourse I predict will be a bust. A trading center has to be built on trust and reliability. That’s why the real ones are all located in first world nations. Laws that protect property must be in place. Iran, no matter how much they bluster, simply does not fill the bill. In the end the Iranian problem will also go away. Too much of a threat to exist as is and way to weak to stand up to the US or a US led alliance.
[quote]pkradgreek wrote:
and all the foreigners who say that americans need to stop complaining should remeber that we produce our own oil so therefore we deserve to have cheaper prices. It’s the foreign governments that levy taxes on their societies. laters pk[/quote]
Try to understand where we’re coming from. Despite producing oil, america is still the largest importer in the world. And it sounds so absurd to complain about 3$ pr gallon. Never in my lifetime have I ever seen so cheap gas. Current gas prize here is 2$/l or 7.6$/gallon.
… and norway is the 3rd largest oil exporter in the world.
But in America we don’t have a choice but to buy gas unlike many European nations. Here cars are not luxuries they are necesseties. We’re captive customers that must buy gas.
[quote]Imbrondir wrote:
pkradgreek wrote:
and all the foreigners who say that americans need to stop complaining should remeber that we produce our own oil so therefore we deserve to have cheaper prices. It’s the foreign governments that levy taxes on their societies. laters pk
Try to understand where we’re coming from. Despite producing oil, america is still the largest importer in the world. And it sounds so absurd to complain about 3$ pr gallon. Never in my lifetime have I ever seen so cheap gas. Current gas prize here is 2$/l or 7.6$/gallon.
… and norway is the 3rd largest oil exporter in the world.[/quote]
So? It’s your own government taxing the hell out of you, isn’t it?