OIL....

[ras1954]

YOU MAY BE ALREADY AWARE OF THIS, BUT WORTH REVIEWING AND SHARING...............

Subject: gas









After you read this, keep in mind that the people in the Middle East are paying 25 cents a gallon of gasoline. And us stupid Americans are going to be paying $5.00 a gallon come the summer of this year. You tell me what's wrong with this picture.



Here's an astonishing read. Important and verifiable information :


About 6 months ago, the writer was watching a news program on oil and one of the Forbes Bros. was the guest. The host said to Forbes, "I am going to ask you a direct question and I would like a direct answer; how much oil does the U.S. have in the ground?" Forbes did not miss a beat, he said, "more than all the Middle East put together." Please read below.




The U. S. Geological Service issued a report in April 2008 that only scientists and oil men knew was coming, but man was it big. It was a revised report (hadn't been updated since 1995) on how much oil was in this area of the western 2/3 of North Dakota, western South Dakota, and extreme eastern Montana ..... check THIS out:


The Bakken is the largest domestic oil discovery since Alaska 's Prudhoe Bay , and has the potential to eliminate all American dependence on foreign oil. The Energy Information Administration (EIA) estimates it at 503 billion barrels. Even if just 10% of the oil is recoverable... at $107 a barrel, we're looking at a resource base worth more than $5...3 trillion.



"When I first briefed legislators on this, you could practically see their jaws hit the floor. They had no idea..." says Terry Johnson, the Montana Legislature's financial analyst.






"This sizable find is now the highest-producing onshore oil field found in the past 56 years," reportsThe Pittsburgh Post Gazette. It's a formation known as the Williston Basin , but is more commonly referred to as the 'Bakken.' It stretches from Northern Montana , through North Dakota and into Canada . For years, U. S. oil exploration has been considered a dead end. Even the 'Big Oil' companies gave up searching for major oil wells decades ago. However, a recent technological breakthrough has opened up the Bakken's massive reserves..... and we now have access of up to 500 billion barrels. And because this is light, sweet oil, those billions of barrels will cost Americans just $16 PER BARREL!




That's enough crude to fully fuel the American economy for 2041 years straight. And if THAT didn't throw you on the floor, then this next one should - because it's from 2006!


U... S. Oil Discovery- Largest Reserve in the World


Stansberry Report Online - 4/20/2006


Hidden 1,000 feet beneath the surface of the Rocky Mountains lies the largest untapped oil reserve in the world. It is more than 2 TRILLION barrels. On August 8, 2005 President Bush mandated its extraction. In three and a half years of high oil prices none has been extracted. With this motherload of oil why are we still fighting over off-shore drilling?


They reported this stunning news: We have more oil inside our borders, than all the other proven reserves on earth.. Here are the official estimates:

- 8-times as much oil as Saudi Arabia


- 18-times as much oil as Iraq
- 21-times as much oil as Kuwait


- 22-times as much oil as Iran


- 500-times as much oil as Yemen


- and it's all right here in the Western United States ..


HOW can this BE? HOW can we NOT BE extracting this? Because the environmentalists and others have blocked all efforts to help America become independent of foreign oil! Again, we are letting a small group of people dictate our lives and our economy.....WHY?

James Bartis, lead researcher with the study says we've got more oil in this very compact area than the entire Middle East -more than 2 TRILLION barrels untapped. That's more than all the proven oil reserves of crude oil in the world today, reports The Denver Post.
Don't think 'OPEC' will drop its price - even with this find? Think again! It's all about the competitive marketplace, - it has to. Think OPEC just might be funding the environmentalists?


Got your attention yet? Now, while you're thinking about it, do this:


Pass this along. If you don't take a little time to do this, then you should stifle yourself the next time you complain about gas prices - by doing NOTHING, you forfeit your right to complain.


Now I just wonder what would happen in this country if every one of you sent this to every one in your address book.

By the way...this is all true. Check it out at the link below!!!
GOOGLE it, or follow this link. It will blow your mind.
http://www.usgs.gov/newsroom/article.asp?ID=1911

 

[Forthewall]

"Even if just 10% of the oil is recoverable... at $107 a barrel, we're looking at a resource base worth more than $5...3 trillion.

And because this is light, sweet oil, those billions of barrels will cost Americans just $16 PER BARREL!

Stansberry Report Online - 4/20/2006"

Does anything else really have to be said?

 

[NeMont]

It is a said day when so few people understand how markets work.

If the world market for oil is $107 bbl and there is a place in the U.S. where the cost of production is $16 bbl, what would the price of the U.S. produced oil be?

If a company risks all the capital expenses of getting oil from way down deep in the ground and invests in the collection, refining, transporting and final deliver of oil and oil by products why would they not sell their product on the world market?

Saudi Arabia and Iran for example do not truly pay 25 cents a gallon. The governments of those countries pay huge subsidies to keep those price low as a way to keep their populations in line.

Doing this would be like asking our farmers to not export wheat to a country that is paying $8 bushel because Americans should only pay $3 a bushel. Farmers would be expected to forgo maximizing their incomes to subsidize the American consumer.

Perhaps it is time for the American consumer to stop consuming so much.

Nemont

 

[202typical]

"Perhaps it is time for the American consumer to stop consuming so much."

That will never happen. Its a cultural thing, it would be like asking the Japanese to stop whaling so much.







"I'll admit it, that's hella funny! Good to see you around 202, I wish you would return on a regular basis there's a lot of bruised low lying fruit on here lately. You should be on here on a regular basis especially since it was your political carpet bombing at the campfire that inspired this forum!"
Thank you Forthewall

 

[Forthewall]

LAST EDITED ON Mar-04-11 AT 07:16PM (MST)[p]The Japanese stopped Whaling.....hahahahahaha...it's true you dumb Texan.

http://www.theage.com.au/environmen...alts-antarctic-whale-hunt-20110216-1awnz.html

 

[JustMuleys]

The Green River Basin is the largest reserve we have. At 750 billion barrels it is substantially larger than the Bakken Shale.
In fact the Bakken is the smallest of the Big 4 reserves in the US at an estimated 3-1/2 billion recoverable..

Infrastructure is the problem, the US, has a 20 million barrel a day appetite. There is currently no way to get that much oil moved across the country to get refined....at this time anyway.
There will have to be miles of right a way bought, Intra-state transport issues, the list goes on and on.

Until, the Goverment makes building refineries and transportation avenues a priority for American oil, and deregulates substantially, it will remain as it is. Right now, with the increases in technology, in shale oil extraction, they are producing a barrel of this shale oil, at about $10-$12 bucks a barrel. But to get 20 million barrels of oil across the US, that is the dilema.

Rocky Mt. Coalbed Methane currently has a similar problem in the fact, that it is somewhat pipe bound and since it has such a large transportation fee deduct, it is not as appealling as gas closer to market. At a Henry Hub market price of say $4 an M, Coalbed Methane will end up paying the producer around $2.80 per M.


Were this infrastructure in place, I believe the price of oil on the world market would be drastically lower, since the US is by far the largest consumer in the world.

 

[440sixpack]

Even if americans used half the oil they do the rest of the industrializing world would soon suck it up. we either find a lot more oil or an alternative to it or we're screwed.

Nemont the farmer was once in the situation where he couldn't sell his wheat because it was held for domestic use. Nixon did it and it cost farmers a fortune. many nations do it, but they give farmers BIG subsidies to offset it.

Oil is another matter, it effects the pocketbook of far more iomportant people than dirt farmers so it will never happen.

 

[NeMont]

440,

I agree, it will never ever come to be that domestically produced oil would not be sold at what the world market sets the price at.

Nemont

 

[eelgrass]

and then there is the issue of the Flat Nosed Bristol Backed Field Mouse. You can't drill within 5 miles of their nests.

Just pay the $5 and get over it.

 

[3blade]

When the price of a barrel of oil hits 200 and you're paying 8 to 10 bucks for a gallon of gas, then they will get with the program and do what needs to be done to bring all that oil to market. Don't expect anything to happen any sooner with the present moratoriums and anti oil, anti business policies in place.

Enjoy the cheap gas while you can.

 

[NeMont]

Because we all the know the oil market has never crashed before and the price of gasoline dropped with the reduced demand. That is never happened before in oil, a boom and bust cycle.


What is interesting is that I had a long discussion with one of the resident Bush haters about how President Bush ran up the price of oil only to benefit his buddies. I wonder why President Obama is letting the price increase and gasoline to rise so quickly? Seems like a president that wants to stimulate the economy would put the brakes on the price of gasoline rather than enrich former President Bush's buddies. Seems odd.

Nemont

 

[3blade]

"I wonder why President Obama is letting the price increase and gasoline to rise so quickly?"

Prices need to necessarily skyrocket to make wind, solar, biofuels, etc, all the stuff that doesn't work competitive with fossil fuels. He said it himself, so I just take him at his word that he could care less about us peasants.

Seriously though, there is no supply problem right now, its fear in the market running up the price.

 

[jimmedup]

also the devalueing of the dollar is killin us.. not drilling in the U.S. etc..

 

[440sixpack]

The dollar value is hurting a little, but I don't understand why it's so high anyway. it's probably going to drop lower.

As has been said there is no supply problem, it's nothing more than market speculation.

Where have the drill baby drill goofballs been? you fall asleep or something? my buddy who runs a crew on the northslope says they've been sitting on their thumbs the last year or so not much drilling going on baby. I's amazing how many people are dumb enough to think the supply is limited by avaliability.

The oil industry is keeping the supply right where they want it.

 

[RELH]

Dude, they may be doing that, but it will be Obama and his fellow democrats that will take the blame and the heat when gas gets to over 4 bucks per gallon and up to the 5 dollar margin.

That is happening now. Just give that price staying in place for about one year and the anger of the working commuting voters will sweep Obama out of office and a lot of his cronies in Congress that failed to support more drilling and using our own oil to keep prices down to a reasonable level.

All those commuting voters will see is the final price line for gas and turn their anger and disatisfaction upon Obama and his policies.

RELH

 

[440sixpack]

Maybe, but Obama is hinting he's open the SOR. when did Bush do that? hell he was buying oil for it during the last spike.

We all know that won't help for long, but what it does do is scare the crap out of the traders who are the cause of this spike in the first place. it could also get producers to up the supply to prevent it. either way it would effect prices for a while anyway.

Go ahead and pray for failure, it's your only hope .

 

[Forthewall]

>Dude, they may be doing that,
>but it will be Obama
>and his fellow democrats that
>will take the blame and
>the heat when gas gets
>to over 4 bucks per
>gallon and up to the
>5 dollar margin.
>
> That is happening now. Just
>give that price staying in
>place for about one year
>and the anger of the
>working commuting voters will sweep
>Obama out of office and
>a lot of his cronies
>in Congress that failed to
>support more drilling and using
>our own oil to keep
>prices down to a reasonable
>level.
>
> All those commuting
>voters will see is the
>final price line for gas
>and turn their anger and
>disatisfaction upon Obama and his
>policies.
>
>
>
>
>
> RELH


There is nothing in this thread that makes any sense other than the obvious cry that your party doesn't have a viable candidate at this stage in the game.

Let's take the hypothetical, today Obama opens all drilling everywhere in the U.S., how would that stop the rise in oil prices tomorrow?

Where is all this oil going to be refined? Oh hmmmm gee didn't think of that? So let's say Obama mandated building 30 Refineries too, how would that stop the rise in oil prices tomorrow?

What is oil trading at today $104 pbl? Until it hits $147.00 pbl like it did under the last guy why be concerned? There is fact and there is fiction, thinking we can drill our way out of an Oil Crash is nothing but fiction.

As for the price of gas, remember the reasoning and correlation between the pbl and price at the pump? Why is the math so different this time? You want to fix this crisis, start by ending Oil Subsidies, modernizing the SPR, axing 3/4's of the staff at the D.O.E., and hang a few folks over at Goldman Sachs.

 

[RELH]

FTW, hang on to your butt, because I will agree with most of what you just said. Go back and reread my post. I said that most voters will blame Obama and the democrats due to them only seeing the final price line on gas they pay for at the pump.

They will not accept the arguments about distrubution problems or refining problems, which you and I know will be blamed on the democrats and their "go green" policies.

I disagree about drilling our way out of a gas crisis. If we start to develope our fields, that along will help drive down the price that is caused by oil speculation. What we need to do is change a few rules and make sure that oil remains for only comsumption in this country and not sold on the open market and regulate the cost per barrel that can be charged for U.S. consumption.

I do not think our politicians are ready yet to piss off the oil companies by doing that for getting the go ahead to drill and pump our fields. I can see the fight for inferring with free market enterprise if it was considered.

RELH

 

[NeMont]

Developing oil fields in the U.S and at the same time regulating the cost per barrel that be charged for U.S. consumption are diametrically opposed forces. Companies who have the capital and equipment to develop fields will develop them where they can maximize profits.

Taking speculation out of the oil market will do very little to contain the costs of oil. Speculators get a bad rap because people think that they are just printing money, which they are not. If you take out speculation it reduces the ability for companies to hedge and removes vast amounts of liqidity from the market. This actually makes the swings in oil prices more pronounced and more disruptive to the overall economy.

Oil is priced in a world market, not in a U.S. market and there is a reason for an "open" market in the oil complex. It leads to more transparency and more efficient delivery and marketing of oil.

Nemont

 

[440sixpack]

The traders have HUGE short term impact, how else can you explain the price of oil going up as much as it has over a fight in a nation that suppplies 1 1/2% of the worlds oil? it hasn't even been effected all the time. the stocks are not that tight and everyone knows it.

Long term the traders make little difference, that comes back to actual supply and demand and the oil companies see to it the supply is tight.

 

[NeMont]

LAST EDITED ON Mar-07-11 AT 02:28PM (MST)[p]Nowhere did I say that traders didn't have an impact. I said taking speculation out of the market will not increase the supply of oil and traders and speculators play an important function.

There is a little more going on than just unrest in Libya. There is unrest in Yemen, Saudi Arabia, Iran and Iraq. There are some pretty big players in the oil producing world. Fear is contagious and there is not a stable currency for the world to flee to so money is flowing into commodities. Oil being just one of them. Too bad the U.S. didn't pursue a stable dollar monetary policy. There would be a flight to the dollar instead of a flight away from it. Canadian dollar is surging again this week.

Imagine if you took traders and the ability to hedge out of the world Wheat market. No ability to hedge, no ability to forward contract or plan. It would lead to more destructive swings in the market and expose producers and consumers to both upside and downside risk with no way to manage those risks.

Same goes for the oil market.


Nemont

 

[CAforkedhorn]

Except that the speculation is more than likely not because of Lybia's unrest as much as it is Saudi Arabia's. Sure Lybia is in turmoil right now but they are small potatoes. If the Saudi's descend into chaos, the price of oil will break records and gas prices will skyrocket further.

I can't wait for summer gas here in Cali. We should hit $5.00 before too long if the markets don't stabilize soon. Soon people will get gas stamps along with their food stamps. I mean seriously, they have to be able to get to the casino somehow right?





Piper, how's your period?

Zigga, don't forget the knee pads!

440Sixpack wants to measure your boners!

 

[440sixpack]

The Saudies have said they will not tolerate protests, they'll treat it as China would and if they do we won't utter a peep.

At this time this is much about nothing, just speculation on what could be and thaty's all it takes.


There has been talk of limiting grain trading to stabilize the markets, they say to protect producers but that's a crock. knee jerk reations by the traders help the grain market by setting false highs and I welcome it. just like the oil companies welcome this garbage we have going on now making a fake market scare.

How much of the 2008 oil price spike was supply and demand and how much was the traders?

 

[3blade]

One of the problems right now is the devaluing of the dollar from QE2. Normally in times of crisis money would flood into the worlds reserve currency, the dollar. If you notice in the current crisis the dollar is actually going down, little by little. No money is flowing into the dollar or it would be going up. Instead its going into hard assets like oil, food stuffs, silver and gold. These are real goods that actually have value these days. The dollar certainly doesn't after an excess 2 trillion now floating around. Even Bernanke himself is buying Canadian bonds and dollars. I wonder what the effects will be when they do QE3? or QE4?

 

[manny53]

St. James 5:4...You have hoarded wealth for the last days, The treasure?s you have accumulated will stand as evidence against you on the day of judgment.

Behold, the wages of the laborers who worked your fields, which you kept back by fraud, are crying out against you, and the cries of the harvesters have reached the ears of the Lord of the Heavenly.

You have lived in luxury and pleasure here on earth. You have fattened yourselves as in a day of slaughter...

 

[440sixpack]

LAST EDITED ON Mar-08-11 AT 11:19AM (MST)[p]Good'ol Manny with the chuch chat.

So you're for higher taxes on the rich and higher pay for mexican farm workers ? you sound like a hippie lib.

 

[manny53]

no I'm for a flat tax, and for people making a profit, just not gouging, speculation is BS and so is supply & demand when were in an economic crunch...

so as the tanker is heading to the pump and price's on the market go up so does the fuel in that tanker when it was purchased for less......its all smoke and mirrors.....

I'm glad I don't understand all the political gibrish going on here sometimes, cause it dilutes reality...