Oil Prices Near $50 Per Barrel...again

[autofixer]

I just saw a special on (I think) MSNBC as to how the Chinese economy is booming and the demand for oil is exploding in the developing world. The Chinese and Russians may be building a pipeline from the Siberian oil fields, directly to China. It is now estimated that Siberia may have triple the oil reserves they once thought. My point is, the Chinese are starved for oil and they are going to get it. We are competing for a finite supply of crude and politics have little to do with it (With the exception of limiting production due to regulations). Get used to high crude prices, they are here to stay.

 

[goingboeing]

Why Bush Is Dipping Into Oil Reserves
by Christopher Palmeri in Los Angeles and John Carey in Washington | Oct 11 '04
In the midst of a tight Presidential race and with oil prices around $50 per barrel, the Energy Dept. releases crude from the Strategic Petroleum Reserve. Is President George W. Bush pandering for votes while reneging on a promise to save the reserve for true emergencies? Democrats see the hint of a flip-flop. “Under the pressures the White House is seeing, it's not surprising that a chink would appear in the President's armor,â€￾ says Elwood Holstein, a former Energy Dept. and Office of Management & Budget official who now advises the John Kerry campaign on energy issues.

Guess what? The Bush Admin. turned the tap off right after the election! Bush voters have got to be the MOST DISGRACFULL group of stupid Americans in our great nation's history, to have voted this group of back slapping idiots into office. We will continue to pay a heavy price for this god awful mistake. I hope it hits hardest in "RED" America. I predict we will see oil hit $60.00 a bar. before the end of the next 4 years. Saudi Arabia has it's dirty little hands (at the TOP ) involved in running the American government.

[post="203956"][/post]​

Texas and Oklahoma has a LOT CHEAPER gas than CAL-EE-FORN-YA. Ha! Ha!
You have the gall to call the people in the "red" states stupid and you elected ARNOLD governor?

We all have red necks in the red states too and don't even care about the perverted, so called sophisiticated crap that comes from both coasts.

 

[markkus757]

What people are also forgetting is that there has not been any substantial refinery-capacity that has been added for almost 20 - 30 years and yet demand has gone up. Blame the environmentalists for that point. Blaming Bush because he is from Texas and an oil bacjkground is pretty pathetic. Why don't you sue Ray Crock for establishing McDonald's because you're fat? Does anybody know that Mr. Tree Hugger Al Gore has gotten most of his fortune from a company that specializes in Clean Coal production?(Cleaner coal actually)

 

[North by Northwest]

I'm willing to bet that your dislike of the president is unrelated to the oil issue, given the factual inacurracies, insults and baseless accusations in your post.

Bush's overall energy policy has certainly been lacking in substance, but the fact is that with the Strategic Petroleum Reserve, the president has done exactly what he said he would: fill it to its capacity and only tap it in case of a major supply disruption. And that's what the situation was in the Gulf of Mexico.

But the lending of oil from the SPR was finished BEFORE the election. And if Bush was really trying to affect the price of oil (presumably to win votes), he did a lousy job of it. A significant release of SPR oil would have a dramatic effect on crude prices, but, again, Bush stuck to his policy of not using that mechanism to affect market forces.

[post="203960"][/post]​

It doesn't take a genius to figure out why the President (who's Harkin Oil start-up money came from the Kuwaiti Royal family) fills the SPR while the price of oil is it's highest in 30 years. "I'm willing to bet that your dislike of the president is unrelated to the oil issue, given the factual inacurracies, insults and baseless accusations in your post". Is it possilble to separate the two? I think not. The ENTIRE Bush family is so beholden to the Saudi Royal Family that it is laughable. It is even more frightening to think that there are people out there that do not think a man WHO started his FIRST business did not received the capital from an OIL RICH state as a loan( never repaid). A man whose father made his money in OIL. Whose father frequently visits the richest OIL producing state on the planet. The FACTS support otherwise. Drawdown of the Reserve can be authorized by the President in the event or likelihood of a "severe energy supply interruption," to meet U.S. obligations to International Energy Agency allies for emergency oil-sharing, OR in the event of a sharp increase in the price of petroleum that would be likely to have "a major adverse impact" on the economy. Sure haven't seen THAT happen, have we?

* Created in 1975 in a series of salt domes on the Texas and Louisiana Gulf Coast in response to the 1973-74 Arab oil embargo.

* Designated by Congress to be used in response to serious supply interruptions. Limited release of up to 30 million barrels is allowed to avert a supply shortage threat or mitigate the impact of such a shortage.

* Has capacity for as much as 700 million barrels, but currently holds only 571 million barrels, equal to 59 days of oil imports.

* Maximum drawdown is 4.1 million barrels a day.

* Only used once in response to an emergency, ... Interesting how it took the effects of a few storms ( near the election) to activate the SPR and NOT the stoppage of the IRAQI oil fields ( second largest reserves on the planet after Saudi Arabi).

In the days immediately following the Iraqi invasion of Kuwait, the Bush Administration indicated that it would not draw down the SPR in the absence of a physical shortage simply to lower prices. On the other hand, some argued that a perceived shortage does as much and more immediate damage than a real one, and that flooding the market with stockpiled oil to calm markets is a desirable end in itself. From this perspective, the best opportunity to use the SPR during the first months of the crisis was squandered. It became clear during the fall of 1990 that, in a decontrolled market, physical shortages are less likely to occur. Instead, shortages are likely to be expressed in the form of higher prices as purchasers are free to bid as high as they wish to secure scarce supply.

Within hours of the first air strike against Iraq in January 1991, the White House announced that President Bush was authorizing a drawdown of the SPR, (too bad Jr. didn't follow in Dads footsteps on this one) and the IEA activated the plan on January 17. Crude prices plummeted by nearly $10/bbl in the next day's trading, falling below $20/bbl for the first time since the original invasion. The price drop was attributed to optimistic reports about the allied forces crippling of Iraqi air power and the diminished likelihood, despite the outbreak of war, of further jeopardy to world oil supply; the IEA plan and the SPR drawdown did not appear to be needed to help settle markets, and there was some criticism of it. Nonetheless, more than 30 million barrels of SPR oil was put out to bid, and 17.3 million barrels were sold and delivered in early 1991.

The Persian Gulf War was an important learning experience about ways in which the SPR might be deployed to maximize its usefulness in decontrolled markets. Legislation enacted by the 101st Congress, P.L. 101-383, had liberalized drawdown authority for the SPR to allow for its use to prevent minor or regional shortages from escalating into larger ones; an example was the shortages on the West Coast and price jump that followed the Alaskan oil spill. In the 102nd Congress, omnibus energy legislation (H.R. 776, P.L. 102-486)( PRICE ARE HIGHER NOW THAN THEN) broadened the drawdown authority further to include instances where a reduction in supply has brought about a "severe" increase in the price of petroleum "severe" enough to "likely ... cause a major adverse impact on the national economy." Naw...the President doesn't have a vested interest in higher oil prices. It's all out of his contral. The OIL President and ( lets have closed secret ENERGY POLICY meetings) Cheney have our BEST interest at heart. I don't dislike the President...he has done wonders for us, improved our lives immenseley, given us memories that we will never forget....for DECADES.

 

[North by Northwest]

"Texas and Oklahoma has a LOT CHEAPER gas than CAL-EE-FORN-YA. Ha! Ha!
You have the gall to call the people in the "red" states stupid and you elected ARNOLD governor?"
Let's just say we (Californians{learn how to spell the most important state in the Union, your economies combine bout equals Los Angeles County's GDP}) have the GALL and INTELLIGENCE to respect a SELF-MADE man versus someone given everything by DADDY and MOMMY. Poor George he's probbably a nice guy, but he's certainly NO ARNOLD. We're smart enough to know the DIFFERENCE. As far as Texas and Okie having cheaper gas than California...we can afford it. The real irony, the real tragedy of this election is that Middle America, represented by the “Red States“ that voted for George bush, has suffered the worst from Republican politics, including Tx, OK. Their blue collar jobs have been shipped overseas, (Ohio is in the middle of the rust belt after all), and agri-business has destroyed the small farmers. Since they are poorer, they are more dependent on the very Federal subsidies that Bush Inc. intends to cut.

While the “Blue Statesâ€￾ that voted Democratic have benefited from Republican policies. Their incomes have climbed above the national average, they are better educated, and they have lower unemployment rates than Middle America. They are also wealthier, and would have paid higher taxes in a Kerry administration to support programs that benefited their poorer countrymen. The "Red" states that put Mr. Bush in office shall suffer FAR more than the monied, 21 century economies of the "Blue" states. With out displaying braggadacio, we can afford to weather 4 more years of high employment and ecomomic destruction, most 'REd' states cannot. We voted for Mr. Kerry for the betterment of the entire nation.

 

[goingboeing]

"Texas and Oklahoma has a LOT CHEAPER gas than CAL-EE-FORN-YA. Ha! Ha!
You have the gall to call the people in the "red" states stupid and you elected ARNOLD governor?"
Let's just say we (Californians{learn how to spell the most important state in the Union, your economies combine bout equals Los Angeles County's GDP}) have the GALL and INTELLIGENCE to respect a SELF-MADE man versus someone given everything by DADDY and MOMMY. Poor George he's probbably a nice guy, but he's certainly NO ARNOLD. We're smart enough to know the DIFFERENCE. As far as Texas and Okie having cheaper gas than California...we can afford it. The real irony, the real tragedy of this election is that Middle America, represented by the “Red States“ that voted for George bush, has suffered the worst from Republican politics, including Tx, OK. Their blue collar jobs have been shipped overseas, (Ohio is in the middle of the rust belt after all), and agri-business has destroyed the small farmers. Since they are poorer, they are more dependent on the very Federal subsidies that Bush Inc. intends to cut.

While the “Blue Statesâ€￾ that voted Democratic have benefited from Republican policies. Their incomes have climbed above the national average, they are better educated, and they have lower unemployment rates than Middle America. They are also wealthier, and would have paid higher taxes in a Kerry administration to support programs that benefited their poorer countrymen. The "Red" states that put Mr. Bush in office shall suffer FAR more than the monied, 21 century economies of the "Blue" states. With out displaying braggadacio, we can afford to weather 4 more years of high employment and ecomomic destruction, most 'REd' states cannot. We voted for Mr. Kerry for the betterment of the entire nation.

[post="203975"][/post]​

I spelled Cal-EE- Forn-ya the way your liberal governor pronounces it!
California being the most important state is only a figment of your imagination.

Everything is bigger and better in Texas and besides California did not give the world the greatest blues guitarist of all time, Stevie Ray Vaughan.

The last thing the U.S needed was a socialist gun-grabber from Mass and the Democratic party should have learned that lesson from the 1988 election.

HERE'S ONE UP:
The fuel prices adjusted for inflation are as cheap as they ever have been,even at $50 barrel.Fuel is not too expensive the prices are just catching up with inflation and the airline executives are blaming the fuel prices for their FAILED business models.

 

[Pacemaker]

Texas and Oklahoma has a LOT CHEAPER gas than CAL-EE-FORN-YA. Ha! Ha!

Ya, but you have to live there.....be my guest.

71 & CAVU in SoCal today

 

[GeezLouis]

The government of the United States (i.e. the Bush administration, in particular) is partially responsible for the price of oil remaining so high.

[post="203913"][/post]​

What is this guy smoking!!!

 

[AtlanticBeach]

What is this guy smoking!!!

[post="203982"][/post]​

Actually, he is correct.

Approximately 40% of the increase in oil prices is related to the declining value of the dollar to the euro and yen. The other reasons previously mentioned, such as increased industrialization in Asia, decreased domestic refinery capacity, true decreased fleet mileage due to exempt vehicles and different requirements for specific states are also contributory.

 

[North by Northwest]

I spelled Cal-EE- Forn-ya the way your liberal governor pronounces it!
California being the most important state is only a figment of your imagination.

Everything is bigger and better in Texas and besides California did not give the world the greatest blues guitarist of all time, Stevie Ray Vaughan.

The last thing the U.S needed was a socialist gun-grabber from Mass and the Democratic party should have learned that lesson from the 1988 election.

HERE'S ONE UP:
The fuel prices adjusted for inflation are as cheap as they ever have been,even at $50 barrel.Fuel is not too expensive the prices are just catching up with inflation and the airline executives are blaming the fuel prices for their FAILED business models.

[post="203979"][/post]​

"I spelled Cal-EE- Forn-ya the way your liberal governor pronounces it!
California being the most important state is only a figment of your imagination." Being a RED Texan such as yourself, the ability to speak English, understandable to the rest of the nation, should be a primary goal of yours. Furthermore, it should be within your microscopic grasp, that the Californian economy ranks 9th in the WORLD as a stand alone, far LARGER than MANY of your RED states COMBINED. That is a fact, something that may be beyond your grasp. Texas has a lot of wonderful, intelligent people, too bad they were out numbered by those that will probably be voting from the un-employed ranks by the time the next Presidential election rolls around.
"Everything is bigger and better in Texas and besides California did not give the world the greatest blues guitarist of all time, Stevie Ray Vaughan." Only in your little mind. Besides, This statement clarafies your worldly priorities. Tragedy in all it's glory. "Everything is bigger and better in Texas" , including ignorance, poverty, and unemployment.

 

[ual777fan]

Actually, if California were its own country, its GDP would be the 5th or 6th largest in the world. And it is spelled California and pronounced Cal-ifor-nia (according to Websters). Where I lived in the state it was more Cal-i-forn-ya (SoCal-don't strech the i into a Cali(-e); it sounds so stupid).

And that part of the state was hammered economically during Bush's first term as president. There was the manufacturing collaspe, tech burst, massive airline layoffs (UA), and a port strike.

Plus: should I start naming all of the musical and artitistic greats that come from just the north of the state? I think we can beat Stevie Ray Vaughan and Chuck Norris, but I would just be guessing.

 

[goingboeing]

"I spelled Cal-EE- Forn-ya the way your liberal governor pronounces it!
California being the most important state is only a figment of your imagination." Being a RED Texan such as yourself, the ability to speak English, understandable to the rest of the nation, should be a primary goal of yours. Furthermore, it should be within your microscopic grasp, that the Californian economy ranks 9th in the WORLD as a stand alone, far LARGER than MANY of your RED states COMBINED. That is a fact, something that may be beyond your grasp. Texas has a lot of wonderful, intelligent people, too bad they were out numbered by those that will probably be voting from the un-employed ranks by the time the next Presidential election rolls around.
"Everything is bigger and better in Texas and besides California did not give the world the greatest blues guitarist of all time, Stevie Ray Vaughan." Only in your little mind. Besides, This statement clarafies your worldly priorities. Tragedy in all it's glory. "Everything is bigger and better in Texas" , including ignorance, poverty, and unemployment.

[post="203987"][/post]​

I hope the Democratic Party runs another NE liberal in 2008 and they again will get the crap kicked out of them.You people who live on the left coast just don't get it and it sounds like to me you've been in Hollywood too long and cannot seperate reality from fantasy.
If California is so great why is your budget defecit so high?
Most of your CHEAP labor comes from illegals coming to California from Mexico.Your property taxes are outrageous not to mention the cost of housing.Why is there a mass exodus of the middle class from California to other states such as Arizona?[Pheonix= LA east]

We dumb Texans and Okies drive around all day in our pickups with our gun racks in the rear window and don't understand anything! Right On!

 

[North by Northwest]

"And that part of the state was hammered economically during Bush's first term as president. There was the manufacturing collaspe, tech burst, massive airline layoffs (UA), and a port strike" And STILL faired BETTER than any other part of the country! So.Cal is fortunate to have one of the most diverse economies in the nation...not dependent on any one industry. Throw in media (Film, Television,Music, Publishing)captial of the world with Finance. Shipping, Agriculture, Aerospace, Manufacturing. I'd hardly call a few thousand layoff from Ual (as massive)having any major effect on So.Cal. We have every major airline on the planet flying here. There really is compaison to So. Cal., no other region in the country even comes close to the level of economic output. As I said before...the facts speak for themselves...California...and esp. So. Cal. will weather the Bush years far better than the rest of the country. When we catch a cold, the rest of the nation will be fighting the flu. The 9th world ranking is from 2003, this most recent ranking takes into effect the progress made in China and India.

 

[Busdrvr]

Nothing like a few ignorant liberals playing fast and loose with the "facts".

Let's see....
"oil is high because of the dollar...."

To a small extent, but the biggest user (us) and the fastest growing user (china) actually either uses the dollar or pegs it's currency to it.

"oil men in the white house are jacking up the price"
"they want to drill in the 'pristine' brutally cold and barren North Slope (ANWR) which is bad..."

So which is it? Do they want high oil prices or do they want more U.S. capacity? Why would "oil men" just "looking out for their pals" support more nuclear energy?

"The president was filling the SPR at full speed which made prices go up..."

hmmm. first, NXN should go back to mixing drinks judging by the accuracy of it's facts... The SPR currently contains approx 671.2 million barrels. That's an increase of 72 million barrels of oil over two years, or put another way, less than one day's world production, and less than a week of imports. Hmmm less than 1% of imports, yet that makes prices go way up. But we shouldn't drill in ANWR because it's production, estimated to be 15 times the rate of SPR filling wouldn't affect price... . Liberal thought at it's finest.
But even better, we're supposed to now think that it's all because the SPR has some sites in Texas. I'm now LMAO. If cali wants to store crude oil under it's land, I'm sure something could be worked out.. BTW, La and Tx have empty salt domes, what gapping orifices would Cal use? never mind.... Oh,and BTW, the president was filling up the SPR for the three weeks prior to the election. He stopped and released a SMALL amount to keep the already overtaxed U.S. refinery system operating at capacity until the gulf rigs could be fixed.

But lets look even deeper. ever hear of Shoreham? It was the most modern nuclear energy facility in the United States. Good old leftist Cuomo and a few Green party presidential candidates decide they don't want nukes (despite the incredibly good safety record), so they tore down a perfectly good, ready for action plant (and wrote off $5 BILLION in taxpayer money) and replaced the nuclear reactor with.... DIESEL. Yes jet fuel. So idiot environmentalist leftist burn tens of millions of barrels of jet fuel a year to score the ignorant liberal vote, and that's OK, yet socking away some crude to protect against a terrorist attack in SA is bad....

 

[Jennyann]

"I spelled Cal-EE- Forn-ya the way your liberal governor pronounces it!
California being the most important state is only a figment of your imagination." Being a RED Texan such as yourself, the ability to speak English, understandable to the rest of the nation, should be a primary goal of yours. Furthermore, it should be within your microscopic grasp, that the Californian economy ranks 9th in the WORLD as a stand alone, far LARGER than MANY of your RED states COMBINED. That is a fact, something that may be beyond your grasp. Texas has a lot of wonderful, intelligent people, too bad they were out numbered by those that will probably be voting from the un-employed ranks by the time the next Presidential election rolls around.
"Everything is bigger and better in Texas and besides California did not give the world the greatest blues guitarist of all time, Stevie Ray Vaughan." Only in your little mind. Besides, This statement clarafies your worldly priorities. Tragedy in all it's glory. "Everything is bigger and better in Texas" , including ignorance, poverty, and unemployment.

[post="203987"][/post]​

Watch it now!!!!