February 11, 201016 yr Literally people will not be able to afford to drive if it gets that high. And have to use bikes mopeds etc like China used to? It's almost humbling.
February 11, 201016 yr We have oil reserves in this country that would lower our dependence on foreign oil and allow us to help keep the price from going into such a range of 6 or 7 dollars a gallon. And for the environmentalists, we can do it without destroying the environment. Afterall we have been pumping oil for 150 years and we are still here and we have new technogoly to help avoid problems of the past.
February 11, 201016 yr I have reiterated that you should budget for 3.00 gas. This is $100 oil and where SA and the rest of OPEC wants it. OPEC is like the Wizard of Oz (Oil). Like the Wizard, as soon as they are discovered to be feckless, they will lose their power once and for all, but for now they still have that power. Edited February 11, 201016 yr by John Anthony
February 11, 201016 yr And have to use bikes mopeds etc like China used to? It's almost humbling. It would serve us right, given the stupid manner in which we've built the infrastructure of our country.
February 11, 201016 yr Author Their supply is low, or the supply their sending us? Their supply is low and finding new supplies is getting harder and harder.
February 11, 201016 yr Author We have oil reserves in this country that would lower our dependence on foreign oil and allow us to help keep the price from going into such a range of 6 or 7 dollars a gallon. And for the environmentalists, we can do it without destroying the environment. Afterall we have been pumping oil for 150 years and we are still here and we have new technogoly to help avoid problems of the past. How long would these reserves last? Your assumption about "cleaner" ways to come up with energy is absolutely correct. However, if you're assuming that those methods would result in low energy costs, you are mistaken.
February 11, 201016 yr Author It would serve us right, given the stupid manner in which we've built the infrastructure of our country. You've hit on a huge issue. It would cost billions to redo the infrastructure in this country that would help remove our dependence upon oil. In addition, it would also require a change in priorities.
February 11, 201016 yr How long would these reserves last? Your assumption about "cleaner" ways to come up with energy is absolutely correct. However, if you're assuming that those methods would result in low energy costs, you are mistaken. The reserves sitting along the coast, the emergency reserves would power us for a month if OPEC cut us off. Our proven reserves is around 21 billion. In comparison Canada has 178 billion.
February 11, 201016 yr How long will it be before we see gas hit $6 to $7 per gallon? Its down now because of the economy. Once we get going again isn't it logical that gas prices will explode? No. I don't see the economy recovering to the point that it could sustain that high of a price. We've seen the limits of sustained consumer spending, and gasoline topped out at $4.50/gallon there.
February 11, 201016 yr How long will it be before we see gas hit $6 to $7 per gallon? Its down now because of the economy. Once we get going again isn't it logical that gas prices will explode?Isn't this what Obama wants? I think I remember him saying it should be much more expensive than what it is. If he and the Dems tax it the way they want to, expect it to be at least at $7 or $8 a gallon.
February 12, 201016 yr Author Interesting facts I came across: Oil companies only get about half of the actual oil out before it gets too expensive to get the rest out. If we assume today’s depletion rate stays the same we must find 20M barrels of new oil PER DAY over the next 5 years to stay at our current production rate. That assumes the cheap free-flowing convention crude oil will be available at the same level. It will not. The oil coming online is dirty and hard to find which means it will cost more. A 2008 study said the oil wells production were declining at a 6.7% rate. Over the last 30 years US production has been cut in half. In Alaska (drill baby drill) it has been declining faster than the rest of the US. So oil levels are declining. Compounding that is that our consumption has gone from 15M barrels per day in 1970 to 20M today. Consumption around the world has gone up at much higher rate than the US. Add in huge increases in demand in countries that we export from and you have to ask : Where is the oil going to come from and how much will it cost? Lower supplies/faster depletion/rising consumption rates. With that why wouldn’t we expect $7?
February 12, 201016 yr Interesting facts I came across: Oil companies only get about half of the actual oil out before it gets too expensive to get the rest out. If we assume today’s depletion rate stays the same we must find 20M barrels of new oil PER DAY over the next 5 years to stay at our current production rate. That assumes the cheap free-flowing convention crude oil will be available at the same level. It will not. The oil coming online is dirty and hard to find which means it will cost more. A 2008 study said the oil wells production were declining at a 6.7% rate. Over the last 30 years US production has been cut in half. In Alaska (drill baby drill) it has been declining faster than the rest of the US. So oil levels are declining. Compounding that is that our consumption has gone from 15M barrels per day in 1970 to 20M today. Consumption around the world has gone up at much higher rate than the US. Add in huge increases in demand in countries that we export from and you have to ask : Where is the oil going to come from and how much will it cost? Lower supplies/faster depletion/rising consumption rates. With that why wouldn’t we expect $7? Since Jan 09 OPEC has taken 4.2 million barrels per day off the market to keep prices about $70. Just oil sitting around in the desert. It is said they could take off between 7 million to 10 million per day if they had too. If they left the 4.2 million on the market gas prices would be around $1.75 right now but they DON'T want that. SA has continued to say the "high prices" are funding new production and it will come on. Not too mention once Iraq is stable (which is exactly what SA DOES NOT WANT) because they have no quota to pump like the other OPEC countries, they are thought to have just as much oil is SA if not more. Speculating is what drives prices up... SA even said that in their official report.
February 12, 201016 yr Since Jan 09 OPEC has taken 4.2 million barrels per day off the market to keep prices about $70. Just oil sitting around in the desert. It is said they could take off between 7 million to 10 million per day if they had too. If they left the 4.2 million on the market gas prices would be around $1.75 right now but they DON'T want that. SA has continued to say the "high prices" are funding new production and it will come on. Not too mention once Iraq is stable (which is exactly what SA DOES NOT WANT) because they have no quota to pump like the other OPEC countries, they are thought to have just as much oil is SA if not more. Speculating is what drives prices up... SA even said that in their official report. Whats SA?
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