Oil field found in depths of the Gulf of Mexico

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Yeah and you gots another huge reserve sitting up in ANWR that YOUR legislators wont let us access. Write them a letter.

WilddrilldrilldrillAlaska
 
Some of you assume that the price of oil will be about $70 per barrel. The price could drop to $50 per barrel as some of the experts predict.

If you want to see the price of oil to come down, just start a big synfuel program in the US where petroleum is produced from oil shales. The reserves are immense here in the US and Canada. As soon as the production comes on line, the price will drop on a world wide basis in order to put these private companies out of business. That is where the US government (and its people) comes into play as the synfuels industry can not survive without price supports.

We need to develop as many alternative sources as is practical and provide some sort of pricing support to make the industry stable and viable.
 
I think it was either Beck or Savage... Anyways, some study indicated that "Big Oil" has been making roughly $0.10 per gallon of gas sold... since the mid 80's.
And that hasn't changed.

"Record profits" = we're buying more oil despite the cost.
Way to show everyone we won't be dependent on foreign oil!
 
Have you ever heard of supply and demand? If there were less demand, the price would be lower. Simple economics.
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Of course, supply can also be manipulated to increase price. ;)

This newly discovered oil is estimated to be what, 5 to 7 miles down? How could it possibly have a fossil-based origin? Is it really abiotic, something produced by the earth? What do the 'peak oil' groupies have to say about this?
 
"Of course, supply can also be manipulated to increase price."

Yep, that damned pesky George Bush used his Satanic powers to summon Hurricane Katrina into the gulf last year...

"Is it really abiotic, something produced by the earth?"

You mean abiogenic?

It could very well be.
 
Abiotic, abiogenic-the words are basically interchangeable. The theory refers to the idea that oil and gas deposits are not the remains of plant and animal life that died millions of years ago. Rather, oil and gas are formed deep in the earth from hydrogen and carbon under high temperatures and pressures and those deposits are being constantly renewed.

Of course Katrina was responsible for the 'supply shortage'. Just look how devastating that hurricane was to the oil companies bottom lines. :p
 
"bluesman is right"

Only partly. Supply and demand is only a small part of what anything costs.

If supply and demand is everything then there must be one hell of a demand for and shortage of popcorn. I recently paid $4.00 for a small bag at a movie theatre. Its all about what people are willing to pay, i wanted that popcorn, so i bought it. Those $150 pair of Michael Jordan sneakers arent worth $50 to me, but apparently they are worth it to alot of people.

The oil companies have everyone bent over, they know we need it and are going to buy it, the prices are artificially high.

Ford dealers are asking $70,000 for a $45,000 Shelby Mustang because its new and supposedly all the rage. Supply/demand has nothing to do with that either, Ford is reportedly committed to building 5,000 of them for the next 5 years. Six months to a year from now you will be able to buy one for sticker or below, the dealers are looking for a few rich idiots, they probably will find them too.


and thats Bluesman, not bluesman. The old schoolmarm took me out to the woodshed, you better respect his authority. :rolleyes:
 
Ford dealers are asking $70,000 for a $45,000 Shelby Mustang because its new and supposedly all the rage. Supply/demand has nothing to do with that either,
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:confused: that's....exactly what supply and demand is. "demand" = being all the rage
 
This new field...

is insignificant, people seem to forget oil is FINITE. Let's not get all our hopes up drill like crazy only to have to look elsewhere again. Alternate energy all the way, oil is BS. As for supply and demand in capitalism... only works when it's done FAIRLY, but we all understand corporations couldn't care less about ethics the almighty dollar is all that matters, false lack of supply on such a critical resource creates unecessary prices and overbearing demand.


Epyon
 
It's not the oil companies that hold the blame for our situation. It's the oil traders that drive up the price of oil on the commodities market. Oil companies have been making about the sameamount of $$$ per gallon since the 80's IIRC. It's just that we keep using more gas and that equals "record" profits for the oil companies.
 
all i have to say about "alternative fuel sources" is that i like to go fast. for that simple reason the oil companys have a lifetime customer out of me.

there are many of people that are like me, don't hop on the modern bandwagon. just look at almost any wsm thread on the forum. there is at least one post on them where the reply is, i wont buy a caliber unless its 50 years old or older. thats how i feel about the other fuels.

for me gas/diesel has the biggest perks. you can drive a big comfortable truck easily tow most anything you want to.

flex fuel (ethanol) gives you those perks and burns cleaner, but you give up the mileage. (saw it on one of those morning shows last week)

electric. the worst. just to get any sort of range (175 miles on a charge) they had to make it a little cramped cube that nobody would be comfortable in.

hybrid ha ha ha, twice as many parts to break and nobody to work on them. and if you find somebody to fix it you better have cash.

i realize that im rambling again but i guess i was just born a rambling man.:D
 
Redworm said:
that's....exactly what supply and demand is. "demand" = being all the rage
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Nope-- Wrong-- Demand is a NEED. If the oil companys thought we would pay 5 bucks for a gallon of unleaded and not raise hell then that's what the price would be. It has nothing to do with demand, it has all to do with GREED!!!!
 
"If supply and demand is everything then there must be one hell of a demand for and shortage of popcorn. I recently paid $4.00 for a small bag at a movie theatre."

Absolute non sequitor as what you pay for popcorn at a movie theater, or a hot dog or beer at a sporting event, is not driven by demand.

Those items are conveniences (and are priced accordingly), not commodities.

There's no popcorn pit at the Chicago Mercantile Exchange where Lowes, AMC, and UA bid on popcorn futures.

The price of popcorn, soda, and other treats at your theater is set by the chain in response to the customer's willingness to pay.
 
:confused: Demand is not a "need". No one "needs" an XBox 360 but people are still willing to shell out a few hundred because there's a demand for them. No one truly "needs" petroleum based products but there is a demand for them.

When it's something you're willing to pay for it's good ole fashioned capitalism but when it's something you feel is too expensive it's greed?
 
all i have to say about "alternative fuel sources" is that i like to go fast. for that simple reason the oil companys have a lifetime customer out of me.

there are many of people that are like me, don't hop on the modern bandwagon. just look at almost any wsm thread on the forum. there is at least one post on them where the reply is, i wont buy a caliber unless its 50 years old or older. thats how i feel about the other fuels.

for me gas/diesel has the biggest perks. you can drive a big comfortable truck easily tow most anything you want to.

flex fuel (ethanol) gives you those perks and burns cleaner, but you give up the mileage. (saw it on one of those morning shows last week)

electric. the worst. just to get any sort of range (175 miles on a charge) they had to make it a little cramped cube that nobody would be comfortable in.

hybrid ha ha ha, twice as many parts to break and nobody to work on them. and if you find somebody to fix it you better have cash.

i realize that im rambling again but i guess i was just born a rambling man.
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I also like to go fast but not everyone does. They can leave the 104 octane for folks like you and me that run deep cams under four barrel carbs or stuff twelve pounds of boost into sleepers but let the hippies and businessmen and soccer moms (oh excuse me, I should use the politically correct term "SUV-American" :o ) save the world with their fuel efficient sippers.

Diesel is nice but biodiesel is equally as effective and even if used solely for commercial trucking would reduce our dependance on dead dinosaur quite a bit. Flex fuel has some advantages but the problem is that people buying those vehicles are not filling up on E85. They're still running regular gas but getting the tax breaks for buying "hybrids".

As for electrics...
http://www.popularmechanics.com/blog/automotive/3700136.html
http://www.wired.com/news/wiredmag/0,71414-0.html

:D of course they're still in the early stages and they're still going to be expensive but certainly within the next decade or so electrics will probably be as common as vehicles with internal combustion engines, if not more so.
 
Basic math:

There's 42 gallons in a barrel of oil.
The world market price of crude oil is around $70 per barrel these days.
42 gallons at $70 comes to $1.67 per gallon.

That's $1.67 per gallon just for the crude oil, only about half of which results in gasoline after refining.

Now explain to me, if you don't mind, how $1.50 per gallon of gasoline would still result in a very healthy profit?

Every government and media investigation of price gouging has turned up bupkis. You'd think people would get tired of slinging that accusation eventually.
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The problem is you are completely overlooking all of the other products that they make a profit off of from a barrel of crude .

100 years or so ago all they would get was oil used as a lubricant and gasoline the rest was waste , with the proliferation of plastics that same barrel of crude creates far more products and hence more profits for the oil companies . In case you haven't noticed they aren't called oil companies they are called Chemical Companies or petroleum companies because gasolines is just one of the few products they make and have been making for decades now .

With all of this additional profit there was realy no reason why the prices of gasoline didn't take a significant drop in the 70's and 80's when plastics became so widely used in all walks of life , instead they began climbing and have continued to do so .
 
With all of this additional profit there was realy no reason why the prices of gasoline didn't take a significant drop in the 70's and 80's when plastics became so widely used in all walks of life , instead they began climbing and have continued to do so .
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Maybe because the economy is expanding and things that used to be made out of wood and metal can now be made out of plastics, and things that didn't even exist in the 70's and 80's are also made out of plastics?
 
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