Free Republic
Browse · Search
General/Chat
Topics · Post Article

To: Recon Dad
OPEC is losing if not already lost its lock on pricing in the market.

Not in the near future. It is the cost of production that gives the lead to OPEC. While figures vary by oil field and country, the costs in the Middle East range from 10-50% of the costs in other areas of the world. When you add in the overhead that the governments and environmentalists add here in the West, you get an even higher search-to-production cost.

Wonder if we can ship some of these Sierra Club, World Wildlife and Earth First types to Russia and the OPEC countries? I'm sure that there would be mutual admiration and respect. /sarc

15 posted on 10/03/2011 9:11:13 AM PDT by SES1066 (1776 to 2011, 235 years and counting in the GRAND EXPERIMENT!)
[ Post Reply | Private Reply | To 12 | View Replies ]


To: SES1066

It is the cost of production that gives the lead to OPEC

You’re absolutely correct on cost of oil. We have expensive oil and there’s is cheap and shallow. But, that’s where supply and demand come in to play, there’s plenty of demand to keep everyone happy.
I used to work for a company that had a competitor who had a 10 to 15% advantage on all its competition and they never wanted to use it. They would much rather keep it rolling in so prices in our market always remained steady.
I don’t believe OPEC cares one way or the other or they would have bled us (the world) dry when they had the chance.


18 posted on 10/03/2011 10:46:43 AM PDT by Recon Dad (Honkies for Herman......Crackers for Cain)
[ Post Reply | Private Reply | To 15 | View Replies ]

Free Republic
Browse · Search
General/Chat
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson