U.S. light crude touched $40

reuters ^ | 04/05/07 | reuters

[Truth666]

U.S. light crude (search) touched $40 for the first time since October 1990, shortly after Iraq's invasion of Kuwait in the crisis that led to the Gulf War. It later eased to settle at $39.93, 56 cents higher on the day. London Brent peaked at $37.18 and was up 47 cents to end at $37.00 a barrel.

[Truth666]

The article presents fears about the situation in Saudi Arabia as the main issue.
The fact is that we have already entered uncharted territory. Not only because of one but because of two reasons :
- each day the combined production of the US, Canada, Norway and the UK decreases dramatically
- world production has peaked already earlier this year.
Each day that passes without telling the crude facts about the crude production to the masses will only make things worst.

[boxsmith13]

"each day the combined production of the US, Canada, Norway and the UK decreases dramatically"

This is such idiotic hyperbole. Production in UK, US and Norway is decling, but not dramatically on a daily basis. Canada has more oil than Saudi Arabis in teh tar sands of Alberta. Production will increase there.

[AntiGuv]

Wait until this summer's driving season and next winter's heating season. The media will be telling the 'crude facts' 24/7...

[Ken522]

This must be why gasoline prices jumped to $1.839/gal this week ... double-plus uncool.

[boxsmith13]

"Wait until this summer's driving season and next winter's heating season. The media will be telling the 'crude facts' 24/7..."

Oil may or maynot go up this summer. Gasoline prices since 2001 have peaked just before memorial day, then fallen. The market is already anticipating tight supplies this summer and is pricign the worse case scenario. If it doesnt happen oil and gasoline will fall.

[RightWhale]

Each day that passes without telling the crude facts about the crude production to the masses will only make things worst.

It won't matter, Truth, unless the individual gets out of debt and starts saving, the whole economy could turn upside down very quickly and there would be nothing to be done.

[Truth666]

You say that because this is the kind of things that you probably read - example Norway :
18-04-04 Thirty-three years of prosperous oil production have secured Norway a seat among the world's richest nations, but with its petroleum reserves slowly slipping, the country has begun sniffing out the promise held by its abundant natural gas resources.

[Truth666]

Example UK
22-04-04 The discovery of oil in the North Sea transformed the economy of many of the communities surrounding it. But production has peaked, and those who benefited most have now been faced with the challenge of making a new living for themselves.
Tony Wood, an economist with the Royal Bank of Scotland who specialises in the oil and gas sector, has watched the North Sea industry change over the years.
"We're around half way through the life of it in volume terms," he said. "If we assume that North Sea production really got going in the late 70s or early 80s, what we're talking about is another 20 years of gradually declining production.

[Truth666]

To get the truth you need to read between the lines. The same article about the UK production, continues :
"As the larger oil discoveries have given way to the exploitation of more modest fields, the major oil companies have started to move out, replaced by smaller independent businesses. One of the most significant finds of recent years was the Buzzard oil field, 60 miles (100 km) off Aberdeen in the central North Sea. The major share in this field is owned by EnCana, a leading independent oil and gas company."

[qwert]

WRONG !!! oh noble one... The reason we are in this fix is NOT a shortage of oil but a shortage of refining capacity. Do you know when the last refinery was built in this country ????.... In 1982 over 20 years ago, oil is all around us, and is NOT a FINITE resource..
re.. Old well's in Texas that were capped are now producing again !!! What we have here is a shortage of refining capacity... Thank a
Tree hugging Dem next time you see one, for the high prices not the towel-heads...

[boxsmith13]

I agree that is it declining. In fact I think nearly all of UK's north sea oil goes to domestic consumpption. But it isnt declining daily at a dramatic rate. It is declining slowly and over-time will be dramatic

[boxsmith13]

BTW just wait till the Hybernia oil and gas fields off Nova Scotia come online. There is lots of oil there. We can give thanks the socialist Canadians dont pander to enviro-wackos like we do.

[Truth666]

But in this case it's not difficult to read between the lines.
From the Encana site : the Buzzard oil field, containing about 1 billion barrels of original oil-in-place, is well on its way to delivering first oil in late 2006.

[Truth666]

But it was not just "One of the most significant finds of recent years". The EnCana site informs you that it was "the most significant U.K. oil find in the past decade" !
http://www.encana.com/operations/upstream/uk_buzzard.html

[VOA]

Hey MoveOn.Org...
Dubya invaded Iraq for the oil.
Very Expensive Oil, you MoveOn.Org brainiacs, so that he might not be re-elected.

[Truth666]

At this point it's time to get some "official" numbers : Official forecasts for UK oil production show production by 2008 will be down to 56 % of its peak.By 2008, UK gas production will be down to 70 % of its peak level.
"The result is that the £ 7 bn trade surplus in fuel in 2000 is forecast to turn around to a deficit of about £ 4 bn by 2008, a turnaround worth more than 1 % of GDP," the CEBR says in its report.

[Truth666]

Let's now check these numbers for 2008.
- the only significant field discovered in the last decade is expected to start producing by late 2006
- in 1995 the UK had an estimated 12.0 billion barrels reserves ...
- which means that there's about nothing left now.

[day]

there is no free trade with China you moron. Have Luddites so run out of arguments against trade they have to resort to this type of hyperbole

Free Trade with china, so china needs more oil

[day]

COMMUNIST GOALS (From The Congressional Record, Jan. 10, 1963)
Congressional Record





1. U.S. acceptance of coexistence as the only alternative to atomic war.
2. U.S. willingness to capitulate in preference to engaging in atomic war.
3. Develop the illusion that total disarmament by the United States would be a demonstration of moral strength.
4. Permit free trade between all nations regardless of Communist affiliation and regardless of whether or not items could be used for war.
5. Extension of long-term loans to Russia and Soviet satellites.
6. Provide American aid to all nations regardless of Communist domination.
7. Grant recognition of Red China. Admission of Red China to the U.N.
8. Allow all Soviet satellites individual representation in the U.N.
9. Promote the U.N. as the only hope for mankind. If it's charter is rewritten, demand that it be set up as a one-world government with its own independent armed forces.
10. Use technical decisions of the courts to weaken basic American institutions by claiming their activities violate civil rights.
11. Get control of the schools. Use them as transmission belts forsocialism and current Communist propaganda. Soften the curriculum. Get control of teachers' associations. Put the party line in textbooks.
12. Gain control of all student newspapers.
13. Use student riots to ferment public protests against programs or organizations which are under Communist attack.
14. Infiltrate the Press.
15. Gain control of key positions in radio, T.V., and motion pictures.
16. Continue discrediting American culture by degrading all forms of artistic expression. An American Communist cell was told to "eliminate all good sculpture from parks and buildings, substitute shapeless, awkward and meaningless forms.
17. Control art critics and directors of art museums. "Our plan is to promote ugliness, repulsive, meaningless art.
18. Eliminate all laws governing obscenity by calling them "censorship" and a violation of free speech and free press.
19. Break down culture standards of morality by promoting pornography and obscenity in books, magazines, motion pictures, radio, and T.V.
20. Present homosexuality, degeneracy, and promiscuity, as "normal, natural, healthy."
21. Infiltrate the churches and replace revealed religion with "social" religion. Discredit the Bible and emphasize the need for intellectual maturity which does not need a "religious crutch."
22. Eliminate prayer or any phase of religious expression in the schools on the ground that it violates the principle of "separation of church and state."
23. Discredit the American Constitution by calling it inadequate, old-fashioned, out of step with modern needs, a hindrance to cooperation between nations on a worldwide basis.
24. Discredit the American Founding Fathers. Present them as selfish aristocrats who had no concern for the "common man."
25. Support any socialist movement to give centralized control over any part of the cultural education, social agencies, welfare programs, mental health clinics, etc.
26. Transfer some of the powers of arrest from the police to social agencies. Treat all behavioral problems as psychiatric disorders which no one but psychiatrist can understand or treat.
27. Dominate the psychiatric profession and use mental health laws as a means of gaining coercive control over those who oppose Communist goals.
28. Discredit the family as an institution. Encourage promiscuity and easy divorce.


(Hen. A.S. Herlong, Jr. of Florida in H.R., Congressional Record-Appendix, Jan. 10, 1963, pp. a34-35)
Look through the above list again and count the number of goals which have been accomplished in this nation since 1963.
COMMUNIST GOALS (from The Communist Manifesto written by Karl Marx and Friedrich Engels in 1848.)
"The theory of the Communists may be summed up in the single phrase:
Abolition of private property." (page 82)
"In bourgeois society, therefore, the past dominates the present; in communist society, the present dominates the past. In bourgeois society capital is independent and has individuality, while the living person is dependent and has no individuality.
"And the abolition of this state of things is called by the bourgeoisie, abolition of individuality and freedom! And rightly so. The abolition of bourgeois individuality, bourgeois independence, and bourgeois freedom is undoubtedly aimed at." (page 84)
"You reproach us with intending to do away with your property. Precisely so; that is just what we intend." (page 85)
". . . the middle-class owner of property. This person must, indeed, be swept out ofthe way, and made impossible." (pages 85-86)
"Abolition of the family!" (page 87)
"The Communists are further reproached with desiring to abolish countries and nationality." (page 90)
"Communism abolishes eternal truths, it abolishes all religion, and all morality."(page 92)
"Communists everywhere support every revolutionary movement against the existing social and political order of things " (page 116)
Goals of Communism (page 94)
1. Abolition of property in land and application of all rents of land to public purposes.
2. A heavy progressive or graduated income tax.
3. Abolition of all right of inheritance.
4. Confiscation of the property of all emigrants and rebels.
5. Centralization of credit in the hands of the state, by means of a national bank with state capital and an exclusive monopoly.
6. Centralization of the means of communication and transport in the hands of the state.
7. Extension of factories and instruments of production owned by the state; the bringing into cultivation of wastelands, and the improvement of the soil generally in accordance with a common plan.
8. Equal liability of all to labor. Establishment of industrial armies, especially for agriculture.
9. Combination of agriculture with manufacturing industries; gradual abolition of the distinction between town and country, by a more equable distribution of the population over the country.
10. Free education for all children in public schools. Abolition of children's factory labor in its present form. Combination of education with industrial production, etc., etc.
(Note: the above pages reflect the paperback version, 14th printing, April 1976)

[FA14]

We do not have anywhere near an "oil shortage" problem, in terms of running out of oil. The world has more oil then we know what to do with.

The main problem is refinery capacity....and the regulations on differing reformulations...

Gas prices are going to be a big issue come Nov. Spence Abraham really blew it as energy sec....not trying to head this off in 2002......This is going to cost GWB votes...trust me....Gas here in SC is $1.70....(we were paying 87 cents just 4 years ago.....and $1.29 like 5 months ago).