Posted on 05/01/2005 7:51:43 PM PDT by CHARLITE
Good info.
Well, marketing costs will probably stay the same -- regardless of whether the oil is domestic or imported. Transportation costs may decrease some, but oil is still a commodity at the mercy of the international markets.
I think oil companies are businesses, not charities and not an extension of the government. If they don't get as much for their product as they can, then they are doing their owners (stockholders) a grave injustice and management should be replaced ASAP.
But no, I don't think they're evil. I try to not apply human type traits to "things" and companies are "things."
Yeah, let's just throw in the towel and keep the Mid East oil syringe in our arm.
Did I say that?
I think our best bets are:
A)Rolling the dice and hunting out new reserves.
B)Developing new technology to make previously un-pumpable oil pumpable.
C)Looking at and investing serious bucks into alternate energy sources.
Ignoring the role of competition. One oil company with a preponderance of domestic sources will be able to shave their price but increase profits because of reduced costs. Their competitors will match the lower price or loose market share. They are oil companies, not the government. They respond to competition.
Competition keeps the price of oil (actually all necessary products) from going haywire on the consumer end. But how much would a few cents off at the pump mean?
Yes we need to explore energy alternatives. In the mean time we have to attack the problem from both sides-supply and demand. On the supply side we need more refineries and more sources of crude. I say drill the hell out of ANWR, the lower 48 and offshore. We need more nuclear plants. Over 70% of France's electricity is produced by nuclear plants. You know the Libs want us to be like France, I agree when it comes to nuclear energy.
Oh, and a few wind mills off of Cape Cod and in the Adirondacks won't hurt.
Why aren't we bringing it up? It is the damn environmentalists that have frightened the politicians, that's why. LET'S GET THAT OIL. Eventually, we'll have to when Venezuela and Mexico cut us off to sell what they pump the those more politically in tune with them, the Chinese!
"I don't know about NE senators blocking energy policy because energy sucks a lot of money out of the economies in the NE states, i.e. winter and transportation of goods." Think about this some more. It is a status quo, powers that be situation. Why else would they still use heating oil to heat homes? People think of Texas as the oil company state, but Standard Oil was a NJ co. How many people make their livings unloading oil takers and refining oil. Looki at guys like Joe Lieberman and Johjn Kerry. Why do they really care about ANWR and oppose every new idea?
Oil is a commodity but like all laws of supply and demand.
If you impact supply to the positive, prices should drop.
OPEC has 2 choices if the US started producing more oil, they can decrease production in order to hold prices up or they can have a sale.
The U.S. Geological Survey (USGS) has assessed that the United States is sitting on as much as 112 billion barrels of recoverable oil.[snip]
To put the amount of oil America may have at its disposal in perspective, let's compare our potential reserves to those of Saudi Arabia. The Saudis have approximately 262 billion barrels in their reserves, which is only about 150 percent more than the USGS suggests we have...
262 billion is about 234 percent of 112 billion, not 150 percent.
Your slight generalities aside, for profit margins, market share and hedging investments.
Too many posts to answer...
However, when I said "serious bucks" I meant from the private sector. Give them some tax incentives for R&D, hell, I don't know. Make research worth the time and energy.
Thanks for posting!
prisoner6
Congressman Sam Farr, Clinton, Gore and facilitated by Julie Packard, used the United Nations plan for "sustainable development" to destroy any capability for oil production off the California coast. Its part of Al Gores painful wrenching we are supposed to feel when we get earth back in the balance.
Why aren't we bringing it up? It is the damn environmentalists that have frightened the politicians, that's why. LET'S GET THAT OIL. Eventually, we'll have to when Venezuela and Mexico cut us off to sell what they pump the those more politically in tune with them, the Chinese!
I agree. I think we should open up the Gulf coast of Florida immediately. Unfortunately, we traded that away for at least another five years during the ANWR negotiations. This is what is on Senator Martinez's website:
March 16th, 2005
- U.S. Senator Mel Martinez (R-FL) today announced he secured an agreement from the Administration to extend the current moratorium on offshore drilling off Florida’s Gulf Coast for another five years, assuring no new exploration will be able to occur off the coast of Florida at least through 2012. Currently, the moratorium is scheduled to expire in 2007.
Martinez said:
“Before I made my final decision on Alaskan National Wildlife Refuge (ANWR.), I wanted to be confident that my vote would strengthen – not weaken -- Florida’s moratorium on offshore drilling. I know that a ‘slippery slope’ is of great concern to all Floridians.
“I share that concern, and I have worked closely with the Administration to secure its explicit assurance that the current moratorium on Florida’s Gulf Coast will be extended for an additional five years through 2012. Through my negotiations with the Administration, I have been able to better secure the position of Florida’s pristine beaches for years to come.
“I have also spoken to Senator Domenici, Chairman of the Senate Energy Committee, and he has assured me that he is very supportive of the right of states to oppose drilling off their coasts. He understands that Floridians, the Florida delegation and the Florida Governor are opposed to offshore drilling. He agrees the U.S. is much better off developing oil and gas production where it has strong support – in Alaska for example -- where the majority of Alaskans, the Governor and the entire Congressional delegation support drilling in the ANWR.
“In addition, I will be introducing my own legislation in the U.S. Senate which will make the moratorium on our Gulf Coast permanent, and buy back any open leases. I will continue to fight throughout my time in the Senate to keep Florida’s ban on offshore drilling firmly in place. It is one of my highest priorities.
“Today, I cast my vote in favor of drilling in the ANWR. In 2004, 56% of the oil used in the U.S. comes from foreign sources, and without a significant increase in domestic production, U.S. imports will increase to 68% by 2025.
“There is no question that the United States needs to find ways to become more energy independent. It is a national security imperative. Currently, the U.S. receives over 50% of the oil it imports from the Western Hemisphere, including 14% from Venezuela. All you have to do is look at this week’s headlines to see that Venezuela is not a stable or reliable source of oil for this country. Hugo Chavez has actively been seeking new markets for Venezuela’s oil, which would leave us struggling to replace a sizable percentage of this country’s needs with most likely very little warning. We need to be forward thinking about world events and their effect on our oil supply.
“We also need to think globally about environmental issues. Drilling in ANWR will occur using the most advanced technology and strictest environmental regulations that will keep environmental impact to a minimum. Arctic drilling technologies such as multi-lateral drills and directional drilling are just two examples of ways we are now able to minimize environmental impact. Other countries are not necessarily following the same strict environmental standards used in the U.S. and this puts us in the position of exporting our own environmental concerns to countries with much looser environmental standards.
“Drilling in ANWR -- in a part of Alaska that was set aside by President Eisenhower for oil and gas exploration, with a delegation and population that highly supports it, and with some of the strictest environmental standards in the world – is a sound and balanced approach that will help alleviate so our dependence on foreign sources of oil.”
Dennis, that was EXACTLY what I was thinking about the whole mess.
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