Posted on 04/19/2008 1:05:51 AM PDT by TigerLikesRooster
Iran says oil price too low at 115 dollars a barrel
by Farhad Pouladi
18 minutes ago
Even at 115 dollars a barrel, oil is priced too low, Iranian President Mahmoud Ahmadinejad said in comments published on Saturday adding that the commodity "should find its real value".
"Oil at 115 dollars a barrel in today's market is a deceiving figure, oil is a strategic commodity and should find its real value," the state broadcaster's website quoted Ahmadinejad as saying on Friday.
New York's benchmark contract, light sweet crude for delivery in May, surged 1.83 dollars to a record close of 116.69 dollars a barrel on Friday. It had earlier hit an intra-day all-time peak of 117 dollars.
Iranian Oil Minister Gholam Hossein Nozari, whose country is OPEC's number-two oil producer and exporter, on Wednesday rejected calls from oil consuming countries for the cartel to take action to bring down prices.
"The oil price has reached 114 dollars a barrel. When the price is suitable and supply is higher than demand, this shows the reason is somewhere else and we should deal with this other reason," he said.
The Organisation of Petroleum Exporting Countries -- which produces 40 percent of the world's oil -- has refused to raise its daily output quota which is currently fixed at 29.67 million barrels.
Ahmadinejad suggested that the sharp fall in the value of the US dollar was a driving force behind the rise in oil prices.
"The dollar is no longer money, they just print a bunch of paper which is circulated in the world without any commodity backing," he said.
Late last year, Iran announced that it had stopped carrying out its oil transactions in dollars.
"At the moment, selling oil in dollars has been completely halted, in line with the policy of selling crude in non-dollar currencies, " Nozari was quoted as saying in December.
The world's fourth largest oil exporter, Iran massively reduced its dependence on the US dollar during last year in the face of US pressure on its financial system amid the standoff over its nuclear programme.
On Thursday, OPEC announced that the price of oil sold by its members had hit a record high of 106.65 dollars per barrel.
Oil ministers from the 12-nation cartel will be joined by chief executives of major producers as some 500 delegates assemble for the International Energy Forum in Rome on Sunday.
Pressure for a rise in the cartel's output ceiling is likely to intensify as the record crude prices weigh down on a slowing world economy.
The rising oil prices will eventually teach us some needed lessons about defense and favoring friendlier nations for trade. Higher oil now may be good for our chances of survival over the near future. Temporary relief from high prices and associated complacency would be very bad for us. And as I’ve been saying, oil will go much higher, much faster and for much longer, after Iran is known to have nuclear weapons. ...even higher, after Iran mounts some of those weapons on missiles. Unfortunately, it probably won’t take as long as we wish.
And BTW, I still see low-income, obese people in my area driving long distances out of nothing more than boredom and riding ATVs (small, gasoline-powered, four-wheeled recreational vehicles) only to get across their yards. We aren’t feeling much of a pinch at all from high gasoline prices, yet.
Actually, I don't. The world is awash in oil, plenty for everybody. More proven reserves in mexico than the entire middle east.
What may be the boggest con job ever pulled is the oil producers convincing us this is a precious, dwindling commodity.
Another addition to getting off the arab nipple is converting automobiles from gasoline to LNG (propane/ natural gas etc.)
I'm paying $2.24 a gallon (delivered) for my home's heating/cooking... there has been fantastic amounts recently discovered, and Canada if outright gifted with LNG.
The conversion is not that steep, and I am starting the process to get the best deal.
Why is that (LNG) not being exploited?
Don't answer, I already know...
You point, however, is well taken. We absolutely must get off that arab nipple!
People love Ahmadinejad and have and will continue to work with the greens to stop every alternative to fossil fuels.
Sooner it hits 10.00+ a gallon and starts the greatest depression we have ever seen, the sooner we will rise up.
People love Ahmadinejad and have and will continue to work with the greens to stop every alternative to fossil fuels.
Sooner it hits 10.00+ a gallon and starts the greatest depression we have ever seen, the sooner we will rise up.
“Still gotta have the huge amounts of oil/gas for transportation.”
No you don’t.
With cheap electricity you can make any number of fuels, hydrogen currently being the latest craze.
In addition with cheap electricity people will find practical ways to make electric cars. From hydrogen fuel cells to batteries. Battery technology is improving dramatically quickly with no signs of stopping.
Perhaps, but they aren’t pumping it and neither are we.
Re: Cleaner yes
I could say that scrubber tech is getting better all the time too.
I hear a lot of “we need to” and yet I see, Hillary, Obama and McCain on deck. In the present and near future, all we can do is try to cling to the flotsam, because if we try to swim in all the stupidity, we will drown.
The government will first have to be serious about solving the problem. As it is now, they are not, and seem content to wither on the vine subsidizing ethanol and other incredibly ridiculous “solutions” that have only served to make things worse.
When you hear, “blah,blah, blah, energy crisis, blah blah climate change”, you can be assured that very soon you are going to be taken for a very expensive ride, literally and figuratively. We have a lot of coal and all we need to do is start building FT plants and using the resources we have, instead of importing those we don’t have.
Diesel from coal is now as clean as gasoline because of the myriad improvements in the FT process. If those in government wanted this done, it would have been done 20 years ago. Only now, so that they can be on record as worshiping gaia, the false goddess of the church of the anthropogenic global warming hoax, do they pay lip service to alternate sources of energy.
This is what we are up against and I suppose that is the reason for my pessimistic view of our future, with regard to energy and fuel.
“I not seriously proposing a $10 per gallon fuel tax, just pointing out that prices are going to continue to rise until we curb demand or find new sources.”
You must be living on another planet. How can we possibly curb our demand for gasoline in the wake of incredible population growth? NOBODY I know goes out and drives unnecessarily. Everyone I know is saving as much as they can on gas. I know some who really regret buying that SUV and they are really paying the price now. We cannot in the short term reduce our demand for gasoline without totally destroying our economy. It is late and I really lack the energy to respond to your point about giving our enemy the money. Well they had plenty of money at 10-15 dollars a barrel and we will never see than level again. Adding a tax to gasoline at this time is MADNESS! You must not have a job or a family or maybe you live in a urban area and can take mass transit. Maybe you are young and can use a bicycle to get about. Most of us need to use a certain amount of gasoline just to get by and these prices are killing us! Later
So long a the Fed keeps “injecting liquidity” which is effectively printing money, all commodities will keep going up.
It’s not a girlfriend thing. It might be closer to a freemasonic thing, with the secret handshakes to garner trust, then entering into gamesmanship. It is a very dark tipoff, though, and I would trust him less when it is recognized. It is consistent with the Sec of Defense’s policy on homosexuality and Condi Rice’s tactical plays with Israel, though. Color me feeling a bit betrayed.
A national focus, much like putting a man on the moon. It would work- but I have a feeling that they don't want energy independence, for whatever reason.
Bingo! If by some chance Obama gets into the office of the POS all his election year sophism will be unmasked when gas prices don't drop one penny even when his henchman in the Senate and House have more useless hearings. The price of oil is overinflated due to the real estate market in toilet and the stock market being so up and down with investors including the instituional ones with no safe place other than commodities to place their money. Any oil experts worth their salt said oil should be at 60-80 bucks a barrel. America is learning a lesson for it's flirtation with European Socialist Green thinking. I say let Obama have the office and watch oil hit 200 bucks a barrel, interest rates at 10%,inflation at 10%, and unemployment at 10% , Jimmy Carter all over again. The 50% of American who were in diapers when Jimmy was in office can wake the frig up and see there is no free lunch.
We have hundreds of years worth of oil right under our own land and off of our coasts. It’s the enviroweenies that are forcing us to buy from the world’s pool of producers. It’s the enviroweenies that are resisting refinery construction.
We had two opportunities to wack this conniving little weasel and his beotch Hugo when they let them in this country to run their mouths.I'm sure it could have been set up and everyone but the sand monkeys and liberals would have breathed a sigh of relief.It couldn't happen to a nicer guy.
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