Posted on 12/02/2008 11:51:28 AM PST by NormsRevenge
COLUMBUS, Ohio – Oil prices dipped again Tuesday and gas prices hit their lowest levels since January 2005 with the United States officially in a recession.
Analysts say prices at the pump may be bottoming out, though demand could fall even further in January with job losses reducing the number of people who drive to work.
Gas prices fell for the 20th week since the July 4th holiday and hit $1.811 per gallon, according to the government's Energy Information Agency.
Auto club AAA, the Oil Price Information Service and Wright Express said prices fell 0.8 cents overnight to $1.812, down 62.4 cents in the past month and $1.249 in the past year.
(Excerpt) Read more at news.yahoo.com ...
I believe the last raise of the federal Fuel Tax was made by Bubba. Guess who’s back in Town...Obama is just a puppet.
No, you see companies that are in the oil & gas industry like to make something called a profit and with oil and $50.00 it is difficult to make a profit drilling in new areas in the United States.
So, instead, me and the people I work with will be working in places like South America, Africa, the Middle East and central Asia so that our companies can make a profit and our fellow employees can feed our children.
We'll talk when oil is around $25 a barrel, where it should be. And at $25, there is still plenty of cheap Arab oil to be had where it literally flows freely out of the sand. And you also have to consider that the same people who pump it out of the ground in more difficult places like Alberta tars sands also own the refineries, so the pump prices will still remain well over a dollar a gallon, not the .25 cents where Arab gas should be.(and is in Arab land)
I understand the principle. And if that is where the “cheap” oil is, that is where they in fact should drill.
At $25.00 a barrel there will not be a single drilling rig in the USA and some production platforms would be shut down.
Drill Here, Drill Now and Cheap Oil are mutually exclusive.
It had nothing to do with it. The current price reflects the demand, which is low. The fact that the price rose way above what the market could bear is more responsible than anything. The high price of oil beat the bushes for more and more money until we found out there wasn't anymore money. If the price of oil had remained low in the first place, the money grubbers on Wall Street could have continued pushing paper for another 5 years before anyone realized the economy was screwed up.
There is no shortage on puppets in Washington DC these days.
It has essentially become a one party town.. Owned and operated by foreign concerns.
The media plays on and does nothing, and now that it has its own on deck to lead, even steps up the pace as a nation so full of energy resources is gutted and eroded from within.
Bull Richardson deeply saddened as he has to come up with funding for all those new programs that were to be paid for with oil and gas royalties.
Oh, I forgot. He won't be around to clean up the crap. He's taking his new railroad out of town to Washington.
Besides, we are in a deflationary period. EVERYTHING is relative, and as we can see- going down, gold, silver, everything, including the COST of drilling.
I won’t be worried about Oil companies coming off an earning period where they’ve made hundreds of BILLIONS. That’s on top of the hundreds of Billions the quarter before that, and the quarter before that, etc etc etc.
It’s time they spent that money.
"Drill Here, Drill Now" was dead on arrival on Osama Obama's big day in January.
Falling oil prices are bad for Russia, Chavez, Opec, and other assorted idiots who rely on the price of oil to fuel their economy. Falling oil prices are good for the everyday person here in America.
Cheap oil prices are bad for liberals, they want gas so expensive that people wont drive anywhere all in the name of saving the environment.
Let the stock market work. Prices will go up again and then the everyday person is going to lose out again.
Unless certain countries decided to “glut” the market exactly because they feared us coming up with substantial oil from our own fields. Also, at the high price it was only a matter of time before the shale became part of the equation.
And this is interesting, especially the very last sentence: http://www.valcent.net/i/misc/Vertigro/index.html
Yeah, quite the appointment eh, happy fingers Richardson as Sec’y of Commerce.
The 3rd Term of the Clintons.. lolol
Oh Bull crap. There were plenty around before the price broke $25 a barrel not to long ago, The Alberta tar sands project was well underway and going strong at $12 a barrel.
Yes, the cost of drilling has come down and I have had to revise bids for projects over the last couple of months. However, even when oil was at 147 almost everyone in the industry was budgeting for 85 dollar oil. At 50 oil companies and service companies cannot make money drilling in the U.S.
Therefore, we go elsewhere.
And, no, just because you were willing to pay $4.25 a gallon six months ago does not mean that now companies in the industry have to give back.
Makes no difference Rob, because even our “own” oil wells would be owned by the same companies who sell it at world (OPEC controlled) prices.
Whoever thinks that our “own” oil will somehow by-pass OPEC are day dreaming in Chavez land.
Demand Drives Price.
I drove from Nebraska to Watertown NY last week. Gas was 1.50’s to 1.70’s in IA, IL, IN, and OH. But New York state was 2.45 or higher.
AT $25.00 the domestic drilling industry is dead.
We were budgeting at $85.00 six months ago and now we are budgeting at a much lower price. With that fall in the price of oil, new drilling projects have been delayed or scrapped all together.
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