Posted on 01/24/2014 9:25:04 PM PST by ckilmer
OIL production in the United States rose by a record 992,000 barrels a day in 2013, the International Energy Agency estimated this week.
(Excerpt) Read more at nytimes.com ...
Seems like gas has been stuck at $3.05 for donkeys years despite market fluctuations.
We need to slash or kill the corporate income tax, and impose an export duty on petroleum products.
Can you say EPA and Sierra Club and all the other wacko enviromentalists that lobby to cut our throats in DC.
Do you really think $3.50/gallon gasoline is acceptable?
If we have such a surplus of gas in the US, it should cost less. Charge the offshore bastards more.
We owe them nothing.
Why do investors in oil companies owe you a price discounted below the market rate?
Is that the type of company you invest in for your retirement? Why do you think of those resources they paid for belonging to you? Why should my minerial lease and investment give you a discount?
I will say this...if gas was $1.50 a gallon, every illegal with a hooptie would be cruising 24/7.
There is some value in limiting the mobility of the lower echelons of society, LOL.
Sierra club is one of the biggest shams around.
One of their favorite gigs is to complain that people are having to much fun with public land.
Buy a bit of adjacent land then file a complaint about the public land being abused.
Play the watermelon complaints in court using the watermelon philosophy and get that public land protected from the PUBLIC.
Then they file a case saying that the Goobermint can not restrict the from egress and regress to their property.
Voila!
Now The sierra clubbers essentially have annexed great swaths of land that only they may use and they don’t pay taxes on it.
WE DO.
Feels like we are getting made accustom to higher prices despite unprecedented output.
1) Because the world hates the US and screws us a million times over in "free and fair trade".
2) Because cheap energy is what has traditionally made the US economy outperform all others.
3) Because they could creatively design it themselves without coersion if they wanted to. Maybe even increasing profit.
Is that the type of company you invest in for your retirement?
I don't know, is there one?
Why do you think of those resources they paid for belonging to you?
In many cases, those leased mineral rights are a birthright that belongs to the American people and with your plan, are being virtually given away to our enemies.
Why should my minerial lease and investment give you a discount?
So you fully believe the current fuel prices in this depression are acceptable. You seem to be one of those responsible for the continued gouging of the US public.
Ska-rew the "global economy" why the hell would we want ourselves weakened and them strengthened? It's gotten horribly that way already.
Not just output, the demand is just as high. Like it or not, oil is a global commodity. Even with our relatively high production, we still import nearly half the oil that runs through our refineries.
You have an entitlement attitude no different than a welfare queen.
Those oil reserves are owned by other people. Those oil companies are owned by investors, most of that mutual funds and other retirement type accounts. THEY do not owe you anything.
We refine more oil than anyone.
Seems like we should set the price.
Ol Hugo Chavez hated us and smelled the sulfur when GWB was in the room.
Venezuela’s oil is heavy sulfur crude.
They cant refine it.
We do.
At any rate, I do understand that it is a world market.
All this time I defended the oil companies saying “They don’t set prices, it’s determined by the speculators” “The government is the culprit here, they are doing everything they can to screw up the energy sector”
Now, it appears, you have yanked the rug out from under those positions.
You didn’t deny that $3.50 gas is a burden to the average worker. In fact, it’s just hunky-dory with you....isn’t it.
I don’t have to tell you that those fuel prices are reflected in everything that is transported, manufactured or kept warm.
Thanks for the prolonged depression.
We refine more oil than anyone.
Seems like we should set the price.
And we should sell it below market rates? Is that how you value your labor and investments?
- - - - - -
Venezuela’s oil is heavy sulfur crude.
They cant refine it.
We do.
Most of venezuela’s oil is refined outside the US.
http://www.eia.gov/countries/analysisbriefs/Venezuela/images/crude_oil_exports.png
http://www.eia.gov/countries/cab.cfm?fips=VE
It’s also true that US gasoline usage has gone down....DUH! Usage is down because people can’t afford it, and the economy is stagnant.
To what benefit? The green weenies?
There’s also the concept of profit due to volume, not just price. The lower the cost, the more you sell. And you don’t have to ship it as far.
Again, I understand you don’t like the fuel prices.
But tell me why those owners need to sell to you discounted prices any different than the owners of steel, gold, corn, wheat, electricity, etc...
You want other people to invest and take the risks while you reap the rewards. The energy sources of this country are great because we reward the individuals that risk and invest.
You are promoting a communist view that we should take from the wealth of others to give to you.
I defer to your expertise, but no we should not sell below market value.
I only question why the cost of gasoline has stayed at the $3 mark despite boons in output.
No, I'm not...and that's twice you've insulted me bitch.
If OPEC can hold back production to drive up the global price of crude, why can't we do the same with fuel?
You want other people to invest and take the risks while you reap the rewards.
US consumers have been unwillingly "investing" since 2008 and guess who's been reaping the rewards....go ahead, we're waiting.
There has to be a private sector formula that helps both the US economy and the domestic producers. Some numbers wizard could easily figure this out.
The same thing has been practiced by the pharmaceutical companies, they give their product to socialist countries and charge the crap out of us here.
It should be the other way around.
And unlike the fatass nosepicking speculators, we actually take possession of our "investments"...something else that desperately needs to be changed.
The U.S., as well, is reducing the global supply of crude by prohibiting crude exports. We are therefore increasing the international price of crude (Brent) and decreasing the domestic price of crude (WTI). Yet the U.S. does not restrict the export of gasoline and other refined products, so U.S. businesses must pay a higher international price for gasoline while domestic producers of crude are penalized with a lower price for their product. We are thereby discouraging domestic exploration and production and discouraging domestic business activity, while giving a bigger crack spread to domestic refineries. If that isn't bad enough, domestic refineries, in the absence of an adequate supply of domestic light sweet crude, have been refitted, at enormous cost, to handle foreign (Canadian and Venezuelan, etc.) heavy sour crude. Now that tight oil production has increased the supply of light sweet crude, refineries lack the capacity to refine that light crude, so the U.S. export prohibition threatens to limit tight oil production. How will several million barrels a day of forecast additional light crude production be refined if it cannot be exported?
With the impact of the heavy hand of government in the export prohibition now clear, what is the linkage to domestic gasoline prices, which are theoretically an international market? If the export restriction was removed, then over the next few years, the U.S., with domestic production increases, might export say, three million barrels per day of crude oil. Other things being equal, that would decrease the international price of crude. That would decrease the international price of gasoline. Also, because the additional supply of gasoline would be relatively local, as in Canada, Mexico, etc., lower transportation costs would dictate that U.S. gasoline prices would be lower again: lower than gasoline prices elsewhere.
So I take exception to your being accused of not supporting the free market. It is your accusers who are hiding behind a government restriction on free market activity in the form of the crude export prohibition.
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