Posted on 03/08/2020 5:03:21 PM PDT by Hojczyk
Our cost per barrel at the well is significantly higher than the arabs. They are at less than 2 bucks per barrel if I recall.
They can drop and drop the price and cause us serious financial difficulties.
I think the SPR is pretty full.
They have actually considered shrinking it because the US is not dependent on imports as previously.
Better informed folks than myself have to make that call.
Except that they’ve got so many folks on welfare that they can’t stand low prices for long. Once money stops, then the natives get restless and revolution can’t be counted out.
It is $2.20 in Ellsworth Maine today!
Cheap energy means cheap everything. In the long run it’s fantastic for the economy.
Bring me $2/gallon gas and I’ll believe it.
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Well, if things don’t change that could be headed your way.
And when the Saudis raise the price, there will be an increase in fracking and more off shore production.
EC101 supply and demand.
I'll repeat what I said when those on here said Frackers couldn't survive in under $60/barrel markets:
it's all about wringing out cost and increasing efficiencies in fracking.
They did it to survive sub $60/bbl oil and they can do it again. Automate, Automate, Automate.
“ We used to say lower oil prices good for America. Do we still say that?
Except in Texas and Oklahoma...”
Plenty of indirect labor / Small business support the Oil workers. When a barrel of oil gets in the low 40’s Crews don’t get sent out / layed off. My Step Sisters small Motel business that mostly services Oil Workers in Flatonia TX. gets hit hard when oil prices drops.
This gives the states controlled by rates to tax tax tax
Still $2.59/gal here in the People's Socialist sh*thole of Illinois @ 30 miles S.W. of Shitcago.
The Dallas economy is much more diverse since the last oil price fall in the 80s... but it still ripples through the Texas economy.
The frackers can restart as quickly as they can shut it down.
Gas has been 1.97-2.05 in Louisiana for weeks.
But this news may change all that.
Still Over $2.50 for gas. And it has not come down one bit in the last couple of weeks. I wonder who is pocketing the difference?
Surprising because the refinery where most of the fuel comes from (BP Whiting - one of the largest in the US) is just around the corner from Chicago.
It’s good for:
- low income voters that don’t own stock
- elderly on fixed income or low exposure to stock market
- traders like me that (tip - DWT was $5 a few weeks ago, probably $14 tomorrow)
You don’t just start up again overnight. A healthy $50-$60 per barrel ensures domestic production continues and we pay a reasonable price for gas. Lower oil prices aren’t necessarily good
It was $2.25 today in NE Florida.
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