Posted on 08/10/2008 11:20:37 AM PDT by kellynla
I expect the Israelis to hit Iran between 11/4 and January and we all know what follows...
What with the new technology to discover oil, there is many times as much oil that has not been discovered than has been affirmed as existing.
We are not going to run out. We need to run out of politics infused into oil exploration and production, then we will have enough oil for decades.
Yeah; if you leave it in the ground it’s the end. But oil prices are up b/c the Fed printed too much money. Is it the end of gold, b/c gold went from 250 to 1,000/oz? Or end of corn, which tripled? Etc, etc. Get the dollar to $1/1euro and oil would drop sharply.
if the demand is increasing faster than production, why is the price falling then?
So lets increase production.
Simple demand destruction. Once prices fall and the resulting demand picks back up, away we go again.
This old earth has been going around for billions of years and recycling its vegetation and other matter into undergound oil. The oil that hasn’t been discovered will last this planet for hundreds of years.
We could become 100% North American oil sourced within 20 years. The world can have the rest. Once we are not dependent on Middle Eastern, African and South American oil, we can have breathing room to develop better power companies, more fuel efficient technologies and possibly a synthetic or alternative fuel at our own pace.
If we tried, we can become 100% free of foreign oil. We would have to make drastic changes in drilling, and refinery policy but it can be done. Combined known US owned oil fields will last well more than 100 years. We just lack the will to get it.
btt
While there are great benefits to the US developing new sources of energy and increasing oil & gas production, we still must understand that all oil domestically produced will effect the world price of oil.
Thus, if the world as a whole begins to produce more oil and the price of oil drops to below $50.00 or $60.00 dollars a barrel, the E&P in the U.S. will decrease significantly and you will be back to buying foreign oil.
Because anyone who ever thought that it was a one way bet was and remains a clueless moron. And because enough clueless morons instantly result in utterly ridiculous prices that cannot be sustained.
They are fools and enemies of the human race. There is no reason to take anything they say remotely seriously. Next we will adopt a military policy of praying for lightning to strike our enemies dead, and manage the economy by examining the entrails of dead goats.
Hence, the market is not very excited about it because demand is skrocketing.
That's the problem in a nutshell, and there are others like quality and input costs. Sweet crude is what we need now because out refineries are limited. The other grades can be cracked and we only have a couple facilities who can do it.
As it gets harder and harder to find and more low hanging fruit, (Our current situation) The heavy crude's all the way to #6 which has to be heated to move or pump, will become more and more the norm, and then there is shale and sand. But they are all very high in sulphur.
While this is all happening, demand is expected to double, perhaps triple, so is the regulation on emissions.
So no, I think there is a shorter time span of usable product. Nat Gas will fill the void for now. We have enough time to find new sources in the solar system. Like you, I don't see a doomsday scenario.
It shouldn’t matter how low it goes in the world. If the goal to be 100% independent it should not matter how low the prices go. That’s how we got in the trouble in the first place.
No, that view is far outside the view of economic reality. The fact of the matter is that with oil at its current price, there is an economic incentive to drill in the U.S. However, if the price of oil were to drop to below $60.00 a barrel, domestic E&P would slow and we would again seek oil from other nations.
What I am trying to say is that if we had a goal of being 100% energy independent we could. The UK does it, we could also.
There has to be a decision, cheap oil or independent oil. We tried cheap oil and it lead to dependence. I think it is time to try the other path. We would be the master of our own success instead of having to deal with unsavory characters in countries that love our money but want us all dead.
I have worked in oil field services for more than 20 years with much of that time being in dark corners of the earth. I would love to spend more time with my family in the U.S. and not in one of those dark corners where I have almost been killed and have not only seen people being oppressed but people killed for nothing more than having a somewhat different view of a certain religion.
However, with cheap oil, we cannot make money drilling here.
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