Posted on 01/18/2010 8:10:50 PM PST by Comrade Brother Abu Bubba
More than halfway through 2011 and oil isn't even at $100...
Less than 4 months until 2012 and oil is now down to $84...
The mind boggles at how long we'll have to go before you admit that you had no clue making your ridiculous $300/barrel prediction. ...but I'm up for years and years of mocking you in the meantime.
Just October, November, and December left until 2012...and oil is still in double-digits at $84/barrel.
LOL!
Already October and oil is...down to $79/barrel. 2012 is almost here and the inflationists can't explain why prices are falling and falling and falling on the stock markets in the job markets in the housing market and on commodity exchanges.
Down, down, down goes the speed of money...
http://www.latimes.com/business/la-fi-oil-boom-20111029,0,7414545.story?track=lat-pick
U.S. net petroleum imports have fallen to about 47% of the nation’s consumption, down from a record 60.3% in 2005, Energy Information Administration statistics show. It’s been 15 years since the nation’s reliance on foreign oil has been this low.
Several factors figure into the import decline, but a big one is a little surprising: U.S. petroleum exploration is experiencing a quiet renaissance with the help of technology and new drilling techniques.
The number of oil rigs in production in the U.S. has reached a 24-year high, according to oil field services company Baker Hughes. In 2005, domestic production was 1.89 billion barrels. This year, experts say, production is expected to surpass 2 billion barrels.
Over the last decade, geoscientists and engineers have come as close as technologically possible to creating a transparent image of the underground, bringing new life to old wells and finding billion-barrel formations, called “elephants.”
“What’s happening across the U.S. demonstrates how technology again and again opens new doors, and also old doors, that people thought were closed forever,” said Daniel Yergin, author of “The Quest: Energy, Security, and the Remaking of the Modern World,” the newly released sequel to his Pulitzer Prize-winning book “The Prize.”
Bruce Bullock, executive director of the Maguire Energy Institute at Southern Methodist University, was more specific: “Three-dimensional seismic technology has become much more sophisticated. New drilling methods allow them to penetrate formations that were once thought to be impenetrable. So we’ve seen a lot of investment dollars going back into areas that had appeared very unpromising.”
Orcutt is one example.
In 1901, wildcatters found “brown shale,” a sign that oil was present in exploitable quantities. But they bypassed that shallow layer and went straight down; various operators eventually drilled nearly 2,000 vertical wells that averaged about 3,000 feet in depth. Breitburn acquired the field in 2004 and determined that the shallow layer of diatomite — a very porous, lightweight rock — contained more oil than any other part of the formation.
“They didn’t have the science. They didn’t have a clue,” said Breitburn’s William S. Fong, senior staff reservoir engineer. “We have doubled the oil production in this field, and it is all coming from the shallow layer, no more than 900 feet deep.”
Monthly oil production at Orcutt has climbed to nearly 90,000 barrels from 50,000 barrels.
In Santa Fe Springs, another Breitburn oil field is delivering about 2,000 barrels a day rather than the 700 barrels a day it would have using old vertical well techniques. The gains have come from offset angle drilling, where the wells are dug at angles between 45 degrees and 80 degrees, into areas between old vertical wells where crude still remains, said Chuck Hawkins, Breitburn’s project manager.
Breitburn isn’t the only California oil company looking to reverse California’s long decline in oil production. Over the last five years, privately held Signal Hill Petroleum has buried 6,000 small yellow canisters around Long Beach and Signal Hill that contain sophisticated equipment so sensitive it can record the vibrations of a person walking past.
The devices work in tandem with the company’s fleet of “vibroseis” trucks, 68,000-pound vehicles that use hydraulics to bounce. The bouncing trucks produce vibrations that create images of formations as far as 3 miles underground, said Dave Slater, chief operating officer for Signal Hill Petroleum.
Slater says his small, 110-employee company and a subsidiary, the 70-employee Nodal Seismic, have sunk “tens of millions of dollars” into the effort.
“When we import oil, we really get no jobs out of it, no taxes from that oil. It’s just a huge suction on the economy,” Slater said. “And down below us, we believe there is a lot of oil that hasn’t been tapped.”
The leading edge of the production boom has come in parts of Texas, such as the Eagle Ford shale formation and the Permian Basin, as well as the Bakken formation, a huge reservoir under parts of North Dakota, South Dakota, Montana and Saskatchewan, said Fadel Gheit, senior energy analyst for Oppenheimer and Co. Gheit added that much of the work is from smaller oil companies that few people are familiar with.
There’s so much oil coming out of the Bakken formation that it has outstripped the existing pipeline capacity to move it to refineries for processing. Railroads such as BNSF and Canadian National have been pressed into service to move some of the crude.
New production isn’t the only reason for the drop in foreign oil dependency. Ethanol now accounts for a larger share of every gallon of gasoline, reducing the amount of refined oil needed. In addition, U.S. demand for gasoline and other refined products has declined, in part from the global recession and subsequent weak economic recovery. Refineries also have gotten more efficient and waste less oil in processing fuels.
But the most important change has been “the ability to make the ground below seem transparent,” said Jonathan G. Kuespert, Breitburn’s senior geoscience advisor. “We were never able to do that before.”
"The number of oil rigs in production in the U.S. has reached a 24-year high, according to oil field services company Baker Hughes."
www.latimes.com/business/la-fi-oil-boom-20111029,0,7414545.story?track=lat-pick
LOL! Would you settle for $98/barrel midway through 2012?!
...or $94?!
...or $92.50?! Hey, which way is oil supposed to be hyper-inflating again?!
When the process of preserving food by heating in a sealed container was invented, "can" referred to any small container, and the original small containers were glass and glazed ceramic vessels of the sort we would now call "jars" or "jugs". The welded and hermetically sealed containers we now call "cans" were invented long after the process of food preservation by "canning" was invented.
Halfway through 2012 oil is at $87...are you sure that youve got the direction right on price movements?!
Damn brother 2 years! You are persistent.
Canning is the method. Jars are the storage units.
You aint seen nuthin yet.
“Such actions were observed during the gasoline rationing during the Carter years!!!”
Damn right. We used every trick in the book to get what we needed.
European oil demand will decline 2 percent to 14.7 million barrels a day this year, the lowest since at least 1996, the Paris-based International Energy Agency estimates. The region’s refineries are shutting at the fastest pace in three decades as economies stagnate or contract and competition from U.S. rivals using cheaper grades of crude intensifies.
The U.S. is producing the most crude in 13 years, and Libya has gone from exporting 45,000 barrels of oil per day in August 2011 to 1.4 million barrels of oil per day in May and June of 2012.
Oil down to $78.50 today. It feels so 2010 again!
Hey, how much was oil supposed to skyrocket to again?!
LOL!
Tick, tock...
Today begins the last Quarter of 2012. How's that prediction workin' out for ya?!
Tick, tock...Sherlock
““Over the next decade or so, oil is going to go much higher, because known reserves of oil are declining at a very rapid rate,” Rogers said. “
there you know the guy is full of crap!!!
Known oil reserves are the highest in history and known US reserves are now more than the middle east.
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