BS. At that time, the price of oil never reached half of today's price.
While gasoline prices were not that low.
Posted on 05/30/2013 11:20:15 PM PDT by Vince Ferrer
Exxon Mobil Corp. (NYSE: XOM) is cutting its losses on algae biofuels after investing over $100 million only to find that it couldn’t achieve commercial viability.
Earlier this week, Exxon announced that while it wasn’t throwing in the towel, it would be forced to restructure its algae research with partner California-based Synthetic Genomics Inc (SGI).
(Excerpt) Read more at oilprice.com ...
You pay the price at the pump. I’m just saying that’s how it is. We’re all screwed.
The oil companies are a very small part of the price at the pump. Government induced supply limits, taxes, and regulations are the biggest part of the problem. I hate the price too but I don’t blame the producers.
They are a part, but in the 90’s we were at this level of oil price and 80 cents a gallon.
And that was with Clinton.
There’s just no justification for the gas prices now, it’s all gouging.
It’s a shame your car doesn’t run on crude oil. I knew the gouging angle was coming. No reason to continue this debate since you believe oil companies should deliver the product for free. If you buy a cup of coffee today, that is where you’re being gouged by the producer. Oil drives the economy and the biggest taker is GOVERMENT.
I worked in downstream at exxon, nuff said. I know how they feel about that entire system. The government taxes aren’t even the tiniest bit of how the think.
I am a product manager for a large commercial telecom/data equipment provider. Example: I can buy a widget for $100.00 from a manufacturer but due to loaded costs I have to sell it for $350.00 to make a 10% gross, not net, profit. That 10% gross is dependent on a high volume of widgets sold. The telecom technician “downstream” with great wages and benefits package thinks exactly like you do. I am sure glad the downstreamers don’t run the show. Nuff said.
Indeed, and that’s why gas is 3.50-4 vs 1.50-2 as it should be.
In your world the gasoline pump sits on the crude oil well head that magically appeared there and produces 3 grades of product. No drilling, no refining, no transportation, no taxes or regulations, no shareholders. You really learned a lot working downstream.
Have a great day I have to go get dressed for work making obscene profits and sticking it to the little guy.
You have no clue about how things work or what I said, have fun.
It’s not the accountant, but the engineers who said it would work. Regardless, they took a risk that didn’t pan out, big deal. I like it, it shows that business are willing to take a risk only to “see if something works”. I remember the R&D tax credit - it encouraged companies to spend money to make money. Good capitalist ideas that were taken way when then libtards took over.
I guess I need to work downstream. You’ve said nothing but gas is high because Exxon is evil. I understand what you said but it has no bearing on the subject. Capitalism sux in your world.
Last 3 years XOM spent an average of $32 billion in CapEx and averaged $28 billion in Free Cash Flow. This $100 million is not even a rounding error.
Monty,
Your memory needs a little update. Oil was about $30 a barrel all through the Clinton years. Here’s a chart:
http://www.bing.com/images/search?q=historical+world+oil+price+chart&qs=n&form=QBIR&pq=historical+world+oil+price+chart&sc=0-0&sp=-1&sk=#view=detail&id=F5196AB68A6453B1D2FFF0989E3D02790966316B&selectedIndex=3
Disappointing. I love diesel motors, was hoping this algae stuff would work. Much smarter than turning our food into biofuel. I’ve owned a good bit of XOM stock for years. Pays dividends and rises predictably with the price of oil.
Monty said $.80/gal which is close to $30/ barrel. What he doesn’t understand is that is the price at the source not the price at the pump. He has worked down stream though. I got to run and get financial advice from my financial advisor’s barber. Later.
BS. At that time, the price of oil never reached half of today's price.
While gasoline prices were not that low.
The oil prices of the 90’s wasn’t anywhere near where it is today.
The last half of the 90’s the OFF Program and the smuggling of Iraqi oil drove the price so low it caused a worldwide recession.
I had an oil lease, I was selling oil at the time and there was times I only got $12-$15 per barrel and that was because I waited for the price to go up to sell.
Hip waders aren’t high enough for your BS.
I had a lease and was selling oil the last half of the 90’s.
The only reason the price of oil was as high as it was (now there’s a joke for you) the gatherers weren’t buying oil unless it met a very specific set of requirements.
In 1999 a lot of independent operators couldn’t sell their oil at any price.
Others were selling as low as $7.
Except it wasn't an investment, it was either a bribe or protection money.
Partnered with "California-based SGI"?
I bet you anything that if you looked into SGI, you would find a money-laundering operation for OFA, or the Tides Foundation, or some similar Marxist organization.
At $100 million, Exxon probably got off cheap.
Even less than that in some places. Hard to believe how some kept in business.
Look at Average price Dec 1998 - Jan 1999:
Alaska North Slope First Purchase Price
http://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=F005071__3&f=M
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