Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

'OPEC obsolete' if Keystone pipeline OK'd: Pickens
CNBC ^ | http://www.cnbc.com/id/101098969 | Matthew J. Belvedere

Posted on 10/10/2013 5:53:26 AM PDT by thackney

The proposed Keystone XL oil pipeline from Canada to the U.S. would make "OPEC obsolete," billionaire energy entrepreneur T. Boone Pickens told CNBC on Wednesday.

"Canadians say they have 250 billion barrels [of oil]. That's exactly what the Saudis claim they have," he said in a "Squawk Box" interview. "You're sitting there with the same amount of oil available to the United States from Canada … as Saudi Arabia."

"But when you move the oil through the Strait of Hormuz everyday, it's 17 million barrels," Pickens said. "The Navy is shepherding a cartel daily through the Strait of Hormuz. And then to China and Europe, and we get 10 percent of it."

(Excerpt) Read more at cnbc.com ...


TOPICS: News/Current Events; US: Montana; US: Nebraska; US: North Dakota; US: South Dakota
KEYWORDS: carbontax; coal; energy; gas; kenyanbornmuzzie; keystonexl; oil; opec; pipeline
Navigation: use the links below to view more comments.
first 1-5051-58 next last
video at link
1 posted on 10/10/2013 5:53:26 AM PDT by thackney
[ Post Reply | Private Reply | View Replies]

To: thackney

It is about the oil but it’s not ALL about the oil. OPEC needs to be kept closer, not pushed away IMO.


2 posted on 10/10/2013 5:59:52 AM PDT by RC one
[ Post Reply | Private Reply | To 1 | View Replies]

To: thackney
Energy prices in the US could be much lower today. To wit:

1. Announce the green light for Keystone.

2. Open up offshore drilling on all 3 oceans.

3. End "boutique blend" gasoline grades.

4. Start drilling on federal lands.

If I can think of this, don't you think somebody in the Energy Department knows this? Doesn't Obama know this? If he knows it, why doesn't he implement it?

3 posted on 10/10/2013 6:01:17 AM PDT by Former Proud Canadian (Cruz/Palin 2016)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Former Proud Canadian
If I can think of this, don't you think somebody in the Energy Department knows this? Doesn't Obama know this? If he knows it, why doesn't he implement it?

The evidence shows it is NOT Ow-ebama's goal to improve America's world standing or economy.

4 posted on 10/10/2013 6:03:52 AM PDT by Travis T. OJustice (I'm not a gynecologist, but I'll take a look.)
[ Post Reply | Private Reply | To 3 | View Replies]

To: thackney

Tee Bone is the Dick Morris of the energy business so although I’d like to believe this...
Oh BTW Tee Bone how’s those windmill thingies workin’ out?


5 posted on 10/10/2013 6:04:12 AM PDT by jmaroneps37 (Conservatism is truth. Liberalism is lies.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Former Proud Canadian

There’s a reason why gas is not $2 a gallon. Ask Americans if this would change it. Most don’t believe it will.


6 posted on 10/10/2013 6:06:58 AM PDT by DIRTYSECRET (urope. Why do they put up with this.)
[ Post Reply | Private Reply | To 3 | View Replies]

To: Former Proud Canadian

Energy prices in the US could be much lower today. To wit:

“1. Announce the green light for Keystone.

2. Open up offshore drilling on all 3 oceans.

3. End “boutique blend” gasoline grades.

4. Start drilling on federal lands.

If I can think of this, don’t you think somebody in the Energy Department knows this? Doesn’t Obama know this? If he knows it, why doesn’t he implement it?”

********

It’s called CONTROL.


7 posted on 10/10/2013 6:09:24 AM PDT by mongo141 (Revolution ver. 2.0, just a matter of when, not a matter of if!)
[ Post Reply | Private Reply | To 3 | View Replies]

To: DIRTYSECRET

Most Americans who voted last year voted for BHO. Did they get what they deserved?


8 posted on 10/10/2013 6:09:48 AM PDT by Former Proud Canadian (Cruz/Palin 2016)
[ Post Reply | Private Reply | To 6 | View Replies]

To: thackney

The benefits are obvious, patently obvious and will benefit the entire economy. Why block it?


9 posted on 10/10/2013 6:10:11 AM PDT by 1010RD (First, Do No Harm)
[ Post Reply | Private Reply | To 1 | View Replies]

To: thackney
Mexico also is reported to be sitting on reserves rivaling Saudi. However, they are about 25 years behind in where they should be in production due to mis-management by PEMEX.

If we produced anywhere near our capability it would put the mideast back in the stoneage where they belong.

10 posted on 10/10/2013 6:14:48 AM PDT by Captain7seas
[ Post Reply | Private Reply | To 1 | View Replies]

To: jmaroneps37
Tee Bone is the Dick Morris of the energy business so although I’d like to believe this... Oh BTW Tee Bone how’s those windmill thingies workin’ out?

I once thought that way until I met Boone and sat with him talking about this.

His philosophy is simple: get away from imported energy as fast as possible because the Middle East is collapsing rapidly. The Saudi Royal family will collapse soon and that will plunge the entire ME into abject turmoil.

If islamists take over, they may shut off energy to the West. They do not care if their people starve without oil revenue....their ideology comes first.

Boone did the windmill stuff to silence the greenies who hate him for making his fortune in oil. He is a supporter, but only if it is economical (which he said is not possible)

After that, I didn't judge him as harshly.

11 posted on 10/10/2013 6:18:16 AM PDT by Erik Latranyi (When religions have to beg the gov't for a waiver, we are already under socialism.)
[ Post Reply | Private Reply | To 5 | View Replies]

To: thackney

Jeez, Boone, shut up. If Obama hears you, the pipeline will NEVER get approved. Environment is one thing, but acceding to the Saudi King, protector of Islam, is quite another.


12 posted on 10/10/2013 6:20:07 AM PDT by Pearls Before Swine
[ Post Reply | Private Reply | To 1 | View Replies]

To: thackney

But the Saudi’s have 0bama (and likely previous admins.) by the shorts. They freak out over the Keystone pipeline.

DRILL BABY DRILL!!!!

What’s really at stake? A questionable “ally”? Use of Saudi air bases, etc.?


13 posted on 10/10/2013 6:20:50 AM PDT by SueRae (It isn't over. In God We Trust.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Erik Latranyi
How many millions did he lose on windmills? Doesn't he know that the greenies still hate him because he is still rich?
14 posted on 10/10/2013 6:21:19 AM PDT by Ditter
[ Post Reply | Private Reply | To 11 | View Replies]

To: RC one
OPEC needs to be kept closer, not pushed away IMO.

What actions does that sentiment imply? Do you think we need to buy more oil from OPEC?

15 posted on 10/10/2013 6:22:18 AM PDT by thackney (life is fragile, handle with prayer)
[ Post Reply | Private Reply | To 2 | View Replies]

To: jmaroneps37
Tee Bone is the Dick Morris of the energy business

The man is intelligent and a patriot. But after decades of experience, every time he speaks, I have this feeling I should check my wallet and grip it tightly.

16 posted on 10/10/2013 6:24:11 AM PDT by thackney (life is fragile, handle with prayer)
[ Post Reply | Private Reply | To 5 | View Replies]

To: Former Proud Canadian

“End “boutique blend” gasoline grades.”

What are “boutique blends” and why would their elimination lower energy prices?

What about rising electricity prices because of government mandates? Some rates have doubled in ten years the root cause being government green energy and EPA mandates.


17 posted on 10/10/2013 6:24:11 AM PDT by dynoman (Objectivity is the essence of intelligence. - Marylin vos Savant)
[ Post Reply | Private Reply | To 3 | View Replies]

To: Former Proud Canadian

I have come to believe that Obama had strong advice that blocking the Gulf deep wells, the Keystone pipe line and other such endeavors would endear him to his base

It turns out that the strong reserves growth in North Dakota, Texas and elsewhere have blunted much of the criticism.


18 posted on 10/10/2013 6:28:07 AM PDT by bert ((K.E. N.P. N.C. +12 ..... Travon... Felony assault and battery hate crime)
[ Post Reply | Private Reply | To 3 | View Replies]

To: Ditter
How many millions did he lose on windmills? Doesn't he know that the greenies still hate him because he is still rich?

He has invested many millions into his campaign for energy independence already. A few million on windmills is worth it, in his mind.

This way he can say he is for "all energy sources" to make us energy independent.

19 posted on 10/10/2013 6:30:46 AM PDT by Erik Latranyi (When religions have to beg the gov't for a waiver, we are already under socialism.)
[ Post Reply | Private Reply | To 14 | View Replies]

To: Erik Latranyi; Ditter

-——How many millions did he lose on windmills? Doesn’t he know that the greenies still hate him because he is still rich?——

We don’t know he actually lost any thing on wind turbines. He collected subsidies and the vast seemingly unending arrays across west Texas are turning. Given who knows what tax incentives to shelter other profits, he might not lose anything.

His other venture with Pilot Flying J to install natural gas filling stations for interstate truckers will be what he is remembered for.


20 posted on 10/10/2013 6:37:17 AM PDT by bert ((K.E. N.P. N.C. +12 ..... Travon... Felony assault and battery hate crime)
[ Post Reply | Private Reply | To 19 | View Replies]

To: dynoman
What are “boutique blends”

Image and video hosting by TinyPic

The multitude of different gasoline requirements. Multiply those shown here by 2 for winter blend, then add in the varying octane requirements at different state.

21 posted on 10/10/2013 6:39:09 AM PDT by thackney (life is fragile, handle with prayer)
[ Post Reply | Private Reply | To 17 | View Replies]

To: SueRae


Outside the Middle East, the marginal cost of oil skyrockets, so do OPEC oil export revenues.

Bernstein Research estimated that the non-Opec marginal cost of oil production - the cost of production for the most expensive new fields - rose to $104.50 a barrel in 2012, up more than 250% from $30 a barrel in 2002.

Now, OPEC is earning $1 trillion per year versus around $200 billion per year between 1985 and 2002 (today's dollars).
22 posted on 10/10/2013 6:39:10 AM PDT by Laurent.w
[ Post Reply | Private Reply | To 13 | View Replies]

To: Former Proud Canadian
If I can think of this, don't you think somebody in the Energy Department knows this? Doesn't Obama know this? If he knows it, why doesn't he implement it?

Because Obama is owned by the Saudis. See my FR homepage for details.

23 posted on 10/10/2013 6:39:39 AM PDT by PapaBear3625 (You don't notice it's a police state until the police come for you.)
[ Post Reply | Private Reply | To 3 | View Replies]

To: thackney; SueRae

google “Nixon and the petrodollar” and you may have an epiphany.


24 posted on 10/10/2013 6:40:26 AM PDT by RC one
[ Post Reply | Private Reply | To 15 | View Replies]

To: Erik Latranyi
Whenever I drive through beautiful country and see a huge field of windmills, I think of Buffet. Then I think how much I hate him for encouraging those hideous things.
25 posted on 10/10/2013 6:40:31 AM PDT by Ditter
[ Post Reply | Private Reply | To 19 | View Replies]

To: dynoman
What are “boutique blends” and why would their elimination lower energy prices?

Because many states (like CA) have their own unique blend requirements, you can't just ship Arizona gas to California gas stations. The restrictions make gas more expensive.

26 posted on 10/10/2013 6:42:05 AM PDT by PapaBear3625 (You don't notice it's a police state until the police come for you.)
[ Post Reply | Private Reply | To 17 | View Replies]

To: RC one

I take it you don’t have a intended action, just a catch phrase.


27 posted on 10/10/2013 6:45:25 AM PDT by thackney (life is fragile, handle with prayer)
[ Post Reply | Private Reply | To 24 | View Replies]

To: thackney

What I have is an understanding of why things are the way they are and what would happen if they changed. Google it. Read a little bit. or don’t.


28 posted on 10/10/2013 6:55:37 AM PDT by RC one
[ Post Reply | Private Reply | To 27 | View Replies]

To: thackney

I wonder if Aviation 100ll is a boutique blend, I’ve seen it referred to that way, racing gasoline too.


29 posted on 10/10/2013 7:13:06 AM PDT by dynoman (Objectivity is the essence of intelligence. - Marylin vos Savant)
[ Post Reply | Private Reply | To 21 | View Replies]

To: RC one

I have read on the topic for years. Since my career and providing for my family has been dependent on the petro-industry, I’m more than a little interested.

You posted it on the thread. What actual actions do you thinks would be good to take?


30 posted on 10/10/2013 7:17:12 AM PDT by thackney (life is fragile, handle with prayer)
[ Post Reply | Private Reply | To 28 | View Replies]

To: dynoman
wonder if Aviation 100ll is a boutique blend

Are you asking if Aviation Gasoline requirements change from location to location?

31 posted on 10/10/2013 7:18:33 AM PDT by thackney (life is fragile, handle with prayer)
[ Post Reply | Private Reply | To 29 | View Replies]

To: All


Help FR Continue the Conservative Fight!
Your Monthly and Quarterly Donations
Help Keep FR In the Battle!

Sponsoring FReepers are contributing
$10 Each time a New Monthly Donor signs up!
Get more bang for your FR buck!
Click Here To Sign Up Now!


32 posted on 10/10/2013 7:18:54 AM PDT by musicman (Until I see the REAL Long Form Vault BC, he's just "PRES__ENT" Obama = Without "ID")
[ Post Reply | Private Reply | To 30 | View Replies]

To: Former Proud Canadian
3. End "boutique blend" gasoline grades.

Don't take away my sport ute's fave blend: the ethanol free grade at the Conoco.

33 posted on 10/10/2013 7:25:24 AM PDT by sportutegrl
[ Post Reply | Private Reply | To 3 | View Replies]

To: thackney

No, I’ve seen aviation and racing gasoline referred to as a “boutique” blends. If we “get rid of” boutique blends would it include aviation and racing gasoline?


34 posted on 10/10/2013 7:26:57 AM PDT by dynoman (Objectivity is the essence of intelligence. - Marylin vos Savant)
[ Post Reply | Private Reply | To 31 | View Replies]

To: dynoman
I’ve seen aviation and racing gasoline referred to as a “boutique” blends. If we “get rid of” boutique blends would it include aviation and racing gasoline?

I do not see that happening in any case. Aviation Gasoline has stricter requirements and insurance liabilities associated with it not seen in automotive requirements.

he mogas debate
http://www.generalaviationnews.com/2013/09/the-mogas-debate/

Racing gasoline is done for people willing to pay for performance. Money drives its existence, not federal requirements.

35 posted on 10/10/2013 7:31:20 AM PDT by thackney (life is fragile, handle with prayer)
[ Post Reply | Private Reply | To 34 | View Replies]

To: thackney

I think that if we were to stop being a customer of OPEC, we would have less influence over them and other nations would jump in to provide that missing influence, nations hostile to our interests. Before you know it,OPEC will be accepting rubles or yuan or euros for oil and then, the next thing you know, demand for the dollar will plummet which will result in a fiscal crisis unlike anything we have ever seen. Our way of life has evolved around the petrodollar arrangement. I’m pretty sure it’s in our interest to maintain that arrangement at any cost. all just my opinion of course.


36 posted on 10/10/2013 7:31:31 AM PDT by RC one
[ Post Reply | Private Reply | To 30 | View Replies]

To: RC one
I think that if we were to stop being a customer of OPEC, we would have less influence over them and other nations would jump in to provide that missing influence, nations hostile to our interests. Before you know it,OPEC will be accepting rubles or yuan or euros for oil and then, the next thing you know, demand for the dollar will plummet which will result in a fiscal crisis unlike anything we have ever seen. Our way of life has evolved around the petrodollar arrangement. I’m pretty sure it’s in our interest to maintain that arrangement at any cost. all just my opinion of course.

So you believe it is in our best interest to limit domestic oil production and set a minimum OPEC purchase? I am still trying to convert your concern into an action. If you don't define an action, nothing happens but talk.

37 posted on 10/10/2013 7:33:56 AM PDT by thackney (life is fragile, handle with prayer)
[ Post Reply | Private Reply | To 36 | View Replies]

To: thackney

I think we have to consider that the petrodollar arrangement has been very very good for America and that it would be very very bad for America if it were to suddenly end. We also need to consider that as our welfare/ warfare state grows around this whole arrangement, the severity of the consequences of it ending grow with it. I suspect that there are no lengths to which we will not go to to maintain the status quo- wars, revolutions, assassinations, etc. With all this in mind, I think it’s pretty obvious that we can’t allow anything to come between us and the Saudis so, yes, we need to keep them close and the best way to do that is to keep buying their oil, protecting their interests, and respectfully bowing to their kings.


38 posted on 10/10/2013 8:09:57 AM PDT by RC one
[ Post Reply | Private Reply | To 37 | View Replies]

To: RC one
and the best way to do that is to keep buying their oil, protecting their interests, and respectfully bowing to their kings.

So on the first step, do you limit domestic production?

The climbs in oil production in the US by technical development are not going to stop in the US. It just started here. Just like nearly always.

39 posted on 10/10/2013 8:27:19 AM PDT by thackney (life is fragile, handle with prayer)
[ Post Reply | Private Reply | To 38 | View Replies]

To: RC one

You are overlooking the fact we would replace unstable opec oil with our own. We would need to produce enough to cover domestic use and have enough surplus to export. All of your dollar fears could be triggered over night by a stiff political wind in Saudi anyway.


40 posted on 10/10/2013 8:46:20 AM PDT by enduserindy (A painted trash can is still a trash can.)
[ Post Reply | Private Reply | To 36 | View Replies]

To: thackney; All
The price of oil is based on worldwide supply and demand. Increased U.S. production will not move the price of oil, decrease OPEC revenues, or affect the funding for Islamic militants. Future Asian demand and Russian supply are the big factors. Expanded North American reserves would have a military value in the event of a world war that denies the U.S. access to oil beyond its shores, but the odds on that are remote. Canadian oil sands would replace Venezuelan heavy crude at Gulf Coast refineries that can handle it, but that's about it. The only utility of that is to provide Venezuela with further incentive to come to its political senses, but I don't see how that's our problem.

The U.S. should develop its own resources. That brings all the value added of exploration and production back to the U.S., at whatever cost per barrel, up to $100. In economist terminology, it helps the balance of payments, but in simple terms it means jobs and prosperity for the U.S.: something that should have been done long ago.

Because of oil's energy density and ease of use, it will be the primary energy source for transportation, worldwide, for decades to come. Let's not get sidetracked by the renewable craze.

As for Canada, they can ship their oil here by rail or build/reverse a pipeline to their underutilized eastern refineries. Losing Keystone won't hurt them much, or us at all.

41 posted on 10/10/2013 9:03:22 AM PDT by Kennard
[ Post Reply | Private Reply | To 1 | View Replies]

To: thackney
The proposed Keystone XL oil pipeline from Canada to the U.S. would make "OPEC obsolete," billionaire energy entrepreneur T. Boone Pickens told CNBC on Wednesday.

And that is why the Saudis have ordered bathhouse barry to refuse to allow it's construction.

42 posted on 10/10/2013 9:07:57 AM PDT by pgkdan
[ Post Reply | Private Reply | To 1 | View Replies]

To: Kennard

Picens is a scam artist. at least he appears as such on msnbc.


43 posted on 10/10/2013 9:14:36 AM PDT by longtermmemmory (VOTE! http://www.senate.gov and http://www.house.gov)
[ Post Reply | Private Reply | To 41 | View Replies]

To: Kennard
The price of oil is based on worldwide supply and demand. Increased U.S. production will not move the price of oil,

How does an increase in US oil supply not affect the global price of oil? Increases or decreases in OPEC supply decrease or increase the global price. The US is significantly engaged in the global oil market, we import about as much as we produce. Increasing our domestic production decreases our draw on the global supply.

Future Asian demand and Russian supply are the big factors.

The US already produces more oil as Russia.

Expanded North American reserves would have a military value in the event of a world war that denies the U.S. access to oil beyond its shores

Reserves are not production rates. Oil in the ground does not match oil flowing to the refinery. See Venezuela for a great example.

44 posted on 10/10/2013 9:15:08 AM PDT by thackney (life is fragile, handle with prayer)
[ Post Reply | Private Reply | To 41 | View Replies]

To: RC one

>>It is about the oil but it’s not ALL about the oil. OPEC needs to be kept closer, not pushed away IMO.<<

Why, so more muslims will infiltrate the USA?


45 posted on 10/10/2013 9:36:58 AM PDT by B4Ranch (AGENDA: Grinding America Down ----- <<http://vimeo.com/63749370)
[ Post Reply | Private Reply | To 2 | View Replies]

To: dynoman
Read the whole article and you will know more about boutique blends than 99% of your fellow citizens. It is more useless regulation that adds cost:

http://www.weeklystandard.com/articles/bureaucratic-gas_634424.html

BTW, google can be useful.

46 posted on 10/10/2013 10:17:25 AM PDT by Former Proud Canadian (Cruz/Palin 2016)
[ Post Reply | Private Reply | To 17 | View Replies]

To: bert
I think Obama simply has a distaste for the oil business from drilling for it to refining it to using it. He doesn't like it.

Cheap energy will make a country wealthy and free. Wealth and freedom are anathama to this regime.

47 posted on 10/10/2013 10:20:00 AM PDT by Former Proud Canadian (Cruz/Palin 2016)
[ Post Reply | Private Reply | To 18 | View Replies]

To: thackney
Future incremental (increased) production, the delta, of U.S. supply and demand will be small, relative to increases in supply from countries like Russia and increases in demand from Asia. As such, increases in U.S. production will not have a significant impact on world oil prices. That should be a safe statement, without getting into a massive statistical analysis, much of it based on highly controversial data. My view is that the reason the Saudis are concerned the U.S. might become self-sufficient is more because they fear a gradual weakening the U.S. security umbrella as Persian Gulf oil becomes less important to the U.S.

You have a valid point that proven reserves of oil in bitumen form are not militarily significant, unless they are being produced. It's not just a matter of drilling some development wells. I think that military concerns are based on a remote possibility.

48 posted on 10/10/2013 10:30:02 AM PDT by Kennard
[ Post Reply | Private Reply | To 44 | View Replies]

To: Kennard
Future incremental (increased) production, the delta, of U.S. supply and demand will be small, relative to increases in supply from countries like Russia

I do not believe that is true. For 2013 Russia production growth is expected to rather small compared to the US. In 2014 they are expected to fall in production rate while the US will have significant production growth.

Image and video hosting by TinyPic

As such, increases in U.S. production will not have a significant impact on world oil prices.

The US is having the largest production increases in the world.

49 posted on 10/10/2013 10:56:15 AM PDT by thackney (life is fragile, handle with prayer)
[ Post Reply | Private Reply | To 48 | View Replies]

To: thackney

Decisions on big-cap items like pipelines need to be made based on a best estimate of demand a decade or so out, not next year. For example, Canadian oil sands production is forecast to grow from 1.8 million barrels per day in 2012 to 5.2 million barrels per day in 2030: http://www.capp.ca/getdoc.aspx?DocId=227308&DT=NTV Long-term, Canada will do better finding its own refinery solution.


50 posted on 10/10/2013 12:54:00 PM PDT by Kennard
[ Post Reply | Private Reply | To 49 | View Replies]


Navigation: use the links below to view more comments.
first 1-5051-58 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson