Posted on 11/01/2013 7:03:46 AM PDT by thackney
So you know we are a net importer. And you still think is we stop exporting we would be energy independent?
You changed the method from this post to the last one.
Yes if we grow production enough we could overcome the need to import. That wasn’t what you wrote.
Sorry, that wasn't you. But it was the post I was responding to.
They tried a nuclear detonation to get the crude oil out but it left a huge underground cavern and they got little oil.
So to become energy independent, we stop exporting the surplus refined products that we don't use, wait for the magic to happen, then stop importing?
I believe it was for Natural Gas.
Project Gasbuggy tests Nuclear Fracking
http://aoghs.org/technology/project-gasbuggy/
It did release more gas, but the gas was radioactive. Although a 50-kiloton nuclear explosion to fracture deep oil shale deposits Project Bronco was proposed, it never took place.
Shale gas acquisition deals and enthsiasm are down and somnolent due to the very low US price for nat-gas. Oil being 100x more fungible has a better future at the moment.
I hear this stuff from my cuz who is an energy trader.
The EFFECTIVE Oil and Gas Reserves are a function of the price a buyer is willing to pay for Oil and Gas.
The lower the price the less profitable will be the production of Oil and Gas, and thus the lower the volume of profitable Oil and Gas Reserves.
At a certain point, the demand for Oil or Gas will cause the price to go up, and then there will be more effective (=profitable) reserves.
Although there is a finite amount of Oil Shale in the World, and thus an even smaller finite amount of Oil and Gas that can be produced from that shale, small amounts of Oil and Gas are being continuously generated in some sedimentary basin “kitchens” with suitable conditions.
Estimates of future supply and demand usually deplete Oil and Gas Reserves in the Hundreds of years range.
If I could predict where oil/gas prices were going to move to, I would not have to work for a living. Understanding how the oil industry works is far different than predicting everything that effects the price of oil, like politics, wars and new technology.
Are the Saudis about to crash oil prices just to make life interesting for fracking operations?
I do not believe they have that ability. They are spending more and more dollars themselves for enhanced oil recovery projects. They are no longer doing simple drilling themselves.
If we have a surplus why are we importing? It is not that hard. Use what we have first then buy what we need. Not buy first. Damn economics, I am tired of feeding muzzies missile money.
Where did you hear about this ?
If true, there will come a day when their domestic gasoline (sold at $0.45 per gallon) subsidies will cost them real money instead of representing opportunity cost.
We do not have a surplus of crude oil. We need a lot more crude oil to meet our demand of refined products.
We are exporting some surplus refined products. Since our domestic demand is smaller than our total refinery capacity, we import more crude than we need and export the higher dollar value product. It keeps more jobs in the US, helps keep us a running refinery capacity surplus, and give a bit to help our trade balance.
It is not that hard. Use what we have first then buy what we need.
We are.
Crude oil is not the same as gasoline. It takes refining first.
It cost them real money now. They consume ~3 MMBPD and only refine 2.1 MMBPD. They have to pay someone else to refine the difference, import the product, then give it away in country.
http://www.eia.gov/countries/cab.cfm?fips=SA
I suspect it was while boating on a major river in Egypt.
http://oilshalegas.com/greenriveroilshale.html
Here are some more interesting facts that I will soon forget.
I still think nat gas is hotter...
Not exactly. If prices fall and profits with it, you can increase revenue by increasing production. The only problem is “cost of production”. As technology advances or regulation declines, “cost of production” will also decline.
Americans are terrific at this. We can do the same with energy and produce giant volumes of low cost energy while protecting the environment. Capitalism works! Unchain the capitalists, set them FREE.
Yes, but out of date.
They talk about the same Shell project I linked as ending around 2010~2012. So it was written before 2010. The results of the completed test are available.
I don’t know why you think that. Less BTUs, smaller molecule with less atoms to oxidize. Test result show differently.
But hope springs eternal...
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