For all that believe we have on oil

[MARIS61]

Either way, we should be creating jobs by pumping up oil and refining it. Also, in so doing, it will have a rippling effect on current oil prices and maybe we can bring back some stability to pricing.

If the jobs could be sustained by the price of oil, they would already be pumping oil. Nobody is preventing American oil companies from pumping oil. It is simply a business decision they made all on their own. They make more money buying it from foreigners, refining it and jacking up the profit margin to rape Americans. Until/unless government regulation takes over the industry it won't matter where they actually get the oil. They will continue to gouge America.

 

[Denny Crane]

Profit on a gallon of gasoline is at most $.10 for the oil companies and less than that for the station owners.

It costs as much to move the gasoline from the refineries to the stations as it does to refine the oil into gas. That's half the cost of a gallon of gasoline at the pump.

Getting the oil out of the ground and shipped to the refineries is another huge chunk of the expense. If the oil companies are paying $100/barrel to the Arabs, it's not so easy to make a profit.

The average gasoline tax for all 50 states is $.481 per gallon, with California at the top with $.661 and Alaska at the bottom with $.264. We all know whose jobs depend on oil.

 

[3RA1N1AC]

I'm in jlprks sig, oil be damned

 

[jlprk]

Someone read my signature? You're the second person (PapaG) who's ever given me feedback. I figure I must do it for my own entertainment.

Profit on a gallon of gasoline is at most $.10 for the oil companies and less than that for the station owners. It costs as much to move the gasoline from the refineries to the stations as it does to refine the oil into gas. That's half the cost of a gallon of gasoline at the pump. Getting the oil out of the ground and shipped to the refineries is another huge chunk of the expense.

You didn't separate the big portion which goes to Wall Street speculators. They cause almost all the price fluctuations.

 

[Denny Crane]

Someone read my signature? You're the second person (PapaG) who's ever given me feedback. I figure I must do it for my own entertainment.



You didn't separate the big portion which goes to Wall Street speculators. They cause almost all the price fluctuations.

For most people, options/futures is outright gambling. The government can't outlaw it because there are legit reasons for the futures to exist.

 

[DaLincolnJones]

Here you go


Be sure to look all the way to the bottom.....Bud

PRICE OF GAS AROUND THE WORLD

Prices are quoted in US dollars per gallon for regular unleaded as of March 2011

Oslo, Norway $6.82
Hong Kong$6.25
Brussels, Belgium $6.16
London, UK $5.96
Rome, Italy $5.80
CANADA $5.36
Tokyo, Japan $5.25
Sao Paul o , Brazil $4.42
New Delhi, India $3.71
Sidney, Australia $3.42
Johannesburg , South Africa $3.39
Mexico City$2.22
Buenos Aires, Argentina $2.09
... YOU'RE GONNA LOVE THIS ....

Riyadh, Saudi Arabia $0.09

Kuwait $0.08

Caracas, Venezuela $0.12
Gee, if only the U.S. was an oil producing nation.....
Hey, wait a minute!!! we are ,what the hell happened!!

 

[barfo]

Here you go


Be sure to look all the way to the bottom.....Bud

PRICE OF GAS AROUND THE WORLD

Prices are quoted in US dollars per gallon for regular unleaded as of March 2011

Oslo, Norway $6.82
Hong Kong$6.25
Brussels, Belgium $6.16
London, UK $5.96
Rome, Italy $5.80
CANADA $5.36
Tokyo, Japan $5.25
Sao Paul o , Brazil $4.42
New Delhi, India $3.71
Sidney, Australia $3.42
Johannesburg , South Africa $3.39
Mexico City$2.22
Buenos Aires, Argentina $2.09
... YOU'RE GONNA LOVE THIS ....

Riyadh, Saudi Arabia $0.09

Kuwait $0.08

Caracas, Venezuela $0.12
Gee, if only the U.S. was an oil producing nation.....
Hey, wait a minute!!! we are ,what the hell happened!!

What the hell happened? Two things.

One: While we produce oil, we don't produce as much as we consume. Saudi Arabia, Kuwait, and Venezuela all export oil. We import it.
So we don't have profits from our oil exports to subsidize the price of gas at home.

Secondly, our oil companies aren't owned by the government. They are in business to make a profit, not to provide you with cheap gas. Perhaps you'd be happier if we nationalized the oil companies?

barfo

 

[Denny Crane]

We produce half as much oil as we did in 1970. Get back to that level and we wouldn't need to import any. We need a few more refineries, too.

And what happens to price when supply goes up?

 

[Draco]

For most people, options/futures is outright gambling. The government can't outlaw it because there are legit reasons for the futures to exist.

Yes there are "legit" reasons; you can hedge your risk of exposure to any commodity. If you need to buy $10million of oil 3 years from now a future or option lets you lock in the price today. You eliminate the prospect of losing money if prices go up and you eliminate the chance of extra profit if prices go down.

The "gambling" is required in order to have a fluid marketplace where people can enter these trades. If the speculators weren't involved in the market there wouldn't be anybody to stand on the other side of the transaction.

The "gamblers" are an essential part of markets.

 

[barfo]

We produce half as much oil as we did in 1970. Get back to that level and we wouldn't need to import any. We need a few more refineries, too.

And what happens to price when supply goes up?

That seems to be incorrect. We import about 8,000 barrels of crude/day. At the peak in 1970, we produced 9637 barrels/day. Now we produce 5500 barrels/day. [That's just crude, we also import another 4000 barrels/day of refined products.]
So if we were somehow able to ramp production up to 1970 levels, we'd still need to import about 1/2 the crude we do now (and all of the refined products we do now).

barfo

 

[Denny Crane]

That seems to be incorrect. We import about 8,000 barrels of crude/day. At the peak in 1970, we produced 9637 barrels/day. Now we produce 5500 barrels/day. [That's just crude, we also import another 4000 barrels/day of refined products.]
So if we were somehow able to ramp production up to 1970 levels, we'd still need to import about 1/2 the crude we do now (and all of the refined products we do now).

barfo

1/2 the crude we import now is what we import from just Canada and Mexico alone. Seems like a plan to me.