No gas for me tomorrow

[SCREAMING EAGLE-66]

I don't have a problem with them making a profit, but how much profit?  And every once in a while?  How about every day.  And if I'm to believe what they are reporting on the news this evening then the oil companies are making a 95% profit per barrel of oil right now and this will continue. 

Rick

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---That may be true on old shallow wells that are slowly being emptied but make that kind of money but do you have any clue how much money it takes to drill a well 3000 -10,000 feet (two miles) into the surface of West Texas. Some of those rigs cost $50,000,000. Then there is absolute no cinch there you will find oil, in fact wildcat wells only produce about 10% of the time, 90% of those are nothing but lost money so the expense may a complete loss. You better make a bunch on the successful ones to offset the total losses which often occur. Wells dug "Infield" have a better success rate but still many fail. If you find oil, then you have to pump it vertically for 1-2 miles.... That is not easy or cheap eaither... Most crude has parafin in it which gums up the pipe... so you pull everything and clean it out regularly.... more expensive costs.

---- Most people just don't get it...... and think it is like Kwuatti oil. Drill a shallow well and it just flows out of the ground.... (remember the fires after the Gulf war that was shootiing up into the air).....America once had a few of those but no more.... It is difficult now to get oil......Our easy to get oil is gone.... forever...... That is why we are using their cheaply produced oil..... unfortunate the developing Far East now needs and wants it as well.... thus the price climbs..... (supply an demand again)... The Hurricane didn't help us any but we may reccoverly from that part eventually....

PS: I know nothing about putting our fires so will offer no advice on that subject,

not even much about oil fires which can be an expensive problem and has also recently cut refining capacity on the Gulf Coast. BP has had several of those lately, they seem to need help..

Edited September 2, 2005 by SCREAMING EAGLE-66

[SCREAMING EAGLE-66]

---That may be true on old shallow wells that are slowly being emptied but  make that kind of money but do you have any clue how much money it takes to drill a well 3000 -10,000 feet (two miles) into the surface of West Texas.  Some of those rigs cost $50,000,000.  Then there is absolute no cinch there you will find oil, in fact wildcat wells only produce about 10% of the time, 90% of those are nothing but lost money so the expense may a complete loss.  You better make a bunch on the successful ones to offset the total losses which often occur.  Wells dug "Infield" have a better success rate but still many fail.  If you find oil, then you have to pump it vertically for 1-2 miles.... That is not easy or cheap eaither... Most  crude has parafin in  it which gums up the pipe... so you pull everything and clean it out regularly.... more expensive costs.

---- Most people just don't get it...... and think it is like Kwuatti oil.  Drill a shallow well  and it just flows out of the ground.... (remember the fires after the Gulf war that was shootiing up into the air).....America once had a few of those but no more.... It is difficult now to get oil......Our easy to get oil is gone.... forever...... That is why we are using their cheaply produced oil..... unfortunate the developing Far East now needs and wants it as well.... thus the price climbs..... (supply an demand again)... The Hurricane didn't help us any but we may reccoverly from that part eventually....

PS: I know nothing about putting our fires ( my oldest cousin died in a rig fire near Midland) so will offer no advice on that subject, not even much about oil fires which can be an expensive problem and has also  recently cut refining capacity on the Gulf Coast.  BP has had several of those lately,  they seem to need  help..

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[FirefightnRick]

There are a lot of options in America that gets 25-30 or more MPH, we just don't buy them.

There isn't many options at all if you fear for your life everytime you drive to work? I would be more than happy to elaborate with some color photos if you would like?

Rick

[HoustonEagle]

---I don't understand that one....  No one makes anyone buy a gas guzzling car/suv that gets 10-15 mph.  There are a lot  of options in America that gets 25-30 or more MPH, we just don't buy them.   

Oil companies--- if they sold less products, they could just charge a few cents more and make as much or more money.  The problem now is two big issues... the Far East, especially China (even Russia)  is now consuming much more oil  that they used a few years ago and there is only so much available on the world market so the price is climbing (supply and demand).  Another huge problem is there HAS NOT BEEN ONE American refinery  build in over in over 20 years.  In fact in West Texas (where I live) there have been some small OLD refineries closed and this decreases the amount of American gasoline available..... and this has happened just as the  demand for international oil is increasing.  I remember  a trip I took in 1997 or 98, I paid about 80 cents per gallon and oil companies were struggling in West Texas and as lot of weaker wells and unprofitable things (refineries etc.) were shut down....  Oil had dropped to $8.00 a barrel due to excessive middle-eastern oil available.  Those resourses are now gone..... and we are now paying for it now.

---Look at the cars in foreign countries .... most are much smaller than what Americans use. I have been in Europe including Italy and most of those places make our cars look like Elephants, plus they use mass transportation including bikes and other means. Most of the foreign cars you see here are larger than what they sell in their own country.  Most countrys (except in some oil-rich countries) have much higher oil prices than America so they buy smaller  less gas guzzling cars.  Europe is extremely high.

---Summary.....car companies offer small cars... Americans don't buy them... we like BIG ones.... No I don't work for an oil-company... just live in the West Texas oil-field area and understand what is happening.

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Very sensible post.

Being in the industry I will say that these prices are demand driven creating a narrowing supply cushion. I am sure I don't have to tell you but that is a recipe for high prices. Instead of railing on who is right and wrong in their post I will just say this. Discounting the latest tragedy and over the short term we will see prices come off some. But, over the long term I promise you prices are only going higher. Instead of fighting reality I suggest you all embrace it and make changes accordingly.

[Coffee and TV]

What I'd like to ask everyone who thinks ANWAR is such a great idea is what if a large amount of oil was found in Yosemite? How about Yellowstone? Big Bend anyone?

[j0nat8an]

there's an easy solution to all of this: reinitiate the oil drilling at Bayside High School. I think Jessie would have a more difficult time getting students to join her in her "stop the drilling, stop the oil!" rant. i know that Debbie's life could've been saved, but at this point the state-of-the-art gym looks pretty appealing.

[IslandEagle]

What I'd like to ask everyone who thinks ANWAR is such a great idea is what if a large amount of oil was found in Yosemite? How about Yellowstone? Big Bend anyone?

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I get reports from oil industry pubs through my energy fund. I've yet to read one that seriously thinks we can drill our way out of this crisis. Certainly they want to explore and drill as much as possible, but they also admit that there are not enough proven and suspected reserves to meet predicted oil needs. Even they say we need to get moving on alternative energy and fuel efficiency plans.

So, the question is...why destroy our few remaining natural assets on a solution that is doomed to failure?

[Coffee and TV]

there's an easy solution to all of this:  reinitiate the oil drilling at Bayside High School.  I think Jessie would have a more difficult time getting students to join her in her "stop the drilling, stop the oil!" rant.  i know that Debbie's life could've been saved, but at this point the state-of-the-art gym looks pretty appealing.

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that's awesome. you deserve a cookie for that.

[SCREAMING EAGLE-66]

Picture of Shell's MARS Drilling Platform in the gulf near NO. There are many more.

I don't even want to guess how many 100 of Millions dollars were lost by the storm-- including production and oil-field repairs... (not easy in the middle of the Gulf) ... There are many more platforms in similiar condidtion. This is one reason gasoline prices are increasing.

The email I received with it.....

_______________________________________________________________

For those of you not in the oil industry, this is a photo of a production platform (Shell Oil) taken 8/30/05. It is in the deepwater Gulf of Mexico, ‘called ‘Mars’ field (Mississippi Canyon Block 807- water depth 3,300’). It is one of the highest volume fields in the U.S., not just the offshore Gulf of Mexico, but the U.S.! It has produced more hydrocarbon than any offshore Gulf of Mexico Field, yet has only been around since 1996. It has produced to date 624 million barrels of oil and nearly 1 trillion cubic feet of natural gas and was producing 300,000 barrels of oil per day and 400 million cubic feet of gas per day). By the way, it not supposed to have that ‘collapsed’ look to it. This is just one field hurt by the recent hurricane. It will be a long time before it is repaired and back on line. America just got a lot more dependent on foreign oil.

If you want to donate a few hundred million dollars for the platform relief fund, or just send a sympathy card, please contact Shell Oil. If not, maybe the higher gasoline prices will enable Shell to rebuild it in 12 to 24 months.

http://beastsbelly.blogspot.com/2005/08/ka...s-platform.html

_________________________________________________

The Hurricane means higher gasoline and probably higher home isurance for us all.

---Note there is 3300 feet of water to the Gulf floor.... then the well(s) are drilled into the floor several 1000 feet more...... It ain't cheap or easy anymore to get petroleum. [each platform has multiple wells producing]

Edited September 2, 2005 by SCREAMING EAGLE-66

[UNTFan23]

Instead of fighting reality I suggest you all embrace it and make changes accordingly.

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Changes like ... stop buying "luxury" items like CD, Movies, Video games, etc, etc???

Since I have no real disposable income, something has to give, and the above are just the start of my cuts.

[SCREAMING EAGLE-66]

Damn liberals.

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That is the informed spirit.... Sounds like Rush... when you don't know who to blame just say pagan socialist liberals...

---Washington and Jefferson et. al. were actually liberals ... they supported change, no King, let people govern themselves. Few other countries did that then. .... Later letting women, minorities and non-landowners vote were considered liberal ideas at the time as well. I suppose abolishing slavery was too. The term conservative means resist change when talking social issues. Get informed and don't just spew off someone elses goofy thinking.

---Conservative financially is totally different... don't spend what you don't have...... only 6 of the last 25 years has the US had a budget surplus, ... during the 90's when the other party was in control, the other 19 years we overspent our budget.. Learn truth, not talk-radio garbage, you have a good college degree....Think!!

Edited September 2, 2005 by SCREAMING EAGLE-66

[EagleD]

There has never been an administration as closely tied to big oil as this one. Any inside pull?

GO MEAN GREEN PARTY.

[untgirl04]

I'm going to try to avoid getting into the political debate for obvious reasons, but I'd like to point out a very basic principle of macroeconomics:

When governments spend money, it's good for the economy. It raises the GDP and provides jobs, income, and support for thousands of people. The problem many Americans have is looking at the now and the small picture - what's happening directly to them. When you're talking about running an entire country, you have to look at what is best for your people 10, 15 years down the road - not just what's happening now.

[nuggets]

I just paid $24,853.75 for 8425 gallons of unleaded. I must be losing my mind. GO MEAN GREEN. Gas selling Deb

[Zeke]

I just paid $24,853.75 for 8425 gallons of unleaded. I must be losing my mind. GO MEAN GREEN. Gas selling Deb

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See everyone.............America just has too big of vehicles

[SouthBendGreen]

See everyone.............America just has too big of vehicles

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Now that's funny!!!!

[SCREAMING EAGLE-66]

There has never been an administration as closely tied to big oil as this one.  Any inside pull?

GO MEAN GREEN PARTY.

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The biggest contributer to the present group in 2000 was "the Enron people", they even provided him an airplane during th campaign much of the time.. Can't find the BBC article that states that anymore but this is close. Article is from Britian, not politically biased. His VP was president of Halliburton.

http://news.bbc.co.uk/1/hi/business/1780075.stm