Drill baby drill

Windsblow said:

http://oilprice.com/Energy/Crude-Oil/Proven-Oil-Reserves-Will-Continue-to-Increase-With-Time.html

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Serapis said:

You stated I wasn't privy to information that you had..... sounds like you are saying I don't know what I'm talking about?



Since when has OPEC set prices? Not since the 80's.... oil is traded on the mercantile exchange and goes to the highest bidder. Please explain how gas is high because of our failure to be capitalists? Nothing has ever been found? I challenge you to prove that, as the findings are always the same, supply and demand...




So now i'm shallow and novice? and you want me to have a discussion with you, even after your smart ass remarks? you're kidding? right?

My 73% figure was from memory. I read the breakdown on MSNBC Tuesday, after Monday's earnings reports. Sales of US Crude to foreign markets is hardly 94%. Are you also suggesting it is cheaper to tank oil to a foreign country to refine to gas and ship it back as gas is cheaper than refining oil here? Where did you arrive at that conclusion? You challenge me to do research, yet you haven't done any. The US is the 5th largest refiner in the world. Even Iran doesn't refine it's own oil. You want sources? OK,..... http://en.wikipedia.org/wiki/List_of_oil_refineries#North_America

Also, Exxon does indeed sell US CRUDE on the open market, They also sell heating oil, and gasoline, refined right here in the states, going to foreign countries willing to pay the premium...
http://www.platts.com/weblog/oilblog/2010/05/09/us_oil_exp.html

Uh, you don;t get it.. or you are twisting words.... Profits are indeed generated from selling US oil and oil products to the foreign market. My point was, "why open up more shores to drilling when they oil they drill now goes to foreign markets?"

My exact words were...

How you are tying profits to that remark baffles me.... I'm merely pointing out that the majority of what they drill in US territory ends up in other markets, not the US market. Therefore opening up additional well sources is pointless, it's just going to go to the highest bidder anyways.

And how in the hell do you discern that I think the middle east unrest has no effect on prices? Do you really read that between my lines? If unrest affects production, then supply is shortened a the price goes up.

try again... point out where I stated that oil companies set prices, minus refinery output.... I never did...

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The Ruiner said:

And as I noted in a post (not directed towards ANYONE in particular), domestic companies dont export (much) US crude, they export approximately 1.7ml/bpd, we consume nearly 19ml/bpd and import 11ml/bpd and produce 9ml/bpd...Our "exports" go to Canada for the most part btw....This is just the xenophobic and ignorant talking of things of which they understand very little.

Whither the bumpy plateau...Demand destruction...

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The Ruiner said:

View attachment 1578230View attachment 1578232View attachment 1578233

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Serapis said:

Exactly what I would expect from a moron....

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The Ruiner said:

Aww...somebody's feelings hurt?

Dude, you have the attention span of well...a stoner. You cannot keep arguments in-line and straight. It's worse than trying to have a discussion with Bill O'Reilly, or Rush Limbaugh when he was downin the vicodin. You are stubborn, and always ready for a fight. I have researched this stuff intensely for nearly a decade...you have nothing but hastily put together bullshit that you just found. Go back to the drawing board, find some other sap to "debate" with that will tolerate your thick skull and asinine approach to others. I can tell you right now that your reading comprehension is quite embarrassing, if anyone with a decent IQ were to ever evaluate your line of argumentation (like me).

Go on with your bad internet self, and proclaim youself ruler of Greek and Egyptian alike...you God-like being you...

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The Ruiner said:

As long as people are unaware to the addition of shale, tarsands, and available biofuels to the "proven reserve" estimates, this debate will continue to be poorly understood...and misleading for most. You can believe what you want, but I strongly advocate that you take a step back and consider everything that is happening in the world now and ask; "what the hell is it all for?"

I can tell you that it's not all for naught, or just for profits. We are literally talking about the war for life...which in our generation means oil. If people fail to realize that there already is a resource war well underway, then there is little others can do to change their minds. Fact remains that these beliefs will do nothing to alleviate the current problem the world is facing (and the US is in particular, vulnerable).

Ask yourself, why? Keep going with it...and use sound reason and judgement in your quest of understanding...drown out rhetoric and the like, and keep asking until you find an answer that works for you.

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Windsblow said:

"Since when has OPEC set prices? Not since the 80's.... oil is traded on the mercantile exchange and goes to the highest bidder. Please explain how gas is high because of our failure to be capitalists? Nothing has ever been found? I challenge you to prove that, as the findings are always the same, supply an"

When OPEC has direct and real control of oil production they have the ability to manipulate supply thus price. During the period of record high oil prices several years ago, The price of oil sold went from 40 a barrel to 4-5 times that price while the cost to extract only increased something like 20 cents. While at the same time producing enough oil for global demands. Though supply and demand, is the supposed theory for oil prices, what we are really talking about is Production and demand and it has more to do with Geopolitics than it does Global demand for the product. Everytime a terrorist or dictator wakes up with a bad headache oil price sky rocket. Were the Gas prices in the 70's due to supply and demand..... NO! Is was due to IRAN cutting off production. There was plenty of SUPPLY they just didn't sell it to us. BIG difference.

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Serapis said:

No one said anything about market manipulation.... simply stated, OPEC doesn't price oil.... the price is set by traders that are willing to buy futures....

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Windsblow said:

I will check on the BioFuels thing but reserves are not going anywhere. BioFuels, If they are included are not even a drop in the bucket. As for the rest of your point. I don't know what you are getting at.

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Windsblow said:

Oh yeah and the the futures market is only part of the demand. Futures trading doesn't set the price either. It's just a variable.

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When OPEC has direct and real control of oil production they have the ability to manipulate supply thus price.

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Windsblow said:

And I never siad anything about OPEC directly dictating prices (though they might as well). Are you intentionally acting like this? When market are manipulated and that manipulation is endorsed and sponsored by Globalist and POwerful government Capitalism has failed.

Next!

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Serapis said:

LOL... are these not your words?



Sorry, but it looks as if you are implying just that.

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Serapis said:

While futures trading doesn't determine price alone, it does indicate demand. The higher the demand, the higher the bids on futures contracts. It is a speculative game.... what people are willing to pay for oil in the future, today, determines demand and indicates pricing. It's why the current price for a barrel of oil is posted directly from the various exchanges across the globe.

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