Why Is Gas So High?

[Mr. H.]

From May, 2011:

Oil Industry Profit Margin Ranks #114 Out 215

It takes money to make money. Go piss up some other industry's leg.

 

[BluePhantom]

Exxon Mobil said Thursday that it makes relatively little money on gasoline, even as it reported a nearly $11 billion quarterly profit.

Exxon pushes back on gas price anger as profits soar - Apr. 28, 2011

You know, it's shit like this which is why you are getting so much attention as liberal dumbfuck of the year. Volume, rdean....volume.

"In 2010, the United States consumed about 138.6 billion gallons (or 3.3 billion barrels) of gasoline, a daily average of about 379.7 million gallons (9 million barrels). "


How much gasoline does the United States consume per year? - FAQ - U.S. Energy Information Administration (EIA)


That's just in the United States. Now get rid of the oil company's $0.07 profit (so that they make absolutely no money at all) and confuckingratulations....you have just decreased the price of a gallon of gas from $3.50 a gallon to $3.43 a gallon. Well yippie ******* skippy. With savings like that over the course of a year I might be able to go to a movie.....alone.

 

[rdean]

Exactly the point I was making.
Give the people a real tax break.
Drop the Feds taxes on Gas. For a year or two
Instead they are robbing the Seniors in SSI and Medicare for the last year and now another 2 months or full year.
Dem's are throwing grandma over the cliff
But Repubs are not even making this point or even suggesting that this could be done.
No it's cut the peoples program funding, but never the Governments income.

You write like you think if you reduce taxes, oil companies will reduce the price of gas. Why would you think that?

No, if you reduce gas taxes, you reduce the cost of gas. You can make up for it by starting to license and charge bicycle riders for the use of the roads they currently enjoy for free at the expense of car owners/users.

If you want oil companies to reduce price, you will then decrease government interference and regulation decreasing the cost of production, exploration and everything else they do to make the product.

So, in your estimation, how many more birth defects are "acceptable"?

 

[JiggsCasey]

A conspiracy forum thread imo.

Demand is down because production is down....

^ this...

yes, to cornucopians, rising oil price is all a big conspiracy... a 550% price increase over 12 years has had nothing to do with supply constraints, and is merely the result of artificial suppression of flow rates, keeping the oil in the ground so they can jack the price up. ... you know, by leftists.

where they all met to get their story straight, and how no one has leaked any of it remains quite the mystery.

If you are talking about OIL prices instead of GASOLINE, then politics, fear, terrorism & war have driven supply & oil prices far more than market based supply & demand. If Iran gets attacked oil price will spike by $40. When Osama hit US on 9/11 oil price jumped 30%. When we killed Osama oil price dropped 30%. When Bush opened the OCS to drilling oil price fell over $100. When Obama took office oil price rose $90.

Those are all short-term fluctuations. Read my post again, slower. I mentioned a 550% increase over 12 years. Over a span that long, such a trend has to do with nothing OTHER than supply constraints, as confirmed by the VP of Saudi-Aramco, and countless others in the industry.

You're still not accounting for how/why all those entities admit we are at peak. Or, if you prefer, you're still not accounting for the fact that C+C flow rates have barely moved in 6 years. Saying "we don't need to because of (more expensive) alternative A, B and C" isn't the correct answer.

 

[BluePhantom]

You write like you think if you reduce taxes, oil companies will reduce the price of gas. Why would you think that?

No, if you reduce gas taxes, you reduce the cost of gas. You can make up for it by starting to license and charge bicycle riders for the use of the roads they currently enjoy for free at the expense of car owners/users.

If you want oil companies to reduce price, you will then decrease government interference and regulation decreasing the cost of production, exploration and everything else they do to make the product.

So, in your estimation, how many more birth defects are "acceptable"?

Why am I not lying here in complete amazement that you chose to address this but completely ignored this:

"In 2010, the United States consumed about 138.6 billion gallons (or 3.3 billion barrels) of gasoline, a daily average of about 379.7 million gallons (9 million barrels). "

That's just in the United States. Now get rid of the oil company's $0.07 profit (so that they make absolutely no money at all) and confuckingratulations....you have just decreased the price of a gallon of gas from $3.50 a gallon to $3.43 a gallon. Well yippie ******* skippy. With savings like that over the course of a year I might be able to go to a movie.....alone.

I will tell you why.....'cause you don't have an answer and if you ignore it you hope it will just go away. You're a hack rdean.

 

[Big Fitz]

You write like you think if you reduce taxes, oil companies will reduce the price of gas. Why would you think that?

No, if you reduce gas taxes, you reduce the cost of gas. You can make up for it by starting to license and charge bicycle riders for the use of the roads they currently enjoy for free at the expense of car owners/users.

If you want oil companies to reduce price, you will then decrease government interference and regulation decreasing the cost of production, exploration and everything else they do to make the product.

So, in your estimation, how many more birth defects are "acceptable"?

When'd you stop ******* your best friend's son?

Is that non-sequiter enough for you, Hairnet?

Way to ignore getting your ass handed to you...again.

 

[KissMy]

^ this...

yes, to cornucopians, rising oil price is all a big conspiracy... a 550% price increase over 12 years has had nothing to do with supply constraints, and is merely the result of artificial suppression of flow rates, keeping the oil in the ground so they can jack the price up. ... you know, by leftists.

where they all met to get their story straight, and how no one has leaked any of it remains quite the mystery.

If you are talking about OIL prices instead of GASOLINE, then politics, fear, terrorism & war have driven supply & oil prices far more than market based supply & demand. If Iran gets attacked oil price will spike by $40. When Osama hit US on 9/11 oil price jumped 30%. When we killed Osama oil price dropped 30%. When Bush opened the OCS to drilling oil price fell over $100. When Obama took office oil price rose $90.

Those are all short-term fluctuations. Read my post again, slower. I mentioned a 550% increase over 12 years. Over a span that long, such a trend has to do with nothing OTHER than supply constraints, as confirmed by the VP of Saudi-Aramco, and countless others in the industry.

You're still not accounting for how/why all those entities admit we are at peak. Or, if you prefer, you're still not accounting for the fact that C+C flow rates have barely moved in 6 years. Saying "we don't need to because of (more expensive) alternative A, B and C" isn't the correct answer.

Saudi just hit a new crude oil production record despite political rhetoric from the VP of Saudi-Aramco said, or the Wiki Leaks US Embassy letter on Saudi Oil reserves. Politics limits production flow rates, not geology. 1/3rd of the worlds oil supply travels through the Strait of Hormuz. Every time oil prices drops to far Iran saber rattles to get the price back to where it wants it.

 

[JiggsCasey]

Saudi just hit a new crude oil production record despite political rhetoric from the VP of Saudi-Aramco said, or the Wiki Leaks US Embassy letter on Saudi Oil reserves. Politics limits production flow rates, not geology. 1/3rd of the worlds oil supply travels through the Strait of Hormuz. Every time oil prices drops to far Iran saber rattles to get the price back to where it wants it.

Provide a link to exactly what you think you're saying here. Even if true, all you've done is suggest Saudi can suck the straw a little harder for a little while. You've done nothing to change the volume of liquid in the glass.

Further, you didn't attempt to dispute anything in the post of mine you quoted.

You can pretend it's all political all you like. Unfortunately, the geological data tells the far more relevant and accurate story regarding the longterm price surge. Sorry.

 

[Mr. H.]

Jiggs, shut the **** up already. Incessant anal retentive microinspective analytical bullshit.

 

[JiggsCasey]

Jiggs, shut the **** up already. Incessant anal retentive microinspective analytical bullshit.

Translation: "I have no answer for any of what you challenged us with. ... so I'll just continue to speak cornucopian."

LOL. pwned.

Get out of the energy forum if you can't understand the subject material being put to you. Simple really.

 

[iamwhatiseem]

Because we don't control the supply, peak production has passed and it is no longer bought and sold as a commodity but traded as investment vehicles by people who can only make money by selling it higher than they bought it.

 

[KissMy]

2011 World oil production sets another new record. We even attacked Libya stopping their production. OPEC even cut their 2011 production to keep prices high in the face of the global recession. There is still no geologically restrictive "Peak Oil". You "Peak Oil" doomers have yet again been thrown on the huge pile of false peak oil prophets. You currently are not, nor have you ever been credible.

 

[KissMy]

Saudi just hit a new crude oil production record despite political rhetoric from the VP of Saudi-Aramco said, or the Wiki Leaks US Embassy letter on Saudi Oil reserves. Politics limits production flow rates, not geology. 1/3rd of the worlds oil supply travels through the Strait of Hormuz. Every time oil prices drops to far Iran saber rattles to get the price back to where it wants it.

Provide a link to exactly what you think you're saying here. Even if true, all you've done is suggest Saudi can suck the straw a little harder for a little while. You've done nothing to change the volume of liquid in the glass.

Further, you didn't attempt to dispute anything in the post of mine you quoted.

You can pretend it's all political all you like. Unfortunately, the geological data tells the far more relevant and accurate story regarding the longterm price surge. Sorry.

Saudi is bringing 2 entirely new oil fields on-line. Just one of these new oil fields contains more oil than the entire USA. Saudi Aramco is using the USA's horizontal drilling techniques that now allow them to extract 10 times more oil from their oil reservoirs & formations than they ever could before. They & the rest of the world will not peak in oil production for many, many years. Likely 50 years or more according to Saudi Aramco's Ali Al Naimi.

[ame="http://www.youtube.com/watch?v=GP6DhKGDzek&feature=fvwrel"]The Oil Kingdom: Part One[/ame]

[ame="http://www.youtube.com/watch?v=D1t4ue-WmlU&NR=1&feature=fvwp"]The Oil Kingdom: Part Two[/ame]

 

[peach174]

You write like you think if you reduce taxes, oil companies will reduce the price of gas. Why would you think that?

No, if you reduce gas taxes, you reduce the cost of gas. You can make up for it by starting to license and charge bicycle riders for the use of the roads they currently enjoy for free at the expense of car owners/users.

If you want oil companies to reduce price, you will then decrease government interference and regulation decreasing the cost of production, exploration and everything else they do to make the product.

So, in your estimation, how many more birth defects are "acceptable"?

What is dropping 48.1 cents per gallon in Feds gas tax got to do with the regulations? Nothing that's what. redean
It has nothing to do with the price that the companies charge.

 

[RGR]

I mentioned a 550% increase over 12 years. Over a span that long, such a trend has to do with nothing OTHER than supply constraints, as confirmed by the VP of Saudi-Aramco, and countless others in the industry.

Rereading faulty conclusions based on speculative misconceptions and sheer ignorance of facts doesn't help. The price of crude is currently cheaper than it was circa 1979 or so. So stop pretending that it is only short term fluctuations matter when in fact nothing has fundamentally changed in 30+ years, me using real prices across a longer time span than a parrot can remember, let alone recite correctly.

You're still not accounting for how/why all those entities admit we are at peak.

We've been through so many peaks they aren't even worth counting, let alone blaming current prices on. Come up with a better religious belief system than peak oil already, economics already has you beat six ways from Sunday on this topic. Or, parrot someone who actually knows something on the topic and leave your religion out of it.

Or, if you prefer, you're still not accounting for the fact that C+C flow rates have barely moved in 6 years. Saying "we don't need to because of (more expensive) alternative A, B and C" isn't the correct answer.

For the parrots of the world, let us all behold (yet another) peak oil!!! Makes about the 3rd one this decade, if I am counting my bumps correctly. Up-Up-And Away! Again!

 

[RGR]

Get out of the energy forum if you can't understand the subject material being put to you. Simple really.

Oh the irony in this statement is just too much. Jiggsy, you have outdone your normal ignorance with this one. Dear Lord PLEASE, I don't mind discussing religious beliefs with halfwits, but I would like one with an actual half a wit. Can you fetch us one? Are the church pews really that lean nowadays?

 

[Dabs]

Y'all go right ahead and continue fussy wussy-ing amongst yourselves........meanwhile, here in my area, at Raceway, gas is at $3.02 per gallon...right now.
Wal-Mart is at $3.02.......and most other stations are about $3.05 to $3.09.

 

[KissMy]

It's been $2.96 here at most stations for the last couple of weeks. Sam's & Costco are $2.92 & one station is $2.91

 

[Mr. H.]

which translates to $2.50 when you consider the taxes.
$2.50 adjusted for inflation is what?
Cheap gas.

 

[iamwhatiseem]

2011 World oil production sets another new record. We even attacked Libya stopping their production. OPEC even cut their 2011 production to keep prices high in the face of the global recession. There is still no geologically restrictive "Peak Oil". You "Peak Oil" doomers have yet again been thrown on the huge pile of false peak oil prophets. You currently are not, nor have you ever been credible.

Sigh..."peak production" is not just the number of units produced.
It is not that simple.
It also factors in demand vs. production capacity, cost of extraction and processing vs. price paid at the pump. As well as technology to get at oil that is far below the surface.
Post peak production basically means "the good ole' days" are gone. As in cheap oil. That occured in the late 70's. Today demand is faaaaaaaaar greater than before, the easy surface oil is gone...now we have to dig much deeper and off shore - which cost a helluva lot more than before.
Thus - we will never see cheap prices at the pump - ever.