Will Biden's moratorium on new oil and gas leases on federal lands cause gas prices to increase?

By KY3 Staff
Published: Apr. 19, 2020 at 12:29 PM CDT

Gas suppliers in Missouri continue to drive down their prices in response to the coronavirus pandemic, some which are now offering gas for less than $1 per gallon.


In December of 2020
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From April 2020 until December 2020 the price of gas doubled from .97 to $1.94...

From December 2020 $1.94 to todays prices of $2.55 is an increase of .61 cents which is close to 25%


So we see that prices under Trump in 2020 increased 100% compared to Biden's price of 25%...
 
My take on gasoline prices goes back to the Beatles. Follow me on this. When the Beatles came on scene long hair became popular. The twice monthly visit to the barbershop to get the flattop cut soon stretched to a visit every-other month to get a trim. Did the lower demand cause barbers to lower their prices? Heck no, they had to charge more to stay in business.

Out of this pandemic many companies, including the one I retired from, have made permanent the option of employees working from home. Consumers are shopping online. Everytime I go out I spot electric cars. Thus I envision the lack of demand not the shortage of supply to be the problem for oil companies. My guess is this lack of demand will cause a rise in gasoline prices in order for these companies to stay in business. Just as it was with barbers.
 
That little housing market bust didn't affect us one little bit then.
High gas priced are what started the dominoes falling

Consumers were in over their heads and just getting by suddenly couldnt afford gasoline
 
Light sweet crude is not as generic as people would like for you to believe. What an oil well produces is regional in nature.

Now Mexico and South America produce gasoline...Texas...motor oil. (Like most of the middle east) and Canadian oil makes rubber and plastics.
WTI is usually much better quality than Brent.

Offshore drilling and refineries are moving out of American waters and going elsewhere...product demand moves them about.

Currently the two OPECs haven't turned on the spigot...they can...just haven't yet because there's no need yet for that much supply. It will happen along with all the cheating that goes along with it...it just isn't today.

Saudis are waiting...they want to bankrupt the Permian basin producers. But currently are awaiting a bit more investment before turning on the spigot. But they need money too...so we shall see what happens.
 
My take on gasoline prices goes back to the Beatles. Follow me on this. When the Beatles came on scene long hair became popular. The twice monthly visit to the barbershop to get the flattop cut soon stretched to a visit every-other month to get a trim. Did the lower demand cause barbers to lower their prices? Heck no, they had to charge more to stay in business.

Out of this pandemic many companies, including the one I retired from, have made permanent the option of employees working from home. Consumers are shopping online. Everytime I go out I spot electric cars. Thus I envision the lack of demand not the shortage of supply to be the problem for oil companies. My guess is this lack of demand will cause a rise in gasoline prices in order for these companies to stay in business. Just as it was with barbers.

I think we will see a production slow down in the next year. American producers don't have the capital to invest in new production.
 
Light sweet crude is not as generic as people would like for you to believe. What an oil well produces is regional in nature.

Now Mexico and South America produce gasoline...Texas...motor oil. (Like most of the middle east) and Canadian oil makes rubber and plastics.
WTI is usually much better quality than Brent.

Offshore drilling and refineries are moving out of American waters and going elsewhere...product demand moves them about.

Currently the two OPECs haven't turned on the spigot...they can...just haven't yet because there's no need yet for that much supply. It will happen along with all the cheating that goes along with it...it just isn't today.

Saudis are waiting...they want to bankrupt the Permian basin producers. But currently are awaiting a bit more investment before turning on the spigot. But they need money too...so we shall see what happens.

The Saudis don't want to bankrupt the Permian Bain producers. Why did you throw that in?
 
Light sweet crude is not as generic as people would like for you to believe. What an oil well produces is regional in nature.

Now Mexico and South America produce gasoline...Texas...motor oil. (Like most of the middle east) and Canadian oil makes rubber and plastics.
WTI is usually much better quality than Brent.

Offshore drilling and refineries are moving out of American waters and going elsewhere...product demand moves them about.

Currently the two OPECs haven't turned on the spigot...they can...just haven't yet because there's no need yet for that much supply. It will happen along with all the cheating that goes along with it...it just isn't today.

Saudis are waiting...they want to bankrupt the Permian basin producers. But currently are awaiting a bit more investment before turning on the spigot. But they need money too...so we shall see what happens.

The Saudis don't want to bankrupt the Permian Bain producers. Why did you throw that in?
Because it's true...that's the whole reason they made oil so cheap last time it became affordable after having such high prices...things like fracking and deep water offshore drilling and refineries can easily make OPEC no longer relevant. Just a matter of time and investment. Yellow coal can be turned into diesel for around 75-90/barrel.
It's a very important part of the equation.
 
Light sweet crude is not as generic as people would like for you to believe. What an oil well produces is regional in nature.

Now Mexico and South America produce gasoline...Texas...motor oil. (Like most of the middle east) and Canadian oil makes rubber and plastics.
WTI is usually much better quality than Brent.

Offshore drilling and refineries are moving out of American waters and going elsewhere...product demand moves them about.

Currently the two OPECs haven't turned on the spigot...they can...just haven't yet because there's no need yet for that much supply. It will happen along with all the cheating that goes along with it...it just isn't today.

Saudis are waiting...they want to bankrupt the Permian basin producers. But currently are awaiting a bit more investment before turning on the spigot. But they need money too...so we shall see what happens.

The Saudis don't want to bankrupt the Permian Bain producers. Why did you throw that in?
Because it's true...that's the whole reason they made oil so cheap last time it became affordable after having such high prices...things like fracking and deep water offshore drilling and refineries can easily make OPEC no longer relevant. Just a matter of time and investment. Yellow coal can be turned into diesel for around 75-90/barrel.
It's a very important part of the equation.

What is yellow coal? The US still has the highest lift costs in the world.
 
Light sweet crude is not as generic as people would like for you to believe. What an oil well produces is regional in nature.

Now Mexico and South America produce gasoline...Texas...motor oil. (Like most of the middle east) and Canadian oil makes rubber and plastics.
WTI is usually much better quality than Brent.

Offshore drilling and refineries are moving out of American waters and going elsewhere...product demand moves them about.

Currently the two OPECs haven't turned on the spigot...they can...just haven't yet because there's no need yet for that much supply. It will happen along with all the cheating that goes along with it...it just isn't today.

Saudis are waiting...they want to bankrupt the Permian basin producers. But currently are awaiting a bit more investment before turning on the spigot. But they need money too...so we shall see what happens.

The Saudis don't want to bankrupt the Permian Bain producers. Why did you throw that in?
Because it's true...that's the whole reason they made oil so cheap last time it became affordable after having such high prices...things like fracking and deep water offshore drilling and refineries can easily make OPEC no longer relevant. Just a matter of time and investment. Yellow coal can be turned into diesel for around 75-90/barrel.
It's a very important part of the equation.
All that you said is true...no question. But convince me that with 25% of production coming from Federal lands being shut off by Biden as exemplified by Obama's reduction of leases that will NOT have an affect on gas prices.
Convince me please that reducing from what had been...
The federal share of total U.S. crude oil production fell from its peak at nearly 36% in 2009 to less than 24% in 2017 at the same time overall production increased
that doesn't have an direct affect on gas prices.
 
Light sweet crude is not as generic as people would like for you to believe. What an oil well produces is regional in nature.

Now Mexico and South America produce gasoline...Texas...motor oil. (Like most of the middle east) and Canadian oil makes rubber and plastics.
WTI is usually much better quality than Brent.

Offshore drilling and refineries are moving out of American waters and going elsewhere...product demand moves them about.

Currently the two OPECs haven't turned on the spigot...they can...just haven't yet because there's no need yet for that much supply. It will happen along with all the cheating that goes along with it...it just isn't today.

Saudis are waiting...they want to bankrupt the Permian basin producers. But currently are awaiting a bit more investment before turning on the spigot. But they need money too...so we shall see what happens.

The Saudis don't want to bankrupt the Permian Bain producers. Why did you throw that in?
Because it's true...that's the whole reason they made oil so cheap last time it became affordable after having such high prices...things like fracking and deep water offshore drilling and refineries can easily make OPEC no longer relevant. Just a matter of time and investment. Yellow coal can be turned into diesel for around 75-90/barrel.
It's a very important part of the equation.
All that you said is true...no question. But convince me that with 25% of production coming from Federal lands being shut off by Biden as exemplified by Obama's reduction of leases that will NOT have an affect on gas prices.
Convince me please that reducing from what had been...
The federal share of total U.S. crude oil production fell from its peak at nearly 36% in 2009 to less than 24% in 2017 at the same time overall production increased
that doesn't have an direct affect on gas prices.
Biden's attempt was stopped...it was going to be too expensive.
 
Light sweet crude is not as generic as people would like for you to believe. What an oil well produces is regional in nature.

Now Mexico and South America produce gasoline...Texas...motor oil. (Like most of the middle east) and Canadian oil makes rubber and plastics.
WTI is usually much better quality than Brent.

Offshore drilling and refineries are moving out of American waters and going elsewhere...product demand moves them about.

Currently the two OPECs haven't turned on the spigot...they can...just haven't yet because there's no need yet for that much supply. It will happen along with all the cheating that goes along with it...it just isn't today.

Saudis are waiting...they want to bankrupt the Permian basin producers. But currently are awaiting a bit more investment before turning on the spigot. But they need money too...so we shall see what happens.

The Saudis don't want to bankrupt the Permian Bain producers. Why did you throw that in?
Because it's true...that's the whole reason they made oil so cheap last time it became affordable after having such high prices...things like fracking and deep water offshore drilling and refineries can easily make OPEC no longer relevant. Just a matter of time and investment. Yellow coal can be turned into diesel for around 75-90/barrel.
It's a very important part of the equation.

What is yellow coal? The US still has the highest lift costs in the world.
We only use anthrocite (sp) coal...it's harder with less sulphur and cleaner burning than yellow. We have tons more yellow coal than anthrocite. But anthrocite is surrounded by yellow...and in some places there's nothing but yellow coal and we actually can produce it from waste from lumber harvesting.
 
Light sweet crude is not as generic as people would like for you to believe. What an oil well produces is regional in nature.

Now Mexico and South America produce gasoline...Texas...motor oil. (Like most of the middle east) and Canadian oil makes rubber and plastics.
WTI is usually much better quality than Brent.

Offshore drilling and refineries are moving out of American waters and going elsewhere...product demand moves them about.

Currently the two OPECs haven't turned on the spigot...they can...just haven't yet because there's no need yet for that much supply. It will happen along with all the cheating that goes along with it...it just isn't today.

Saudis are waiting...they want to bankrupt the Permian basin producers. But currently are awaiting a bit more investment before turning on the spigot. But they need money too...so we shall see what happens.

The Saudis don't want to bankrupt the Permian Bain producers. Why did you throw that in?
Because it's true...that's the whole reason they made oil so cheap last time it became affordable after having such high prices...things like fracking and deep water offshore drilling and refineries can easily make OPEC no longer relevant. Just a matter of time and investment. Yellow coal can be turned into diesel for around 75-90/barrel.
It's a very important part of the equation.

What is yellow coal? The US still has the highest lift costs in the world.
We only use anthrocite (sp) coal...it's harder with less sulphur and cleaner burning than yellow. We have tons more yellow coal than anthrocite. But anthrocite is surrounded by yellow...and in some places there's nothing but yellow coal and we actually can produce it from waste from lumber harvesting.

Can you crack the sulphur off like you can with crude oil?
 
Light sweet crude is not as generic as people would like for you to believe. What an oil well produces is regional in nature.

Now Mexico and South America produce gasoline...Texas...motor oil. (Like most of the middle east) and Canadian oil makes rubber and plastics.
WTI is usually much better quality than Brent.

Offshore drilling and refineries are moving out of American waters and going elsewhere...product demand moves them about.

Currently the two OPECs haven't turned on the spigot...they can...just haven't yet because there's no need yet for that much supply. It will happen along with all the cheating that goes along with it...it just isn't today.

Saudis are waiting...they want to bankrupt the Permian basin producers. But currently are awaiting a bit more investment before turning on the spigot. But they need money too...so we shall see what happens.

The Saudis don't want to bankrupt the Permian Bain producers. Why did you throw that in?
Because it's true...that's the whole reason they made oil so cheap last time it became affordable after having such high prices...things like fracking and deep water offshore drilling and refineries can easily make OPEC no longer relevant. Just a matter of time and investment. Yellow coal can be turned into diesel for around 75-90/barrel.
It's a very important part of the equation.

What is yellow coal? The US still has the highest lift costs in the world.
We only use anthrocite (sp) coal...it's harder with less sulphur and cleaner burning than yellow. We have tons more yellow coal than anthrocite. But anthrocite is surrounded by yellow...and in some places there's nothing but yellow coal and we actually can produce it from waste from lumber harvesting.

Can you crack the sulphur off like you can with crude oil?
President Bush was constantly referring to it as "clean coal technology"
So yes...very much so.

The Germans developed the initial technology during WWII because we cut off the oil in the middle east that they were using. They had better tanks and ships...but they consumed a lot more petroleum than ours did...so we cut off their supply of fuel and they couldn't move them anywhere anymore.
Today we have advanced the technology much further than it initially was done.

So...we can make our own diesel...but the cost of shipping the coal around to various refineries is the expensive part. But it can be done. And someone will have to silence the tree huggers too... even though it doesn't involve them. Because they don't want a refinery anywhere.
We can use a LOT of diesel and gasoline.

But it is possible...and probable if the spigot doesn't get turned on.

We like actually reserving our oil and gas reserves and spending money in OPEC countries... because they will eventually run out and the money they get keep them fat and happy while their attitudes are slowly being moderated with westernized cultural norms. A few more generations and they will be out of resources, needing our technology to exploit what remains, and much more moderate than the extremists who currently run things. But we will still have cheap oil and technology to get more that they won't have.
 
Light sweet crude is not as generic as people would like for you to believe. What an oil well produces is regional in nature.

Now Mexico and South America produce gasoline...Texas...motor oil. (Like most of the middle east) and Canadian oil makes rubber and plastics.
WTI is usually much better quality than Brent.

Offshore drilling and refineries are moving out of American waters and going elsewhere...product demand moves them about.

Currently the two OPECs haven't turned on the spigot...they can...just haven't yet because there's no need yet for that much supply. It will happen along with all the cheating that goes along with it...it just isn't today.

Saudis are waiting...they want to bankrupt the Permian basin producers. But currently are awaiting a bit more investment before turning on the spigot. But they need money too...so we shall see what happens.

The Saudis don't want to bankrupt the Permian Bain producers. Why did you throw that in?
Because it's true...that's the whole reason they made oil so cheap last time it became affordable after having such high prices...things like fracking and deep water offshore drilling and refineries can easily make OPEC no longer relevant. Just a matter of time and investment. Yellow coal can be turned into diesel for around 75-90/barrel.
It's a very important part of the equation.

What is yellow coal? The US still has the highest lift costs in the world.
We only use anthrocite (sp) coal...it's harder with less sulphur and cleaner burning than yellow. We have tons more yellow coal than anthrocite. But anthrocite is surrounded by yellow...and in some places there's nothing but yellow coal and we actually can produce it from waste from lumber harvesting.

Can you crack the sulphur off like you can with crude oil?
President Bush was constantly referring to it as "clean coal technology"
So yes...very much so.

The Germans developed the initial technology during WWII because we cut off the oil in the middle east that they were using. They had better tanks and ships...but they consumed a lot more petroleum than ours did...so we cut off their supply of fuel and they couldn't move them anywhere anymore.
Today we have advanced the technology much further than it initially was done.

So...we can make our own diesel...but the cost of shipping the coal around to various refineries is the expensive part. But it can be done. And someone will have to silence the tree huggers too... even though it doesn't involve them. Because they don't want a refinery anywhere.
We can use a LOT of diesel and gasoline.

But it is possible...and probable if the spigot doesn't get turned on.

We like actually reserving our oil and gas reserves and spending money in OPEC countries... because they will eventually run out and the money they get keep them fat and happy while their attitudes are slowly being moderated with westernized cultural norms. A few more generations and they will be out of resources, needing our technology to exploit what remains, and much more moderate than the extremists who currently run things. But we will still have cheap oil and technology to get more that they won't have.
 
What's with this weird lie that gas prises are "rising"?

Gas prices are lowering. Gas was nearly $3.75 in Texas in 2008.

EDIT: for reference, I filled up earlier this week and it's $2.49/ga right now.
In PA, it was 2.27/ga when Biden took over. I just hit $3.00. It is going up all over the country. Your little anecdotal post, which is probably a lie, doesn't mean squat.
Gasoline was .97 cents a gallon in April of 2020 and rose to $2.27 under Trump and you said nothing.

You are LYING!

It was certainly NOT .97/gallon last year.

:cuckoo:

Lol easily Googled. He's stoned again
 
Light sweet crude is not as generic as people would like for you to believe. What an oil well produces is regional in nature.

Now Mexico and South America produce gasoline...Texas...motor oil. (Like most of the middle east) and Canadian oil makes rubber and plastics.
WTI is usually much better quality than Brent.

Offshore drilling and refineries are moving out of American waters and going elsewhere...product demand moves them about.

Currently the two OPECs haven't turned on the spigot...they can...just haven't yet because there's no need yet for that much supply. It will happen along with all the cheating that goes along with it...it just isn't today.

Saudis are waiting...they want to bankrupt the Permian basin producers. But currently are awaiting a bit more investment before turning on the spigot. But they need money too...so we shall see what happens.

The Saudis don't want to bankrupt the Permian Bain producers. Why did you throw that in?
Because it's true...that's the whole reason they made oil so cheap last time it became affordable after having such high prices...things like fracking and deep water offshore drilling and refineries can easily make OPEC no longer relevant. Just a matter of time and investment. Yellow coal can be turned into diesel for around 75-90/barrel.
It's a very important part of the equation.

What is yellow coal? The US still has the highest lift costs in the world.
We only use anthrocite (sp) coal...it's harder with less sulphur and cleaner burning than yellow. We have tons more yellow coal than anthrocite. But anthrocite is surrounded by yellow...and in some places there's nothing but yellow coal and we actually can produce it from waste from lumber harvesting.

Can you crack the sulphur off like you can with crude oil?
President Bush was constantly referring to it as "clean coal technology"
So yes...very much so.

The Germans developed the initial technology during WWII because we cut off the oil in the middle east that they were using. They had better tanks and ships...but they consumed a lot more petroleum than ours did...so we cut off their supply of fuel and they couldn't move them anywhere anymore.
Today we have advanced the technology much further than it initially was done.

So...we can make our own diesel...but the cost of shipping the coal around to various refineries is the expensive part. But it can be done. And someone will have to silence the tree huggers too... even though it doesn't involve them. Because they don't want a refinery anywhere.
We can use a LOT of diesel and gasoline.

But it is possible...and probable if the spigot doesn't get turned on.

We like actually reserving our oil and gas reserves and spending money in OPEC countries... because they will eventually run out and the money they get keep them fat and happy while their attitudes are slowly being moderated with westernized cultural norms. A few more generations and they will be out of resources, needing our technology to exploit what remains, and much more moderate than the extremists who currently run things. But we will still have cheap oil and technology to get more that they won't have.

We buy very little crude from OPEC countries .... most of our imports come from VZ and Canada (and now Russia).
 
Light sweet crude is not as generic as people would like for you to believe. What an oil well produces is regional in nature.

Now Mexico and South America produce gasoline...Texas...motor oil. (Like most of the middle east) and Canadian oil makes rubber and plastics.
WTI is usually much better quality than Brent.

Offshore drilling and refineries are moving out of American waters and going elsewhere...product demand moves them about.

Currently the two OPECs haven't turned on the spigot...they can...just haven't yet because there's no need yet for that much supply. It will happen along with all the cheating that goes along with it...it just isn't today.

Saudis are waiting...they want to bankrupt the Permian basin producers. But currently are awaiting a bit more investment before turning on the spigot. But they need money too...so we shall see what happens.

The Saudis don't want to bankrupt the Permian Bain producers. Why did you throw that in?
Because it's true...that's the whole reason they made oil so cheap last time it became affordable after having such high prices...things like fracking and deep water offshore drilling and refineries can easily make OPEC no longer relevant. Just a matter of time and investment. Yellow coal can be turned into diesel for around 75-90/barrel.
It's a very important part of the equation.

What is yellow coal? The US still has the highest lift costs in the world.
We only use anthrocite (sp) coal...it's harder with less sulphur and cleaner burning than yellow. We have tons more yellow coal than anthrocite. But anthrocite is surrounded by yellow...and in some places there's nothing but yellow coal and we actually can produce it from waste from lumber harvesting.

Can you crack the sulphur off like you can with crude oil?
President Bush was constantly referring to it as "clean coal technology"
So yes...very much so.

The Germans developed the initial technology during WWII because we cut off the oil in the middle east that they were using. They had better tanks and ships...but they consumed a lot more petroleum than ours did...so we cut off their supply of fuel and they couldn't move them anywhere anymore.
Today we have advanced the technology much further than it initially was done.

So...we can make our own diesel...but the cost of shipping the coal around to various refineries is the expensive part. But it can be done. And someone will have to silence the tree huggers too... even though it doesn't involve them. Because they don't want a refinery anywhere.
We can use a LOT of diesel and gasoline.

But it is possible...and probable if the spigot doesn't get turned on.

We like actually reserving our oil and gas reserves and spending money in OPEC countries... because they will eventually run out and the money they get keep them fat and happy while their attitudes are slowly being moderated with westernized cultural norms. A few more generations and they will be out of resources, needing our technology to exploit what remains, and much more moderate than the extremists who currently run things. But we will still have cheap oil and technology to get more that they won't have.

We buy very little crude from OPEC countries .... most of our imports come from VZ and Canada (and now Russia).
Yes...I said something about that already.
Europe, India, and China though use petroleum products too.

The global economics are such we need to have everyone working with fuel. And a shortage in one place causes issues everywhere.
Not to mention that a fully developed technology that we have sold to another nation can render them obsolete.
 

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