newfie
Well-Known Member
too much power? the guys been asleep at the wheel when not shutting down oil as he promised he would.
can we at least get him to meet with big oil since he went begging to Saudi Arabia?
Gas Prices Skyrocketing Thanks Biden!
- Thread starter Maple Grove MN Driver
- Start date
can we at least get him to meet with big oil since he went begging to Saudi Arabia?
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So he's powerful enough to damage our oil markets globally but simultaneously too feeble? What?
Also, his administration HAS met with oil company executives.
It's good to see that somebody else has discovered the USEIA. According to the USEIA 2023 estimate US domestic production will be 12.31 mpd. Now this will exceed the 2019 record but not as much as earlier estimates. The lower number is being blamed on ageing wells, storage issues along with the shortage of labor and materials. Then again we alone use 20mpd. In addition Big Oil has made it as plain as can be. Their drilling activity will be dictated by what they can get in the way of price going forward. That 80-90 number is considered to be the sweet spot. It affords the best margins without any major demand destruction.
And cold fact of the matter is that the president doesn't run the country. So just exactly who does run the country? The chairman of the Federal Reserve Board runs the country and just as the country found that out with Paul Volker it's being reminded of it with Jerome Powell who came out this week and showed the entire world what the bear has been doing in the woods lately and the markets reacted violently.
So, again, production is at record levels but you blame the oil companies for high prices. Why don't we open up all that Biden shut down on Federal land and offshore and see if we can get domestic production up even farther. As long as a larger portion of our oil needs are met by overseas production we're going to see higher prices.
What does it take to get you to understand that there are more than 9000 federal land leases available to the oil companies that sit there on the desk at DOE.? Why? Geological data does not support the conclusion that the yield would be high enough to recover the cost of development. In addition last year a federal judge blocked the Biden administration plan to offer additional Gulf of Mexico area for drilling supporting environmentalists claim that certain environmental safety criteria was not met.
Look, this is not the Beverly Hillbillies nor is it Texas 1905. You don't just go out there, punch a hole in the ground and oil will come spurting out. If it was as easy as you seem to think it is....everybody would be doing it.
And as was pointed out here earlier. Ours is a FREE market economy as evidenced by comments from major oil company CEO's who have made it crystal clear that the preservation of margins and shareholder equity is now paramount and the industry will resist pressure from all sources including governments to modify or amend their strategic plans going forward.
You need to look into it futher. The Biden administration is requiring studies on all leases going forward that are newly used that could take years. And many of those 9000 leases are being challenged in court by environmentalists. And places like the Alaskan National Wildlife Refuge that was producing 800,000 barrels a day has been shut down. If only it was 1905. Biden wouldn't be president.
And again you're trying to put it on the oil companies yet they're producing more than ever from the fields they do have. Open the rest back up. Why do you not want to do that?
newfie
Well-Known Member
No he's powerful enough to remove regulations strangling US oil production. We have the largest oil supply in the world.
He has not met with them . Don't insult me by getting cute with the wording.
If Trump was still president he would be raising holy hell from all directions until he got production up and he would not have had to drain our strategic oil production to get prices down.
His transportation secretary would not have been on paternity leave when there was a supply chain crisis and he would not have been on vacation when there was an impeding rail strike.
these guys don't do anything except throw up their hands and say oh well. luckily they have you to carry their water for them when they do.
newfie
Well-Known Member
thats silly. they have not exceeded 2019 one time. they are behind thanks to Bidens restrictive oil policies as he promised he would do.
newfie
Well-Known Member
what does it take you to understand those leases are no good without the additional environmental approvals they need and cant get?
what does it take you to understand that when the new president comes in and immediately shuts down existing plans for oil production that this disincentives oil companies from risking anymore investment?
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Not the whole picture. The costs of getting started on a drilling operation are enormous anyway. These companies are gun-shy after the wild swings we've seen in the last 15 years.
fishtm2001
Well-Known Member
The biggest reason oil production hasn't increased is that US energy companies and Wall Street investors are not sure that prices will stay high long enough for them to make a profit from drilling lots of new wells.
Nope.
You're using the same data source I have been using for a long time. Trouble is you're only using those parts that support your narrative. That same source states that 2019 was the high water mark in US domestic production. Trouble is it was followed by the worst crash in oil prices ever hitting NEGATIVE 35 bucks a barrel With consumption at a standstill and with storage capacity maxed out drillers had to literally give refiners that barrel of oil and 35 bucks just to get the refiner to take it off their hands.
In the aftermath drillers have made it clear that they will never again allow themselves to be caught in such an oversupplied market condition again. It's now up to you, me and everyone else to adapt to this new energy market dynamic.
Exactly. The only way the people on here who seem to think that they simply cannot live without cheap gas will get that cheap gas now would be either through the nationalization of US oil companies or make oil a regulated public utility similar to electric utilities and phone companies. The only other way would be demand destruction brought about by a steep recession.
What's amusing is the belly aching on here by these fair weather free market capitalists who find themselves on the wrong side of the free market's supply and demand equation. And the uniqueness of oil is that it's a global commodity whereby if you don't want to have to pay the going price for it somebody on one of the other continents will as we see now with having lifted the ban on US oil exports and the resulting record levels of US exports that has followed.
Over70irregs
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I
Just heard we are purchasing more fuel for reserves. Get ready for fuel price increase.
You seem to have qualms about opening up Federal lands and offshore to oil exploration and drilling. Why? Huge amount of land out there in the West to be explored. And you won't address what was pointed out about those 9000 leases aren't so available after all. Why won't you? Doesn't fit the narrative?
Why? We’re buying at relatively low prices. That’s good.
bottomups
Bad Moon Risen'
Buying for more than it was sold for. Good policy.
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