Gas Prices

[1EZduzit]

Where would gas prices be now if we hadn't started the war with Iraq?

If we would have waited for the UN and our allies could we have invaded without the rise in gas prices?

 

[charrison]

Originally posted by: 1EZduzit
Where would gas prices be now if we hadn't started the war with Iraq?


They likely would be lower, but not significantly lower.
The US economy and world economy have been picking up, so there would general increase in demand.
There have been problems in oil producing countries that were not related to iraq. Venezuala being one of them.
China and India are now taking a larger share of the world oil market.


If we would have waited for the UN and our allies could we have invaded without the rise in gas price?

No, there was a large spike in price during the first gulf war when the UN was involved.

 

[Todd33]

Support or no support the prices would be high, any instability in the middle east would do it. Just wait until AQ hits SA oil production and the price gets over $60 a barrel

 

[charrison]

Originally posted by: Todd33
Support or no support the prices would be high, any instability in the middle east would do it. Just wait until AQ hits SA oil production and the price gets over $60 a barrel

It is a good thing that we only get 10% of our oil from saudi arabia and that we have been filling the strategic oil facilities.

 

[KarenMarie]

My daughter goes to college in England. They are paying almost $7.00 a gallon there. I don't complain about my $1.79.9

 

[1EZduzit]

There don't appear to be any real shortages. It just seems to be the unstability of the market due to the situation in Iraq causing the high prices. If we had waited for the UN and our allies, could it have been different.


AIR, the spike you refer to in the first Gulf War was rather short and then prices were back to normal?

 

[Todd33]

Originally posted by: charrison

Originally posted by: Todd33
Support or no support the prices would be high, any instability in the middle east would do it. Just wait until AQ hits SA oil production and the price gets over $60 a barrel

It is a good thing that we only get 10% of our oil from Saudi Arabia and that we have been filling the strategic oil facilities.

It makes no difference where we get our oil, the prices are determined by a global economy. If demand in China goes up, prices go up. If production in any OPEC country goes down, prices go up. You don't need the tanker to come from SA, our reliance to the middle east and SA still exists.

 

[1EZduzit]

Originally posted by: Todd33
Support or no support the prices would be high, any instability in the middle east would do it. Just wait until AQ hits SA oil production and the price gets over $60 a barrel

AQ hits SA oil production

What's AQ? I assue SA is Saudi Arabia, but AQ?

Edit: I think it hit me. AQ = Al Queda

 

[charrison]

Originally posted by: 1EZduzit
There don't appear to be any real shortages. It just seems to be the unstability of the market due to the situation in Iraq causing the high prices. If we had waited for the UN and our allies, could it have been different.


AIR, the spike you refer to in the first Gulf War was rather short and then prices were back to normal?

I dont recall, but i would imagine the price of oil went up with the invasion of kuwait and did not drop again until after there was a ceasefire. That was probably close to a year. Peaked in 1990 at $40 barrel.

 

[charrison]

Originally posted by: Todd33

Originally posted by: charrison

Originally posted by: Todd33
Support or no support the prices would be high, any instability in the middle east would do it. Just wait until AQ hits SA oil production and the price gets over $60 a barrel

It is a good thing that we only get 10% of our oil from Saudi Arabia and that we have been filling the strategic oil facilities.

It makes no difference where we get our oil, the prices are determined by a global economy. If demand in China goes up, prices go up. If production in any OPEC country goes down, prices go up. You don't need the tanker to come from SA, our reliance to the middle east and SA still exists.

More accurately, we depend on tankers coming from outside the US, no SA in particular. Since we only get 10% from SA, we would easily be able to make up the difference but at a higher cost.

We could probably make up 10% in domestic production if needed.

 

[Schadenfroh]

my families oil wells are luvin it :beer:

/puts on flame suit

 

[charrison]

Originally posted by: Schadenfroh
my families oil wells are luvin it :beer:

/puts on flame suit

My folks started receiving oil royalties again. I think it has jumped up to $20/year now.

 

[1EZduzit]

Originally posted by: Schadenfroh
my families oil wells are luvin it :beer:

/puts on flame suit

LOL. Hey old freind, old buddy. LOL

 

[Assimilator1]

Originally posted by: KarenMarie
My daughter goes to college in England. They are paying almost $7.00 a gallon there. I don't complain about my $1.79.9

Yeah I was about to mention that ,guess where I am!?
Though it is true we don't have quite the distances to cover that you folks do,& we tend to have more econimcal cars

 

[conjur]

They'd be quite a bit lower.

This $50/barrel price is purely inflated due to "fear of supply disruptions"

 

[imported_tss4]

Originally posted by: conjur
They'd be quite a bit lower.

This $50/barrel price is purely inflated due to "fear of supply disruptions"

That's not exactly true. The problem is that all though, oil supply is keeping us with demand, there is very little spare capacity in the world right now. It looks like it will only get worse. With China's oil consumption going up with plenty of growth potential, the worlds oil production capability will be increasingly under strain to meet it. The lack of spare capacity is what is driving priceses now. That's not to say there isn't spare reserves. It just cost more to access them, so as the price goes up those reserves will become profitable to extract. Interestingly enough, gas prices have been going down recently at the same time the barrel price of crude oil has been going up. However, that was at the costs of lower profit margins and that will not continue to happen.

 

[dmcowen674]

Originally posted by: tss4

Originally posted by: conjur
They'd be quite a bit lower.

This $50/barrel price is purely inflated due to "fear of supply disruptions"

That's not exactly true. The problem is that all though, oil supply is keeping us with demand, there is very little spare capacity in the world right now. It looks like it will only get worse. With China's oil consumption going up with plenty of growth potential, the worlds oil production capability will be increasingly under strain to meet it. The lack of spare capacity is what is driving priceses now. That's not to say there isn't spare reserves. It just cost more to access them, so as the price goes up those reserves will become profitable to extract. Interestingly enough, gas prices have been going down recently at the same time the barrel price of crude oil has been going up. However, that was at the costs of lower profit margins and that will not continue to happen.

Hello, obviously a lot of folks not paying any attention to the Sand Ministers saying there is plenty of oil and that the Market is "oversupplied". Of course he says this a couple weeks after saying that they are just short of running out of capacity.

Clearly shows the price of either the barrels or the Gas price at the pumps has NOTHING to do with supply and demand anymore. Yes, once upaon a time it used to but not for a long time, it is clearly 110% political now.

KM, based on the upsurge of Oil this year, your daughter should be paying $21 a gallon just as we should be paying minimum $4 a gallon probably closer to $5.

Only reason the Oil Thugs and the Governments they own (including the U.S. and England) are not charging those levels is because they know the seriousness in which they would cripple the world Economy especially the lowly classes which would no longer be able to get themselves to work for the Rich Elite.

 

[Assimilator1]

Woah Dave your way out there

No oil company owns Britain ,though I dont doubt that they have some clout with the goverment ,I've no idea about the US but I can assure you that petrol prices have been increasing here in the UK (average 82p/ltr now)

Btw ,who are the 'sand ministers'? lol

 

[Vadatajs]

Originally posted by: 1EZduzit
Where would gas prices be now if we hadn't started the war with Iraq?

If we would have waited for the UN and our allies could we have invaded without the rise in gas prices?

The same place they are now. I don't think the Iraq war has anything to do with our refinery capacity, or Bush's decision to fill the reserves instead of tapping into them to help stabilize prices.

 

[Todd33]

Originally posted by: charrison

Originally posted by: Todd33

Originally posted by: charrison

Originally posted by: Todd33
Support or no support the prices would be high, any instability in the middle east would do it. Just wait until AQ hits SA oil production and the price gets over $60 a barrel

It is a good thing that we only get 10% of our oil from Saudi Arabia and that we have been filling the strategic oil facilities.

It makes no difference where we get our oil, the prices are determined by a global economy. If demand in China goes up, prices go up. If production in any OPEC country goes down, prices go up. You don't need the tanker to come from SA, our reliance to the middle east and SA still exists.

More accurately, we depend on tankers coming from outside the US, no SA in particular. Since we only get 10% from SA, we would easily be able to make up the difference but at a higher cost.

We could probably make up 10% in domestic production if needed.

Man, you missed the point completely. Where we get the oil means nothing. OPEC and supply/demand set the price. We could get 100% of our oil from South America, but if supply in SA gets upset, prices will go up. This is why everytime a pipeline in Iraq gets bombed, prices for oil go up.. they anticipate a supply problem. Of course I'm talking about Oil and not gas prices.

 

[CADsortaGUY]

Originally posted by: Assimilator1
Woah Dave your way out there

No oil company owes Britain ,though I dont doubt that they have some clout with the goverment ,I've no idea about the US but I can assure you that petrol prices have been increasing here in the UK (average 82p/ltr now)

Btw ,who are the 'sand ministers'? lol

Buahaha - I see you've now met the P&N Dave He's a much different Dave than he is over in DC.
"Sand Ministers", "sand thugs", etc are all pet names Dave has given to Big Oil People. It's just a more PC way of saying what we can't type.

CkG

 

[Vic]

Originally posted by: KarenMarie
My daughter goes to college in England. They are paying almost $7.00 a gallon there. I don't complain about my $1.79.9

That's not comparable, as the reason for high gas prices in England is not because of any oil supply issue, but because their government is raping them on taxes. Also, while the pound has held its value, the dollar has been declining.

If Iraq had never been invaded, the price of gas would be slightly lower than it is now, but still quite high. Maybe 20 cents/gallon lower at best

 

[Assimilator1]

That's true ,about 75% of the cost of petrol is tax ,though it has been going up recently because of oil price increases.

 

[dmcowen674]

Originally posted by: Assimilator1
That's true ,about 75% of the cost of petrol is tax ,though it has been going up recently because of oil price increases.

Interesting. How much has it been going up because of oil price increases? Because they are holding the prices pretty steady over here in the U.S., wonder why that is ???

Have you guys been holding out on us and buying tons and tins of Gas Guzzling SUV's on those narrow streets that I didn't even think an SUV can fit in??? :shocked:

afterall it's all about the increased demand right?????

 

[Assimilator1]

lol ,I assume a SUV is some kinda off road vehicle?
Well we still have Range Rovers's with V8s but they are fairly rare,btw most of the streets aren't that narrow

I wouldn't say that petrol has gone up everytime oil has but it certainly has on many occasions,no idea why ,maybe its the 'rip off Britian' factor?
Maybe our goverment has far less sway with the oil companies then the US goverment?