Original Gas Thread: Americans enjoying $4 gallon despite oil oversupply highest in 8 yrs

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1EZduzit

Lifer
Feb 4, 2002
11,833
1
0
Originally posted by: charrison
Originally posted by: 1EZduzit
Originally posted by: charrison
Originally posted by: 1EZduzit
Originally posted by: charrison



And we are going to refine it where again?

They will get it refined whether it is worth $50/barrell or $80/barrell.



The last I heard under normal circumstances our refinaries were operating at 96% capacity. As of right now 8% of our refinirg capacity if offline. I guess the oil companies will just miracling oil into gas to make up the difference.

If they can't do it, then we will have to find someone who can.

I don't believe that there isn't enough money in the gas business that we don't have the refinery capacity we need. You say 96% capacity, some say even higher.

Who is giving us these numbers? The same people who make the money off of the perceived shortage and subsequant rising oil prices? Sorry, but I don't believe those numbers.



More capicity can be brought it online, it just will not happen overnight. Somehow you think it is windfall for the oil companies to have their capacity reduced and their refinaries broken.

Hardly. I think they are in it for the money and I don't believe we can trust their numbers. I wonder what numbers Bush/Cheney were using in there "secret energy policy" meetings?
 

conjur

No Lifer
Jun 7, 2001
58,686
3
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The Propagandist is considering addressing the nation to request people conserve energy usage.


Guess it's something that's too sensical to be part of a national energy plan.
 

conjur

No Lifer
Jun 7, 2001
58,686
3
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Oh, oops. What was that that the VP said?

http://www.usatoday.com/news/opinion/columnists/wickham/2001-05-07-wickham.htm
"The aim here is efficiency, not austerity," Cheney said of calls for increased efforts to conserve energy. "Conservation may be a sign of personal virtue, but it is not a sufficient basis for a sound, comprehensive energy policy."

But the report of government scientists, based on three years of study, concluded that an energy efficiency program spearheaded by the White House could have the dual effect of cutting dependence on fossil fuels and reducing pollution.
 

GoPackGo

Diamond Member
Oct 10, 2003
6,526
605
126
Originally posted by: conjur
Oh, oops. What was that that the VP said?

http://www.usatoday.com/news/opinion/columnists/wickham/2001-05-07-wickham.htm
"The aim here is efficiency, not austerity," Cheney said of calls for increased efforts to conserve energy. "Conservation may be a sign of personal virtue, but it is not a sufficient basis for a sound, comprehensive energy policy."

But the report of government scientists, based on three years of study, concluded that an energy efficiency program spearheaded by the White House could have the dual effect of cutting dependence on fossil fuels and reducing pollution.

dont you know cheney's motto "conservation sux"

 

conjur

No Lifer
Jun 7, 2001
58,686
3
0
Originally posted by: Pantoot
Originally posted by: conjur
$4 gas coming soon:
http://money.cnn.com/2005/08/31/news/gas_prices/

I would imagine that $4/gallon will do more for conservation than the president coming on TV asking everyone to conserve.
werd...and 0marTheZealot's comments are accurate, too.

Unless every SUV is parked and people ride bikes, take the bus/train, etc., nothing is going to bring the price of oil/gas down until the speculation and fear subsides.
 

Pantoot

Golden Member
Jun 6, 2002
1,764
30
91
Originally posted by: 0marTheZealot

There is only so much the public can conserve. I doubt we can conserve so much that the price of gas goes to $3 or $2.

I agree. The point is that it will take something drastic, like gasoline really becoming too expensive to waste before people stop wasting fuel.

The goal should be to reduce our dependance on oil by changing our lifestyles, not to get back to the point where we can waste again.
 

PCMerlin

Member
Sep 20, 2004
54
0
0
Originally posted by: 0marTheZealot
Originally posted by: Pantoot
Originally posted by: conjur
$4 gas coming soon:
http://money.cnn.com/2005/08/31/news/gas_prices/

I would imagine that $4/gallon will do more for conservation than the president coming on TV asking everyone to conserve.

There is only so much the public can conserve. I doubt we can conserve so much that the price of gas goes to $3 or $2.
When it gets to the point that people can't afford to put the gas in the car, there won't be any choice. You either find another way to get back and forth to work or stay at home and lose your job. Then it's REALLY going to be hard to put gas in the car.
 

PCMerlin

Member
Sep 20, 2004
54
0
0
Originally posted by: 0marTheZealot
The problem with reducing demand is the following:

As demand gets lower (let's assume it gets lower worldwide, more likely our demand reduction would be gobbled up by other countries), there will be excess supply. Let's suppose that we shave off 3 million barrels of oil a day for demand. This will probably relieve much of the jitters in the markets and bring the price of crude down to the mid-20s. Because reducing demand causes "hardship" (oh noes i have to carpool or make 1 big trip!), people are loathe to continue demand reduction in the face of cheap prices. Demand simply creeps back up again and we have this entire cycle again.

The more likely scenario is that our demand reduction will lower the price of oil worldwide, causing a surge in oil consumption from other countries like China and India and Europe. We are right back where we started. Or even worse, because the development of alternatives is that much more postponed (no one will think about alternatives even now, very few projects are profitable even with crude at all time highs).

So long as we ascribe to a culture of infinite growth, demand reduction can not be a permnament goal.
Not neccessarily - the reason our prices are as high as they are now is due much more to the lack of refinery capacity to process the crude oil, not the availability of the crude oil itself. The price per barrel of oil is only a small factor in the price of gas (for the CURRENT situation). Two years ago, when Bush released oil from the Strategic Petroleum Reserve, the price per barrel dropped to the 20's per barrel. Gas dropped below $1.00/gallon. Last year, crude oil was around $45/barrel (double from the previous year) and gas was around $1.49 per gallon. At $60/barrel gas jumped to $1.99/gallon. From that point, the fluctuations we have seen (according to the petroleum companies themselves) have been directly related to the demand for processed (ie: refined) oil, which we do not thave the facilities to produce. There is no lack of crude oil itself, and OPEC is completely overjoyed that we greedy Americans are willing to pay so much for what they still have plenty of.

The whole concept of "If we don't use it, other countries will" is ludicrous. China does not have the refinery capacity either - why do you think they were trying to buy Unocal? to help the US? No, they needed Unocal's refineries to supply China with processed oil, which would have REALLY driven up prices here! Most of Europe is highly dependant on mass-transporation and high-efficiency autos (see Here) that get between 44 to 64 MPG (and that's for the sports-roadster models). How many cars are available here in the US that get more than 35MPG??? Very Few!!

 

dmcowen674

No Lifer
Oct 13, 1999
54,889
47
91
www.alienbabeltech.com
Originally posted by: 0marTheZealot
Originally posted by: Pantoot
Originally posted by: conjur
$4 gas coming soon:
http://money.cnn.com/2005/08/31/news/gas_prices/

I would imagine that $4/gallon will do more for conservation than the president coming on TV asking everyone to conserve.

There is only so much the public can conserve. I doubt we can conserve so much that the price of gas goes to $3 or $2.

Actually then you would hear the Oil & Gas Companies moan that they aren't making record profits anymore and they would raise prices even higher.

Here we were supposedly worrying about Saddam and his WMD taking out America and it will be the Oil Companies taking it down.

Poetic Justice at it's finest.
 

conjur

No Lifer
Jun 7, 2001
58,686
3
0
Reports of stations in west Ga. running out of gas. Macon to run out soon. N.C. stations rumored to be running out, too.
 

Fern

Elite Member
Sep 30, 2003
26,907
174
106
This sucks :|

I live in Western North Carolina. Our gas stations are closing and sending the employees home, nothing to sell. Some still have premium, it's well over $3 a gallon.

They don't seem to know when deliveries will start again. Something about our gas comes from a pipeline that terminates in Spartanburg SC and it's offline. Not sure I quite understand, but it's causing a bit of a panic here.

Edit: Not a rumor about the NC stations Conjur. Glad I drive a 4 cylinder Toyota.
 

RainDowg

Member
Nov 11, 2002
52
0
0
I'm in Athens, Ga and I know of a few places that have run out already. I ended up getting premium because the station was out of the other two. That, after passing a station selling regular for 3 bucks.
 

RainDowg

Member
Nov 11, 2002
52
0
0
OK. Panic has struck. Now I'm hearing that paople are fighting for gas and even police are having to get involved at some stations here in Athens. Totally rediculous.
 

conjur

No Lifer
Jun 7, 2001
58,686
3
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Kroger's here is running out of gas. Only premium is left. WAVE-3 TV to have video at 6pm of drivers "getting nasty" at a gas station.
 

Rainsford

Lifer
Apr 25, 2001
17,515
0
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After hearing all the noise about what gas prices might reach in the wake of Katrina...am I the only person who hopes it's true? I personally have plenty of disposable income, so it won't hurt me very much, but people who spend a larger portion of their money on gas could be hurt by it. In fact, I'm HOPING that happens. Not because I want to see anyone hurt, but because it will take a big shock to make us stop being so damn stupid when it comes to gas. We reap what we sow, and although I feel bad for the individuals hurt by it, as a society we need to see the consequences of our poor decision making skills.
 

catnap1972

Platinum Member
Aug 10, 2000
2,607
0
76
No widespread shortages (yet) here in central Pennsylvania, but there are reports of scattered stations (those with the lowest prices) running out temporarily. Gov. Rendell says there's no shortage *at this time*, but advising everyone to conserve wherever possible so as to avoid causing a crisis situation.

Far as I've heard, nobody above $3.00 (yet) for unleaded regular, though most are teetering within 20 cents of it.
 

catnap1972

Platinum Member
Aug 10, 2000
2,607
0
76
Originally posted by: Rainsford
After hearing all the noise about what gas prices might reach in the wake of Katrina...am I the only person who hopes it's true? I personally have plenty of disposable income, so it won't hurt me very much, but people who spend a larger portion of their money on gas could be hurt by it. In fact, I'm HOPING that happens. Not because I want to see anyone hurt, but because it will take a big shock to make us stop being so damn stupid when it comes to gas. We reap what we sow, and although I feel bad for the individuals hurt by it, as a society we need to see the consequences of our poor decision making skills.

While I understand what you're saying, the problem is that the ones that are least able to afford it are the ones that are going to be the worst off (people with Hummers and SUVs will probably bitch and moan, but pay it anyway and not think much more of it). You're really not hurting the ones that *need* to be hurt by it.
 

Rainsford

Lifer
Apr 25, 2001
17,515
0
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I just had a thought...are the oil companies TRYING to cause a panic? Surely they don't operate on the kind of buget where selling at a loss for a few days would hurt them in the long run, yet gas in my area has gone up $0.30 per gallon just today. That kind of rapid rise is exactly what causes people to panic, and it doesn't seem necessary for the prices to rise like that. Why do it?