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Private Pickle
09-02-2014, 03:07 PM
So for those who think that increasing domestic drilling has helped the situation think again:


The recent partial lifting of a ban on crude oil exports by the U.S. government has sparked ripples in major oil markets, as it has the potential to drastically change the flow of crude oil around the globe.
The partial removal of the export ban was reported in the U.S. in the evening on June 24. The following morning, the West Texas Intermediate futures' August contracts rose for the first time in three days, gaining 47 cents to $106.5 per barrel.


http://asia.nikkei.com/Markets/Commodities/US-crude-oil-exports-could-spark-change-in-global-oil-market?n_cid=NARAN121

What's it going to take?

Alternative fuel? No. Even if we had one it would be suppressed.

More Domestic Drilling? No given we export the excess.

More refineries? No. That would drive prices down even further which would promote exporting. Plus no oil company wants to build refineries in the US given the taxation, regulation and cost of labor/land.




Nationalization of US oil interests?

donttread
09-02-2014, 03:31 PM
So for those who think that increasing domestic drilling has helped the situation think again:



http://asia.nikkei.com/Markets/Commodities/US-crude-oil-exports-could-spark-change-in-global-oil-market?n_cid=NARAN121

What's it going to take?

Alternative fuel? No. Even if we had one it would be suppressed.

More Domestic Drilling? No given we export the excess.

More refineries? No. That would drive prices down even further which would promote exporting. Plus no oil company wants to build refineries in the US given the taxation, regulation and cost of labor/land.




Nationalization of US oil interests?


The thing about drilling here is that it proves that our actions in the ME have nothing to do with Nation Security.

Ethereal
09-02-2014, 04:26 PM
So for those who think that increasing domestic drilling has helped the situation think again:



http://asia.nikkei.com/Markets/Commodities/US-crude-oil-exports-could-spark-change-in-global-oil-market?n_cid=NARAN121

What's it going to take?

Alternative fuel? No. Even if we had one it would be suppressed.

More Domestic Drilling? No given we export the excess.

More refineries? No. That would drive prices down even further which would promote exporting. Plus no oil company wants to build refineries in the US given the taxation, regulation and cost of labor/land.




Nationalization of US oil interests?

Lowering the cost of doing business in the US, for starters.

Ransom
09-02-2014, 04:43 PM
Lowering the cost of doing business in the US, for starters.

Gonna support we Republicans chanting for a corporate tax cut?

Ethereal
09-02-2014, 04:55 PM
Gonna support we Republicans chanting for a corporate tax cut?

If it were up to me, I'd abolish all federal taxes.

Private Pickle
09-02-2014, 05:54 PM
The thing about drilling here is that it proves that our actions in the ME have nothing to do with Nation Security.

Correct. Although all of us here probably knew that going in...

Private Pickle
09-02-2014, 05:54 PM
Lowering the cost of doing business in the US, for starters.

But if you lower the cost you also lower the price. The reason we are exporting is because the price is higher in Europe and Japan than it is here.

The Xl
09-02-2014, 06:00 PM
Alternative fuel is the answer and it's obviously being suppressed and likely has been for a long time.

We can't be chained by big oil and the military industrial complex any longer

Ethereal
09-02-2014, 06:15 PM
But if you lower the cost you also lower the price. The reason we are exporting is because the price is higher in Europe and Japan than it is here.

The price is higher in Europe and Japan because they don't have easy access to an ocean of hydrocarbon energy sources. They are reliant on North America and Russia for access.

If we lower the costs of bringing their product to the American market, then they can more easily maintain comparable profit margins to what they would get in Europe and Japan.

Ethereal
09-02-2014, 06:52 PM
Profit = Revenue - Cost

Revenue = Price * Quantity sold

A gallon of gas sells in Tokyo for $4.24.

US national average is $3.44

That's a difference of $0.80 a gallon.

Generalizing, that would mean there is room for $0.79 of additional costs to bring that gallon of gas to market in Tokyo before the profit side of the equation reaches parity for both markets.

Let's assume for the sake of argument that the additional costs are $0.65 a gallon to bring that gallon to market in Japan. That leaves an extra profit of $0.14 a gallon in the Japanese market relative to the American market, which, when you are selling millions of gallons of gas, is not a trivial amount of profit by any means.

Holding all things equal, that would mean reducing the cost of bringing that same gallon of gas to market in America by $0.15 would make it more profitable to keep that gas in America.

Do I think that could be accomplished? Hell yes.

Codename Section
09-02-2014, 06:57 PM
I would have something to say about this but I feel like my fingertips are floating and I can hear the ocean in my ears.

Peter1469
09-02-2014, 07:18 PM
I would have something to say about this but I feel like my fingertips are floating and I can hear the ocean in my ears.

Good meds?

Private Pickle
09-02-2014, 07:40 PM
Alternative fuel is the answer and it's obviously being suppressed and likely has been for a long time.

We can't be chained by big oil and the military industrial complex any longer

It's obvious that it is being suppressed? Can you explain to me how it is obvious?

I mean seriously you don't think that if a sustainable, clean energy source had been created you think it could be suppressed?

I disagree and here is why. We live in the age of information. There really are no such things as secrets anymore.

Private Pickle
09-02-2014, 07:43 PM
The price is higher in Europe and Japan because they don't have easy access to an ocean of hydrocarbon energy sources. They are reliant on North America and Russia for access.

If we lower the costs of bringing their product to the American market, then they can more easily maintain comparable profit margins to what they would get in Europe and Japan.

Correct. But what American gives a flying duck about Japanese gas prices?

Can you see the OP and answer the question I posed?

Private Pickle
09-02-2014, 08:11 PM
Profit = Revenue - Cost

Revenue = Price * Quantity sold

A gallon of gas sells in Tokyo for $4.24.

US national average is $3.44

That's a difference of $0.80 a gallon.

Generalizing, that would mean there is room for $0.79 of additional costs to bring that gallon of gas to market in Tokyo before the profit side of the equation reaches parity for both markets.

Let's assume for the sake of argument that the additional costs are $0.65 a gallon to bring that gallon to market in Japan. That leaves an extra profit of $0.14 a gallon in the Japanese market relative to the American market, which, when you are selling millions of gallons of gas, is not a trivial amount of profit by any means.

Holding all things equal, that would mean reducing the cost of bringing that same gallon of gas to market in America by $0.15 would make it more profitable to keep that gas in America.

Do I think that could be accomplished? Hell yes.

Do I think it will? Hell no.

Private Pickle
09-02-2014, 08:19 PM
I would have something to say about this but I feel like my fingertips are floating and I can hear the ocean in my ears.

Ladies and Gentlemen please behold the true nature of the American.

Staring him in the face is the fact that, at this pace, the US will be free of foreign oil completely in addition to being a major exporter of crude and natural gad to Eastern Asia and Europe. The ME will shift its sales to China and Russia to fill the gap.

Question: Does anyone here think they will stop their attacks when this happens?

The Xl
09-03-2014, 12:01 AM
It's obvious that it is being suppressed? Can you explain to me how it is obvious?

I mean seriously you don't think that if a sustainable, clean energy source had been created you think it could be suppressed?

I disagree and here is why. We live in the age of information. There really are no such things as secrets anymore.

Google it. Their are a lot of theories about energy suppression, and I believe them.

While the internet has opened the floodgates to information and raised the bar, we're still behind where we should be. People still aren't where they should be in terms of being informed, politically and otherwise.

donttread
09-03-2014, 07:58 AM
It's obvious that it is being suppressed? Can you explain to me how it is obvious?

I mean seriously you don't think that if a sustainable, clean energy source had been created you think it could be suppressed?

I disagree and here is why. We live in the age of information. There really are no such things as secrets anymore.

It will not be developed unless it fits the umbilical cord model. That is the suppression