Gas prices

[Rumbo]

@Bruce thank you for proving my point. Pre-pandemic we were paying half of what we are now. Sorry I exaggerated by $0.33.

 

[Bruce]

The 9000 leases is down from over 30,000 leases less two years ago. Why? Everyone knows why.

Might want to check your “facts” BLM data shows the rate of issuing new permits (leases) has increased in recent years.

 

[Bruce]

@Bruce thank you for proving my point. Pre-pandemic we were paying half of what we are now. Sorry I exaggerated by $0.33.

I believe we all agree that current prices are high.

When production outpaces consumption prices are lower. When consumption takes the lead prices increase. Currently the two are neck and neck pushing prices up.

 

[swatski]

You have no idea what has and is going on in the oil and gas world…but seeing how we need to steer clear of “public policy” . My only suggestion is to vary your news sources and do a little more research..

As FYI- oil and gas consumption will continue to increase for decades before leveling out…this is a fact.

Who put the idea in your head gas prices should NOT be $6, or maybe $10 per gallon, for that matter?
Incidentally, your industry is quietly cheering Biden for making them awash in cash due to high prices.

As far as your future predictions, calling them "a fact" is just another indication of an opinionated, simpleton mind.

 

[ShireRider]

My boating expenses are about $350 per outing- and that is if no one goes out to eat or hits the bar. Gas price variations are a small part of the total expense scheme here.

Would you mind getting into the hidden costs that get you to $350? I’m picking up my 210fsh next Saturday. My current boat is maybe $20 per trip unless I need bait.

 

[Brad460]

Who put the idea in your head gas prices should NOT be $6, or maybe $10 per gallon, for that matter?
Incidentally, your industry is quietly cheering Biden for making them awash in cash due to high prices.

As far as your future predictions, calling them "a fact" is just another indication of an opinionated, simpleton mind.

It’s always silly discussing this topic with folks who don’t know anything about the O&G industry..My fault for assuming you might have some insight. Of course it’s just my simpleton mind ..

 

[BlkGS]

Who put the idea in your head gas prices should NOT be $6, or maybe $10 per gallon, for that matter?
Incidentally, your industry is quietly cheering Biden for making them awash in cash due to high prices.

As far as your future predictions, calling them "a fact" is just another indication of an opinionated, simpleton mind.

Gas prices at that level would crumble our economy. The costs on food and consumer goods alone would push us into a very bad spot.

 

[the MfM]

I think of it more as the value of the dollar has gone down vs the price of gas has gone up.

Who deleted my avatar anyways ?

 

[BigN8]

It’s always silly discussing this topic with folks who don’t know anything about the O&G industry..My fault for assuming you might have some insight. Of course it’s just my simpleton mind ..

The dude calls everyone a simpleton at some point, just brush it off, or post a selfie with a lab coat and maybe get some respect.

 

[CanTex]

Appears many people have forgotten the recent history that have contributed to current gasoline prices:
* 2015 OPEC+ (+ includes Russia non-Opec member) led by Saudi agreed to let the market dictate oil prices and dismissed agreed upon oil production quotas - the market was flooded with oil.
* This led to an oversupply of crude oil which depressed prices of gasoline at the pumps - (my opinion Saudi and OPEC+ was attempting to kill the US fracking industry)
* Many operators, exploration companies, drillers etc., reduced their work force, capital expenditures and expansion plans just to stay solvent in the era of reduced oil prices
* There has been limited investment globally in oil and gas (we all know that oil is a global commodity)
* Short while back OPEC+ agreed to abide by production quotas, this lifted oil prices
* Now for the first time in years many companies associated with oil/gas and profitable
* The cost to drill and complete a well in deep water gulf of Mexico is $100M+, the cost for a green field development is in the billions, and takes years to complete.

 

[Zizzou 192]

Would you mind getting into the hidden costs that get you to $350? I’m picking up my 210fsh next Saturday. My current boat is maybe $20 per trip unless I need bait.

boat payment: $2400 yearly
Wet slip $3200 yearly
Gas 100 gallons per year $500
Insurance yearly $250
Burgers chips hot dogs beer per trip: $40 x 20 trips= $800 yearly
Unrealistic $0 per year boat upgrade, cleaning, and maintenance budget

20 trips per year

$7150 /20 = $357.50 per priceless boat day adventure

Few things are better than a friend with a boat.

Think about the economics of catching fish in cost per pound on a recreational boat!

Actually all this is still way cheaper daily than any non camping vacation, wagon queen family truckster or not.

 

[swatski]

Gas prices at that level would crumble our economy. The costs on food and consumer goods alone would push us into a very bad spot.

we have $6 gas... I'm still boating, and you just bought a new car, didn;t you?

 

[swatski]

It’s always silly discussing this topic with folks who don’t know anything about the O&G industry..My fault for assuming you might have some insight. Of course it’s just my simpleton mind ..

thank God you can enlighten us with your remarkable insights

 

[Brad460]

thank God you can enlighten us with your remarkable insights

I am sorry oil and gas hurt your feelings somewhere along the way..

Put your money where your mouth is and quit them cold turkey. Until then your just a blow hard..

 

[BlkGS]

we have $6 gas... I'm still boating, and you just bought a new car, didn;t you?

We needed a new car, and it was only 3.20 when we bought it. Honestly, had gas prices been where they are now, we likely would have kept the rogue. But hey, we persevere I suppose.

What concerns me is when the transportation industry fuel contracts come up for renewal. That's going to spike their costs, which is gonna spike costs for everything else. Gas prices don't just hurt you at the pump, after all.

 

[BlkGS]

Appears many people have forgotten the recent history that have contributed to current gasoline prices:
* 2015 OPEC+ (+ includes Russia non-Opec member) led by Saudi agreed to let the market dictate oil prices and dismissed agreed upon oil production quotas - the market was flooded with oil.
* This led to an oversupply of crude oil which depressed prices of gasoline at the pumps - (my opinion Saudi and OPEC+ was attempting to kill the US fracking industry)
* Many operators, exploration companies, drillers etc., reduced their work force, capital expenditures and expansion plans just to stay solvent in the era of reduced oil prices
* There has been limited investment globally in oil and gas (we all know that oil is a global commodity)
* Short while back OPEC+ agreed to abide by production quotas, this lifted oil prices
* Now for the first time in years many companies associated with oil/gas and profitable
* The cost to drill and complete a well in deep water gulf of Mexico is $100M+, the cost for a green field development is in the billions, and takes years to complete.

Let's also not forget that te administration canceled a ajor pipeline that was basically done, continues to impede new drilling, and is pushing a narrative "its not our fault, it's Russia!"

 

[CanTex]

agree that cancelling keystone and revoking permits prorogates disinterest for investment dollars of American oil and gas.....lets's agree that this problem was not created in the last 12 months.

 

[BlkGS]

agree that cancelling keystone and revoking permits prorogates disinterest for investment dollars of American oil and gas.....lets's agree that this problem was not created in the last 12 months.

The issue was certainly seeded before then, but the administration isn't doing anything to help make it better either.

 

[Bruce]

that te administration canceled a ajor pipeline that was basically done, continues to impede new drilling

Might want to reconsider your sources.

1. Keystone XL was only 8% completed

Fact Check-Though Keystone XL Pipeline had secured most of its funding, it was only 8% constructed

In the weeks following U.S. President Joe Biden’s decision to scrap the Keystone XL oil pipeline, posts on social media have claimed that the project “was in Phase 4 & just about completed” and that it had been “paid for” by the time Biden “pulled the plug.” While it is...

www.reuters.com

2. Keystone Xl construction was halted by a Montana judge. A decision that was affirmed by the United State Supreme Court in 2020.

US Supreme Court deals blow to Keystone oil pipeline project

BILLINGS, Mont. (AP) — The U.S. Supreme Court handed another setback to the Keystone XL oil sands pipeline from Canada on Monday by keeping in place a lower court ruling that blocked a key environmental permit for the project.

apnews.com

3. The largest oil and gas lease sale ever held in the US occurred in November of 2021. Unfortunately that is on hold due to non governmental legal action which also is preventing additional sales. Fortunately the oil industry has 9,000 already issued permits waiting to be drilled.

Largest oil lease auction opens in Gulf of Mexico

Environmentalists call the massive oil and gas lease auction not only dangerous, but also hypocritical after President Biden told world leaders the U.S. is ready to lead on tackling climate change.

www.courthousenews.com

 

[swatski]

Let's also not forget that te administration canceled a ajor pipeline that was basically done, continues to impede new drilling, and is pushing a narrative "its not our fault, it's Russia!"

I have no idea why I'm responding, probably because your posts are so misleading it just irks the shit out of me, lol.

Besides extracting oil out of bitumen sands in the arctic circle is so incredibly inefficient, it is so energy-intense, it makes ethanol blending out of corn look like a good idea, that pipeline would have had ZERO impact on US prices. Look it up.


You reminded me of the often quoted ‘The Great Horse Manure Crisis of 1894’.

https://en.wikipedia.org/wiki/Great_horse_manure_crisis_of_1894

Here is a good read:

The Great Horse Manure Crisis of 1894

By the late 1800s, large cities all around the world were drowning in horse manure. The London Times predicted in 1894 that in 50 years time, every street in London would be buried under nine feet of manure.

www.historic-uk.com

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