$7.00/gallon in 2 years (Penn: for sale, foreclosure, home)

[TransAm]

Originally Posted by FightinPhils

Although I will say that if John McCain is elected, and if he is as tight with the oil companies as Dubya is, we might see higher gas prices. I think its time to get the republicans the hell out of there....they're in bed with the oil companies and its killing us.

Ok, lets tax the hell out of oil , that will really help put more oil on the market, and it all Dubya doing.

[thecoalman]

Originally Posted by FightinPhils

I think the only reason gas is so high is that we're being gouged, so I don't think they'll gouge us too much more because they'll be shooting themselves in the foot.

As I pointed out in another thread we are not being gouged by "Big Oil", at least as far as the U.S. Oil companies are concerned. Exxon-Mobil makes about 10 cents on gallon. The taxes at the pump you're paying far exceed the money they are making. If you want to complain about being gouged go complain to your Congresman.

Most of the money you are paying at the pump goes directly for the cost of crude, in all fairness the cost at the pump hasn't kept pace with leap in cost for crude. It would be much more if that were the case. Exxon controls .65% (the decimal is not a typo) of the worlds oil supply. Most of their product that they refine is imported. Countries like Saudi Arabia, Iran, and Venezuela are the main beneficiaries of this.

As to why it's going through the roof that remains open to debate.

Scanberre mentioned Peak Oil in another thread and this is actually a real concern, if you don't know what this is reference too there is excellent document here from the DOE on it:Long Term World Oil Supply




Eye opening isn't it to see it on graph presented by the government? Note the precipitous drop after the peak. In short we are going to run out of oil in the not to distant future. Peak might be in few years or it might be a few decades from now but it will hit a peak at some point in time. The cost you are paying at the pump may go down or they may go up but in the long term they are going way up. What you are seeing now is only a precursor of what's to come. IMHO we're at the doorstep, lot's of indicators to that. Saudi Arabia's reluctance to put more oil on the market is a big indicator to me. there's speculation that many of their oil fields are beginning to fail, many of them are over half a century old including Ghawar the worlds largest.

Forms of alternate energy need to explored and developed however its not going to happen overnight. We need to invest in proven reliable resources as green energy matures to the point its reliable and cheap enough. There's a reason renewable energy hasn't been developed, its expensive. Paying more isn't going to work. Coal and nuclear top the list for this transition period as does exploiting what oil we do have. I heard a comment from an oil rep. the other day that due to the ban on offshore drilling they don't even know what's out there in many of these areas. The U.S. controls 25% of the world's known reserves, this is enough energy to power us well past the next century. It's an enormous resource. We would not even be in this position except for the spineless buffoons in Washington pandering to the environmentalist crowd.

Things are not as dire as they look but we need action and we need it now. Green technology is not the answer by itself and neither is relying on old technology. We need a combination of both, anything else and we will be in some serious problems in the future.

[TransAm]

Originally Posted by thecoalman

As I pointed out in another thread we are not being gouged by "Big Oil", at least as far as the U.S. Oil companies are concerned. Exxon-Mobil makes about 10 cents on gallon. The taxes at the pump you're paying far exceed the money they are making. If you want to complain about being gouged go complain to your Congresman.

Most of the money you are paying at the pump goes directly for the cost of crude, in all fairness the cost at the pump hasn't kept pace with leap in cost for crude. It would be much more if that were the case. Exxon controls .65% (the decimal is not a typo) of the worlds oil supply. Most of their product that they refine is imported. Countries like Saudi Arabia, Iran, and Venezuela are the main beneficiaries of this.

As to why it's going through the roof that remains open to debate.

Scanberre mentioned Peak Oil in another thread and this is actually a real concern, if you don't know what this is reference too there is excellent document here from the DOE on it:Long Term World Oil Supply




Eye opening isn't it to see it on graph presented by the government? Note the precipitous drop after the peak. In short we are going to run out of oil in the not to distant future. Peak might be in few years or it might be a few decades from now but it will hit a peak at some point in time. The cost you are paying at the pump may go down or they may go up but in the long term they are going way up. What you are seeing now is only a precursor of what's to come. IMHO we're at the doorstep, lot's of indicators to that. Saudi Arabia's reluctance to put more oil on the market is a big indicator to me. there's speculation that many of their oil fields are beginning to fail, many of them are over half a century old including Ghawar the worlds largest.

Forms of alternate energy need to explored and developed however its not going to happen overnight. We need to invest in proven reliable resources as green energy matures to the point its reliable and cheap enough. There's a reason renewable energy hasn't been developed, its expensive. Paying more isn't going to work. Coal and nuclear top the list for this transition period as does exploiting what oil we do have. I heard a comment from an oil rep. the other day that due to the ban on offshore drilling they don't even know what's out there in many of these areas. The U.S. controls 25% of the world's known reserves, this is enough energy to power us well past the next century. It's an enormous resource. We would not even be in this position except for the spineless buffoons in Washington pandering to the environmentalist crowd.

Things are not as dire as they look but we need action and we need it now. Green technology is not the answer by itself and neither is relying on old technology. We need a combination of both, anything else and we will be in some serious problems in the future.

Thank God somebody with some intellegance.

[FightinPhils]

Originally Posted by TransAm

Thank God somebody with some intellegance.

Someone who can't spell should not be insinuating that others do not have INTELLIGENCE.

[TransAm]

Originally Posted by FightinPhils

Someone who can't spell should not be insinuating that others do not have INTELLIGENCE.

Forgive me, I had a few Scotch and Sodas.

[mathjak107]

the last few days alot of oil companies got hammered in price and dropped even as oil sored. there bottom lines are effected by the costs too. most oil companies buy and sell oil on the futures markets the same as everyone else. most foreign oil is forward sold before its even out of the ground yet . a major portion of the oil taken out of the ground was sold in the 70 dollar range at prices the producers locked into a year ago. i wouldnt run them a benefit but they arent making as much as most think.


oil company profits sucked for decades being in the dogs of the dow year after year. if they were price fixers they were the worst price fixers ever. finally they are having their day in the sun for shareholders. by the way know who owns big oil and getting all those profits ?? YOU DO! anyone with a 401k, pension fund or money in mutual funds. at last count 3389 funds owned just exxon . the s&p 500 consists of almost 18% energy stocks. boy i hate to think what our 401k's would be down to without those nasty oil profits

[ff18wife]

Originally Posted by TheHighHat

Did anyone else hear this price prediction for a gallon of gas in two years? Something has gotta give..............

I read that somewhere too....in a way, I'd hate to believe it but in reality, I can see it happening...this recession or whatever the heck they're calling it can't go on forever...

[mathjak107]

never forget markets can remain irrational alot longer than any of us can remain solvent ha ha ha

[thecoalman]

I was just rereading my post and there is something that may be misinterpreted:

The U.S. controls 25% of the world's known reserves, this is enough energy to power us well past the next century.

That follows a statement about oil but is in reference to coal. The U.S. is the Saudi Arabia of the world where coal is concerned. Approximately the same amount as China and Russia combined, the other two countries that round out the top three nations.

[mathjak107]

coalman your right about gas not keeping pace with oil. think about here in nyc after katrina oil was in the 60-70.00 range and gas was 3.50 or so. we are double that now and gas is low 4. 00's

most refiners are struggling to make a profit to as not being oil drillers themselves they buy their oil on the futures markets too