While the US dawdles, another oil crisis looms

[henryclay]

This summer the threat of soaring energy costs has been swept under the rug by a President and a Congress that want us to be mesmerized by the “debt crisis.” I believe a compromise on the debt ceiling will happen. While nobody may like it, it will do enough to temporarily placate dollar holders. Meanwhile, the clock continues to count down toward zero hour when energy prices explode.

After 2½ years of disappointment, I think my odds of winning the SuperLotto are better than the chances that Obama will wake up to the petroleum peril America is facing. That is bad news for the country, which is staring down the barrel of $8 per gallon gasoline prices.

www.personalliberty.com/conservative-politics/government/opec-takes-aim-at-america/?eiid=&rmid=2011_07_27_PLA_[P11425551]&rrid=306963744

[mmhmm]

As I see it, an explosion of energy prices is a given, and has been a given for some time, henry. I can't imagine that being a surprise to anyone. While we're accustomed to relatively inexpensive gasoline prices, the rest of the world (with the exception of a few oil-producing countries) is not. Our cost for gasoline has been kept pretty darned low, comparatively.

[BeenThere...DoneThat...]

...I'm fairly surprised prices haven't increased much yet...

[djAdvocate]

looking forward to it. i have a lot of investment in this area.

sorry if that sounds totally callous, but i am sick of the whining about it. nothing is going to fix it better than sky high prices.

[cereb]

Jul 27, 2011 19:04:51 GMT -5 henryclay said:

This summer the threat of soaring energy costs has been swept under the rug by a President and a Congress that want us to be mesmerized by the “debt crisis.” I believe a compromise on the debt ceiling will happen. While nobody may like it, it will do enough to temporarily placate dollar holders. Meanwhile, the clock continues to count down toward zero hour when energy prices explode.

After 2½ years of disappointment, I think my odds of winning the SuperLotto are better than the chances that Obama will wake up to the petroleum peril America is facing. That is bad news for the country, which is staring down the barrel of $8 per gallon gasoline prices.

www.personalliberty.com/conservative-politics/government/opec-takes-aim-at-america/?eiid=&rmid=2011_07_27_PLA_[P11425551]&rrid=306963744

[weltschmerz]

Meh. We're paying about $6 a gallon. Ever think of using less?

[weltschmerz]

"the chances that Obama will wake up to the petroleum peril America is facing. "

And do what, exactly?? Drill, baby, drill? That will NOT lower prices.

[fairlycrazy23]

Of course more oil production in the US would reduce prices, or at least off set increases. Getting a larger percentage of oil from non-middle east sources would do nothing but help.

[weltschmerz]

"Getting a larger percentage of oil from non-middle east sources would do nothing but help. "

You're importing most of your oil from Canada, already. We're swimming in it, but paying through the nose. Funny how that works, huh?

[ed1066]

What happened to the "war for oil"? Liberals???

[fairlycrazy23]

Jul 28, 2011 0:05:28 GMT -5 weltschmerz said:

"Getting a larger percentage of oil from non-middle east sources would do nothing but help. "

You're importing most of your oil from Canada, already. We're swimming in it, but paying through the nose. Funny how that works, huh?

I just meant that increasing the non-mideast sources for the entire world supply would be a good thing for everybody.

And if we dramatically increased our domestic energy production it would create jobs and keep more money in the US.

[jkapp]

Jul 27, 2011 22:16:35 GMT -5 weltschmerz said:

Meh. We're paying about $6 a gallon. Ever think of using less?

You have to remember that we also have civilization in more than three cities (and little more spread out) in our country

[wyouser]

it may be good for investors....but remember the impact it will have on the 50% who dont make enough to pay taxes, Think about the impact of those on fixed incomes. Do they eat? Do they freeze in winter? Do they die of heat exhaustion in summer? Raise energy costs high enough and fast enough and people will die. Or is that the goal in all this...to rid us of excess population?

[BeenThere...DoneThat...]

>>> but remember the impact it will have on the 50% who dont make enough to pay taxes, <<<

...actually, they DO make enough to pay taxes... we just don't collect all the taxes, out of "benevolence" or whatchamacallit...


...hmm... that was in the spellcheck dictionary... cool...

[jkapp]

Jul 28, 2011 10:22:46 GMT -5 wyouser said:

it may be good for investors....but remember the impact it will have on the 50% who dont make enough to pay taxes, Think about the impact of those on fixed incomes. Do they eat? Do they freeze in winter? Do they die of heat exhaustion in summer? Raise energy costs high enough and fast enough and people will die. Or is that the goal in all this...to rid us of excess population?

I notice these considerations are never taken into account when teachers have driven up property taxes due to their pay and benefit increases, or when burning up our corn supplies for fuel have increased the costs of food. I guess there are some double standards on whether or not its ok to freeze people out in winter, starving them, and letting them die??

[henryclay]

With the entire body of third world countries moving from the dark ages into the realm of modern civilizations the demand for oil based energy is exploding. Therefore the price of petroleum based fuels, paints and plastics will probably continue to escalate until about 2050 when oil will become a footnote in the history books. In the meantime here is something to think about.

Venezuela surpasses Saudi Arabia
Venezuela is currently the country with the most proven crude oil reserves on the planet, 296.5 billion barrels, according to the latest Annual Statistical Bulletin of the Organization of the Oil Exporting Countries. The South American country’s known reserves grew between 2009 and 2010 by 40 percent, compared with the stagnation of Saudi Arabia’s reserves, which OPEC figures to be 264.52 billion.

Saudi Arabia, the largest producer
Although Venezuela has the largest reserves, with regard to the capacity to exploit its oil Saudi Arabia continues to be the world’s undisputed main producer with the ability to pump more than 8 million barrels per day. According to the latest release of the Monthly Oil Market Report, last month (June 2011) Saudi Arabia had a crude oil production of 9.419 million barrels a day, whereas Venezuela’s was 2.403 million barrels a day.

A glance at the chart below will show that the arab producers, (OPEC), have a combined capacity of well over twice that of Venezuela, and that the U.S. capacity is chump change by comparison.

But things are not all that black and white because Canada, which may come in right behind Saudi Arabia for it's proven reserves, is not even on the chart.



And where is it? (Notice that Canada made the cut on this map, but the U.S. didn't.

[weltschmerz]

"But things are not all that black and white because Canada, which may come in right behind Saudi Arabia for it's proven reserves, is not even on the chart."

I'm not debating how much oil Canada has...I merely said you import most of your oil from Canada. I wanted to say that the "drill, baby, drill" mantra will not affect the price you pay at the pump. It all depends on world market fluctuations. You can drill all you want, but it won't get any cheaper.

[weltschmerz]

"the chances that Obama will wake up to the petroleum peril America is facing. "


I was addressing this quote. What do you expect Obama to do about it?

[henryclay]

"the chances that Obama will wake up to the petroleum peril America is facing. "
I was addressing this quote. What do you expect Obama to do about it?

Honestly, my time is more important to me than to waste it on hoping Obama will ever have a single long range good-for-the-country postive thought in his head.

But I would like for someone to mention "energy policy" once in a while.