Supply and Demand

[Army_of_One]

I think he is saying that they can show they have a heart and lower the price of gasoline so that they only make a profit of $5 billion instead of an $11 billion profit. The price of oil has nothing to do with them lowering the price of gas and taking a little less profit.

Their profit is a lot because of the AMOUNT OF VOLUME that they do. What you need to look at is their PROFIT MARGIN. Banks have a larger profit margin than the oil companies and no one is screaming at them...the same goes with the drug companies.

Why don't you scream at the gov't who's making MORE off of a gallon of gas than the oil companies are making? The GOV'T can drop the price of gas more than the oil companies can just by cutting the taxes.

[wordsmythe]

I think he is saying that they can show they have a heart and lower the price of gasoline so that they only make a profit of $5 billion instead of an $11 billion profit. The price of oil has nothing to do with them lowering the price of gas and taking a little less profit.

Close.

I have a heart and would never over charge for my work just because I can. I've actually been accused of undercharging for my stuff and have been offered more for it. I got what I needed out of it and was happy to sell it to someone to enjoy.

With gas it's different because the oil companies are not only raping us at the pump they are contributing to the decline of our econonmy and creating a national emergency. The price of gas sends the price of EVERYTHING else up.

[wordsmythe]

Their profit is a lot because of the AMOUNT OF VOLUME that they do. What you need to look at is their PROFIT MARGIN. Banks have a larger profit margin than the oil companies and no one is screaming at them...the same goes with the drug companies.

Why don't you scream at the gov't who's making MORE off of a gallon of gas than the oil companies are making? The GOV'T can drop the price of gas more than the oil companies can just by cutting the taxes.

Ok so the state tax of 24 cents and the Federal gas tax of 18.4 cents, since 1997, is driving the price up?

In 1997 when gas was under 2 bucks a gallon this was a problem?

Army you can keep the hook but the sinker needs to come out - especially if it's one of those lead ones.

[Army_of_One]

Ok so the state tax of 24 cents and the Federal gas tax of 18.4 cents, since 1997, is driving the price up?

In 1997 when gas was under 2 bucks a gallon this was a problem?

Army you can keep the hook but the sinker needs to come out - especially if it's one of those lead ones.

The price is driven by speculators...and like with anything if the DEMAND is going up faster than the supply then the price goes up. We can't have any more SUPPLY because we are not allowed to drill our own oil....(thank you Liberals).

[wordsmythe]

There are millions of barrels of oil in the land the oil companies already own or lease but they won't drill it. They'd rather drive the price up, run everyone else out, then monopolize what's left.

Thanks Republicans.

[Highwayman]

There are millions of barrels of oil in the land the oil companies already own or lease but they won't drill it. They'd rather drive the price up, run everyone else out, then monopolize what's left.

Thanks Republicans.

I’ve heard the Democrat talking point about 68 million acres of leases. You’re the first one I’ve heard claim that there’s oil on those leases. The reality is the amount of potential oil on those leases is still unknown.

Speaker Nancy Pelosi (D-CA): "There are 68 million acres in America where oil and gas companies have bought the right to drill ... They are just sitting on them." (Press Conference, 6/10/08)

FACT: Once a lease is secured, a long, comprehensive exploration process begins that“can require years of mapping, testing, drilling and construction” and can cost “millions or even billions of dollars.” Bidding on, paying for and securing a lease is not a license to drill, nor can production occur immediately. Even after “time delays” associated with initial leasing and drilling of exploratory wells, it has taken nearly a decade to produce energy on leases in the past. Democrats mislead when they say a classification of “not in production” is the same as “sitting idle.”

Wall Street Journal: “Companies don’t know how much oil is under the lands they lease, so they buy up large swaths in hope that a fraction will work out. Much of the area that isn’t producing, they say, doesn’t have oil or gas in commercially viable quantities. Moreover, bringing a new field into production can require years of mapping, testing, drilling and construction – during which time the land would show up in statistics as being ‘not in production,’ even as companies spend millions or even billions of dollars to bring it on line.” (6/16/08)

GOP.gov - House Republican Conference - Article

The idea that oil companies are going to sit on those leases and drive the price up is another line of left-wing BS.

FACT: By law, energy producers must produce oil or natural gas from the lease within 5-10 years. If they don’t, they “lose the lease.”

Federal law states that lease holders must produce oil or natural gas within 10 years for onshore leases; they must produce within 5 years for off-shore leases, but that may be extended to 10 years in the case of “unusually deep water or other unusually adverse conditions.” (30 USC 226(e) and 43 USC 1337(b)).The government can cancel the lease if the producer fails to live up to the terms of the lease, the law or federal regulations. (30 USC 188(a) and (b) and 43 CFR 3108.3 (a) and (b))

“Under existing law, producers can lease a block for up to 10 years, but a company typically must begin producing oil or gas in that time or lose the lease.” (Houston Chronicle, 6/13/08)

Drilling for oil is always a crapshoot. If want to improve the odds you go looking everywhere instead of just those 68 million acres.

[jeezeweeze]

Isn't there still a problem with not enough refineries?

So even if oil was shooting out of every orifice.....well you know. I didn't google to see if any are being built. :tired:

[Army_of_One]

Isn't there still a problem with not enough refineries?

So even if oil was shooting out of every orifice.....well you know. I didn't google to see if any are being built. :tired:

You should have...then you would have saved yourself the typing....

New South Dakota Oil Refinery One Step Closer to Reality : Gas 2.0

Why do you think there aren't more refineries being built?

[Highwayman]

Isn't there still a problem with not enough refineries?....

We currently import 20% of our refined fuel so yeah, there’s still a problem.

.....Why do you think there aren't more refineries being built?

Just read the link…

Opponents of the plan vow to do anything possible to stop the plant from becoming reality. The “not in my back yard” crowd cites health issues from pollution and other troubles the refinery would bring to their neighborhoods.

While the zoning issue is a big step, the company now has to submit a series of applications to local, state and federal agencies before construction an begin.

Opponents say they have strategies that will slow or delay the permit processes.

[jeezeweeze]

Some interesting reads in that link Army...

CARS and Micro-Algae Turn Hydrocarbons into Fuels, Fertilizers and Food

click on the video

Those cute little creatures shown in the video are represent what may be the future of carbon sequestration.

Archive for alberta tar sands : Green Options