Make a Contribution to Remove NSFW Ads

Oil has dropped to $63- why no drop in gasoline yet?

Makkonnen

Makkonnen

The Quizatz Haderach
BGOL Investor
Wwhen the price of oil jumped a dollar we saw immediate responses at the pumps. Now we are at 63-61 dollars a barrel compared to $70. Gasoline still hasnt come down to 2.00. There are no shortages. The oil companies/refinery owners are completely full of shit.

When people are outside in warmer weather they charge more for gasoline, when people are inside in colder weather the charge more for gas/electric- regardless of supply. pure fuckin bullshit with no oversight by government because oil/energy corp assholes run the DOE and the fuckin white house


[frame]http://www.taipeitimes.com/News/biz/archives/2005/09/18/2003272217[/frame]
 
Price gouging, plain and simple cuz. Make as many bucks off us as they can until it's reported on the news that the price went back down.
 
What the hell yall talking about??? I paid $2.39 yesterday - 09/17/05.
 
you paid 2.39 where? The price is $2.20-80 around Atlanta. does that correspond to what you paid last time oil was close to 60 bucks a barrel?
That price here is 20 cents cheaper than normal because the Governor waived the 20cent gas tax per gallon. So basically there is no change at all here.


[frame]http://www.business-standard.com/common/storypage.php?storyflag=y&leftnm=lmnu2&leftindx=2&lselect=1&chklogin=N&autono=200473[/frame]
 
May 15, 2005

EXTRACTING TOP DOLLAR;
by Jamie Court
The following commentary by FTCR president Jamie Court, was published in The Press Enterprise (Riverside, CA) on Sunday, May 15, 2005:
--------------

Recently the leaders of Saudi Arabia set President Bush straight on the real cause of high gasoline prices.

"It will not make a difference if Saudi Arabia ships an extra million or 2 million barrels of crude oil to the United States," said Adel Al-Jubeir, a senior adviser to the crown prince. "If you cannot refine it, it will not turn into gasoline, and that will not turn into lower prices."

In other words, the recent jump at the pump is not being caused by a shortage of crude oil, but by too few refineries to process that crude into gasoline. In California - where five refiners control 90 percent of the state's gasoline supply - the artificial shortages that result when oil companies shrink refining capacity are particularly profound.

There are only 12 refineries that produce conventional gasoline in California now, down from nearly three dozen two decades ago.

Refiners today have an incentive to keep inventories too low because when the commodities market senses a shortage, the price of their commodity skyrockets. That's why Californians consistently pay dimes more per gallon than motorists across the nation.

If the Saudis weren't telling the truth about domestic refiners, every major oil company in America wouldn't be reporting world record profits quarter after quarter. Shell Oil reported to stockholders, for example, higher industry profit margins from West Coast refining operations than refining profits anywhere in the world. The reason: Too little supply translates into a
higher price for Shell's gasoline.

President Bush may point to OPEC as the problem and drilling in the Arctic as the solution, but the real answer lies in taming domestic refiners. The oil companies cheat by working with competitors to keep gasoline prices artificially high, rather than compete with each other to boost supplies and lower prices.

Waiting for President Bush, an oil man, to act is like Waiting For Godot. The president was missing in action during the last gas price spikes during the 2004 election cycle while collecting
$2.5 million from the oil and gas industry for his re-election.

Fortunately, California can take matters into its own hands, if the Legislature finds the political backbone to stand up to the oil lobby, or voters ever get the opportunity at the ballot box to approve these changes themselves.

Here's what can be done:

* Give the authority to regulate gasoline supplies to a public utilities board. The commission could require ample inventories, fine companies that profiteer, and stop the closure of refineries. It would chart shipments and supply, and have the power to tell oil companies how to manage supply in the same way the Public Utilities Commission regulates electric power companies and plants.

* Charge an "excess profits" tax on profiteering in the refining business. A California excess profits tax would require oil companies to declare under penalty of perjury how much it actually costs to make and deliver a gallon of gasoline in the state, then impose a tax on any unreasonable rate of return.

* Let sunlight be the best disinfectant. Legislative leaders could subpoena oil executives to the Capitol and have them open their books. If leaders in Sacramento turned a spotlight on the real cost of making gasoline and asked the hard questions about ill-gotten profits, the public would revolt.

* Go to one or two grades of gasoline, down from three octanes. That would increase inventories. The three-octane grade gasoline offering of regular, midgrade and premium results in under-utilization of the existing tanks, many of which sit partially filled with slower-selling high octane gasolines. The small percentage of vehicles requiring higher octane fuel could easily receive the octane boost by pouring a bottle of additive in the tank every other fill-up.

Once it's established that domestic refiners are most to blame for the jumps at the gas pump, these solutions become unmistakable. All that stands between California implementing them are myths and the power of Big Oil to manufacture and sell them.
-------------
Jamie Court is president of the Santa Monica-based Foundation for Taxpayer and Consumer Rights. He served on the state Attorney General's Gas Pricing Task Force from 1999 to 2003.
 
<font size="5"><center>Crude Oil, Gasoline Jump
With Storm Headed for Gulf of Mexico </font size></center>


Sept. 19 (Bloomberg) -- Crude oil, gasoline and heating oil rose for the first day in three on forecasts Tropical Storm Rita will strengthen into a hurricane, threatening refineries and natural gas production in southern Texas by the weekend.

Four refineries along the Gulf of Mexico coast may not resume output until next year after Hurricane Katrina damaged them last month. U.S. natural gas futures jumped as Rita headed for producing areas. OPEC, meeting in Vienna today, is close to an agreement to offer customers all the crude it can pump.

``The storm situation is of concern, obviously, from the point of view of the damage that Katrina has done,'' said Kevin Blemkin, a broker with Man Financial in London. ``Going into the fourth quarter, refineries are going to be the main issue. There's no shortage of crude, so I don't think more output from OPEC is going to be necessary at this time.''

Crude for October delivery climbed $1.10, or 1.8 percent, to $64.10 a barrel on the New York Mercantile Exchange at 11:47 a.m. London time. Prices have declined 9.5 percent from a record $70.85 on Aug. 30. They have still almost doubled since the end of 2003.

Katrina forced at least eight refineries in Louisiana and Mississippi, accounting for about 10 percent of U.S. refining capacity, to close as it battered the Gulf coast on Aug. 29. Rita would be the ninth storm this year to enter the Gulf; five, including Katrina, have disrupted production or refining.

``Refineries are running at full speed already,'' said Adam Sieminski, chief energy economist at Deutsche Bank AG in New York. That's ``compounded by the problem that 5 percent of U.S. refining capacity got knocked out by Hurricane Katrina.''

Gasoline Rises

Gasoline futures on Nymex advanced as much as 5.49 cents, or 3.1 percent, to $1.84 a gallon. Wholesale prices have slumped 37 percent from a record $2.92 a gallon on Aug. 31, two days after Katrina struck.

Average gasoline pump prices in the U.S. fell to $2.805 a gallon on Sept. 16, according to the AAA motorists' group. That's 8.2 cents lower than a day earlier. Prices have dropped 8.2 percent from a record average of $3.057 on Sept. 2.

Demand for oil normally peaks in the fourth quarter as refiners build stockpiles of winter fuels before temperatures plunge in the northern hemisphere. As the Organization of Petroleum Exporting Countries pumps near capacity and non-OPEC output's growth slows, producers are straining to meet demand while refineries may lack the capacity to make enough fuels.

Prices of heating fuels including natural gas and heating oil also rose. Nymex natural gas for October delivery added as much as 68.1 cents or 6.1 percent, to $11.825 per million British thermal units. Heating oil rose as much as 5.34 cents, or 2.9 percent, to $1.8904 a gallon.

Rita Heads West

Tropical Storm Rita, the 17th named storm of this year's Atlantic hurricane season, could become a hurricane within a day, according to the U.S. National Hurricane Center in Miami. Its center was located about 250 miles (405 kilometers) southeast of Nassau, the Bahamas, at 5 a.m. Miami time today, according to the latest advisory on the center's Web site.

Rita may skirt the Florida Keys tomorrow, enter the Gulf and cut across it to reach southern Texas in five days, according to maps from the hurricane center forecasting the projected path of the storm. Some of the refineries located along the Texas coast include Exxon Mobil Corp.'s Baytown, the largest in the U.S., and Royal Dutch Shell Plc's Deer Park.

Opec's Intentions

The Organization of Petroleum Exporting Countries, the source of more than a third of the world's oil, may decide today to offer all the crude its 11 member nations can produce, Sheikh Ahmad Fahd al-Sabah, the group's president and Kuwait's oil minister, said in Vienna today.

Such a decision would effectively suspend the group's quota system, which has regulated supply for about two decades. Two million barrels a day of OPEC production capacity are idle, the group's president said yesterday.

``We don't need crude oil, we need refined products,'' Deutsche Bank's Sieminski said. ``OPEC probably doesn't have a lot of production to add into the system. What is left in Saudi Arabia is high-sulfur crude oil. There isn't much of a demand for that.''

Brent crude for November settlement rose $1.03, or 1.7 percent, to $62.84 a barrel on London's International Petroleum Exchange.



To contact the reporter on this story:
Alejandro Barbajosa in London at abarbajosa@bloomberg.net;
Last Updated: September 19, 2005 07:05 EDT

http://quote.bloomberg.com/apps/news?pid=10000006&sid=aUBCU_4gH25w&refer=home
 
u guys didnt notice Bush overriding the law that prevents gas blends from being sold in certain areas

he did that when katrina hit

gasoline refined anywhere can be sold in california now and elsewhere- that removes the refinery bottle neck because not all refineries are stretched thin

and again refineries and marketing make up the costly price like i posted in the venezuela thread

rapists
 
Fucking Cartels, man. Oil industry needs MORE competition to scare them cats into lowering prices. If there's only a few players, mofos dial in on each other's prices and shit stays high
 
It was 2.63 on Monday then yesterday morning they all changed it to 2.79
Now they arbitrarily change the prices regardless of market. There wont be any help until Bush and his cronies are out of office.
This isnt peak oil its peak assrape by corrupt politicians
 
Man these fuckers puttin me out a bizness n stickin it up my ass same time :angry: n spect me 2 b :yes:

:smh:
 
3.15 here in Chi, :angry: 2.89 in Gary :/ Maybe the high price can be attributed to the various types of gasoline refineries produce now I don't know. Exxon doesn't want to know why.
 
modified said:
3.15 here in Chi, :angry: 2.89 in Gary :/ Maybe the high price can be attributed to the various types of gasoline refineries produce now I don't know. Exxon doesn't want to know why.
Click to expand...
Man its all bullshit. I forgot that the dollar is so fuckin weak. I forgot that they might not want to talk about how weak the dollar is with the American public.
 
$2.79 a gallon in Detroit

everytime it drops ,it goes right back up :angry:

i'm ready for an affordable car that runs on alternative fuel
everybody switch to alternative cars and put the price-gouging oil companies out of business :cool:
 
The Economic is doing just fine and can handle much high oil prices than 63 dollars a barrel! Prices in the US is cheap compared to gasoline prices around the world!

The Oil business was bad in the US from the late 70's to the middle 90's.
A lot of companies went out of business and many people lost their investments.
Now the oil companies are seeing record profits and thats great news for their share holders.
They in turn will pay higher taxes and the government will see an increase in revenues.

If the price of gas ever become so unbearable for me.
I would just have to use public transportation and save myself some cash.
Less cars on the road equal a better environment.

Oil prices will continue to fluctuate as long as refined crude production is so tight in the US. Every time a refinery has to retool to produce a different gas mixture that adds cost and that cost is sent right to the pocket books of the American consumer.We need to invest in more refineries and have a nation wide emission standard.

Weather and politically unstable oil producing countries also effect oil prices.
.
China and India both experiencing massive economic growth adds to the demand and that also effects oil prices.

Alternative fuels also have their effects.
The transition from crude oil to what ever alternative fuel product the US settles on will only, in the short term help to increase oil prices.
Oil companies will for sure lead the way in making the move from crude oil to an alternative fuel.
They will add the cost of doing so to the price of gasoline.
So we can expect 15 to 20 more years of higher gasoline prices!

A dramatic increase in Canadian oil production is on it's way. If in the future we invest even more in Canadian oil. This could calm things down and stabilize both oil and gas prices. I'm not predicting a massive drop in oil prices but just a more stable market as far as the American consumer is concern.

I would not be surprised to see 20 dollar or less, a barrel oil and Corn and sugar cane futures at :eek: $40 to $60 :lol:
In like 40 years
By that time WD40 is all i should be using cause my old ass will be in a wheelchair. :lol:

P.S
Stop worrying about the prices of crude oil and start worrying about the housing market which is sinking to home sales levels only seen in the later 80's.

:lol: At me predicting :lol: :dance: :dance: :dance:
 
Makkonnen said:
Man its all bullshit. I forgot that the dollar is so fuckin weak. I forgot that they might not want to talk about how weak the dollar is with the American public.
Click to expand...

so true Every time I read about the dollars decline to the Euro its buried in the business section or all the way at the bottom of a financial website. It's been happening so much it's no longer news anymore. :(
 
modified said:
so true Every time I read about the dollars decline to the Euro its buried in the business section or all the way at the bottom of a financial website. It's been happening so much it's no longer news anymore. :(
Click to expand...
makes me wanna get paid in euros
 
$3 a Gallon Gas Prices Spreading Across USA

<font size="5"><center>$3 a Gallon Gas Prices Spreading Across USA</font size></center>


gasx.jpg

A San Francisco gas station's prices as of
April 25. "Records definitely are coming,"
an industry observer says.

By Barbara Hagenbaugh and James R. Healey
USA TODAY
May 1, 2007

WASHINGTON — If the price at your local gas station isn't topping $3 already, it likely will soon.
The national average price for a gallon of regular gasoline was $2.971 Monday, up more than a dime from a week ago and the highest since August, according to the Energy Department. A separate survey from motor club AAA found the U.S. average was $2.953 Monday, up nearly 30 cents from a month ago.

Oil market experts, including those at Wachovia, Oil Price Information Service and Alaron Trading, said it's just a matter of time before the U.S. average gasoline price tops $3 a gallon. The average price at the pump already is above $3 in 11 states and the District of Columbia.

And some said the nationwide record, not adjusted for inflation, of $3.069 will soon be broken. That record was set Sept. 5, 2005, after Hurricane Katrina, according to the Energy Department. Adjusted for inflation, the record high was in March 1981, when gasoline prices were $3.223 in today's dollars.

"Records definitely are coming," says Peter Beutel, head of energy-price consultant Cameron Hanover and price-watcher for decades. He forecasts a peak in retail gasoline prices in mid to late May.

Wachovia economist Jason Schenker says prices could rise into the summer: "We're not even in the peak driving season yet. Prices could go sharply higher than where they are now."

Gasoline prices have been rising swiftly in response to strong demand, tight supplies, high oil prices and slowing imports. Extended closings at a number of refineries for maintenance and other issues, such as fires and power outages, have strained the supply-demand balance.

Demand has been "incredible," says Alaron Trading analyst Phil Flynn, noting that the strong demand is largely a reflection of low unemployment in the USA. "As much as we complain about high gasoline prices, we're all driving to work every day."

On Monday, the highest average price in the USA was in California, where the average price at the pump was $3.40 a gallon, according to AAA. The lowest average was in New Jersey at $2.76 a gallon.

Economists say the sharp increases in gasoline prices are not having a big impact on the U.S. economy, according to a USA TODAY survey. Ninety-two percent of 50 economists surveyed April 20-25 said gas price increases were having a "minor impact" on the economy in the first half of the year.

Six percent said they were having a "major impact," and one economist said they were having no impact at all.

"The shock value of $3-a-gallon gasoline is over. We've seen that before," says Richard Moody, chief economist at Mission Residential in Austin. He notes that incomes have gone up in the past year, helping most drivers bear the added costs.

Higher prices will eventually lead to some fall in demand, says Oil Price Information Service analyst Tom Kloza. That would help put a brake on price increases, perhaps before gas prices break records, he says.

http://www.usatoday.com/money/industries/energy/2007-04-30-gas-usat_N.htm
 
Re: $3 a Gallon Gas Prices Spreading Across USA

the reason Exxon gave for the price hike to my local atlanta news station? Increased demand.

:hmm:

that article you posted makes it seem they will go all out before Bush leaves office
$5 gas this summer and an Iran attack next winter if it gets really cold otherwise save it for spring and get $8 july gas
 
Re: $3 a Gallon Gas Prices Spreading Across USA

USA Today said:
"The shock value of $3-a-gallon gasoline is over."
Click to expand...
Translated = we've come to expect $3 gasoline, therefore, the next point for people to scream will be .... $5 a gallon or more.

But, don't worry, be happy:

USA Today said:
Ninety-two percent of 50 economists surveyed April 20-25 said gas price increases were having a "minor impact" on the economy in the first half of the year ...

... incomes have gone up in the past year, [so] most drivers [can] bear the added costs.
Click to expand...

:puke: :puke: :puke:

`
 
"Oil climbs towards $68" Get ready to Pay more at the Pump.

:yes: :yes: :yes: :yes: :yes: :yes: :yes: :yes: :yes: :yes: :yes: :yes:

"Venezuela takes operations from big oil firms."

"PUERTO PIRITU, Venezuela - Venezuela stripped the world’s biggest oil companies of operational control over massive Orinoco Belt crude projects on Tuesday, a vital move in President Hugo Chavez’s nationalization drive.

The May Day takeover came exactly a year after Bolivian President Evo Morales, a leftist ally of Chavez, startled investors by ordering troops to seize his country’s gas fields, accelerating Latin America’s struggle to reclaim resources.

“The importance of this is that we are taking back control of the Orinoco Belt which the president rightly calls the world’s biggest crude reserve,” said Marco Ojeda, an oil union leader before a planned rally to mark the transfer.
Story continues below ↓advertisement

The four projects are valued at more than $30 billion and can convert about 600,000 barrels per day (bpd) of heavy, tarry crude into valuable synthetic oil.

U.S. companies ConocoPhillips, Chevron, Exxon Mobil, Britain’s BP, Norway’s Statoil and France’s Total agreed to obey a decree to transfer operational control on Tuesday, although the OPEC nation complained ConocoPhillips was somewhat resistant.

In Puerto Piritu, near the facilities that refine Orinoco crude, workers prepared early on Tuesday to celebrate the takeovers, displaying Venezuelan red, blue and yellow flags and daubing a wall with Chavez’s slogan: “Homeland, Socialism or Death.”

The anti-American leader was also in a festive mood before a rally marking what he called the end of an era of U.S.-prescribed policies that opened up the largest oil reserves in the hemisphere to foreign investment.

“Open investment will never return,” he said late on Monday to thousands of cheering workers dressed in the signature red of his self-styled leftist revolution at a rally for workers rights.

“We are sealing up that open investment era and burying it deep down in the Orinoco oil reserve,” he added.

Buoyed by an oil price bonanza in the No. 5 crude exporter to the United States, Chavez is popular among the majority poor for spending freely on schools, clinics and food handouts.

The man who calls Cuban leader Fidel Castro his mentor has vowed to take at least 60 percent of the projects, radicalizing his policies as he rules by decree and politicizes the army, state oil company and judiciary.

He is also quickly nationalizing power utilities and the country’s biggest telephone company.

Tough talks
In the oil projects, the companies have agreed to hand over operations but are still discussing continued shareholding and compensation in sometimes contentious negotiations before a deadline next month.

Despite being the only targeted company that refused to sign an agreement last week over the nationalization, ConocoPhillips said it cooperated on Tuesday “to ensure a safe, orderly transfer of operations.”

“Agreements have not been reached with respect to ConocoPhillips’ future participation in these projects or the compensation the company will receive,” it added in a statement.

Industry analysts fear Venezuela’s state oil company PDVSA could ultimately run into production and safety problems when it loses the management and technology of the experienced majors.

As he shrinks the private companies’ role, Chavez has formed joint ventures with allies such as China, Belarus and Iran involving many state entities that are unfamiliar with developing such crude.

Still, Chavez hailed Tuesday’s takeovers as the South American nation reclaiming its sovereignty.

“The wheel has turned full circle,” he said. “Long live PDVSA, long live the workers of PDVSA.”
msnbc / reuters

:yes: :yes: :yes: :yes: :yes: :yes: :yes: :yes: :yes: :yes:

Socialism hard at work.

What does Hugo Chavez or the Venezuelian government know about running an oil company.

What does nationalization accomplish; does it redistribute control and wealth to Venezuelan companies or to Hugo Chavez.

Chavez is gambling that Oil prices will stay high and that China will be his biggest costumer.
But what to do with all that money where will he invest it.
So far his not done a lot in Venezuela but give hope to the poor.
Hope by the way cost nothing.
Free Healthcare and Education and all you can eat sushi is not and has never been free.

Venezuela's slums are still full of people and crime.
Every day the Great Socialist Hope produces nothing but more power in one mans hands.

Nationalization did not work in Cuba and it will never work in Venezuela.

If your an investor in anything Venezuelan your not speed walking to the door your running out it.
 

Make a Contribution to Remove NSFW Ads
You must log in or register to reply here.
Back
Top