$135 a barrel

[Redmeat]

Write your congressman to start drilling now!!

Thats all WE can do.

I would rather we go back to farming and start riding bicycles like they do in Europe.

Expensive oil is the best thing that has happened to this country in a a long time. It will FORCE change.

No more soccer moms in a F250 extended cab that gets 10 miles to the gallon driving to the store for a gallon of milk.

 

[PCL_128]

I'm still seeing idiots driving around tha ATL in their Hummers. Saw three of them just yesterday while driving to dinner. How the hell can these idiots afford 10 mpg at $4/gallon?

 

[Rez O. Lewshun]

Is It Time To Tap U.S. Oil Reserves?

WASHINGTON, May 22, 2008 (CBS/AP) With gas hitting a new high almost daily, some members of Congress pleaded with the energy secretary to release the nation's 700 million barrel emergency stockpile, reports CBS News correspondent Nancy Cordes.

His response - that's not what it's for.

"The strategic petroleum reserve is meant to be there as a protection for the American people," said Energy Secretary Samuel Bodman.

"The American people right now are being tipped upside down at the pumps and having money taken out of their pockets," responded Rep. Edward Markey, D-Mass.

Bodman also told a House of Representatives hearing that he does not believe that rampant market speculation is causing record high oil prices that reached a record $135 a barrel. He said it is a matter of supply and demand that can be traced to essentially flat global production over the last three years.

Markey said he did not understand why President Bush is not releasing oil from the Strategic Petroleum Reserve to force down prices. "We have 700 million barrels ... that are ready to be deployed," said Markey.

Mr. Bush recently stopped putting oil into the reserve after Congress passed legislation to halt deliveries.

The stockpile, now 701 million barrels, "is meant to deal with ... the physical interruption of the flow of oil to our country. We don't have that issue today," he told the House Committee on Global Warming.

Markey said the release of government oil is justified because "we're in an economic crisis" as high oil costs are driving gasoline to $4 a gallon and increasing other costs.

Oil from the Strategic Petroleum Reserve, three underground salt domes in the states of Texas and Louisiana, has been used twice to respond to supply disruptions or the threat of such interruptions: Just before and during the first Gulf War in the early 1990s and in response to the loss of Gulf of Mexico oil after Hurricane Katrina in 2005. President Bill Clinton in 2000 made emergency oil available to relieve prices and Markey said prices then dropped 18 percent.

A series of dire reports about the world supply of oil are driving investors to buy, buy, buy. Just today, the Wall Street Journal reported that the international energy agency is set to predict a massive supply crunch if producers don't significantly boost their capacity within five years.

"There'd be a rapid sell off if at some point somebody believes that the assumptions underlying this speculative investment are wrong," Edward Morse of Lehman Brothers told Cordes.

Until then, Americans are left holding the bill.

"A barrel of oil has more impact on our everyday lives than any other product in America," said Jack Gillis of the Consumer Federation of America. "Almost everything we buy is going to be dependent on the price of oil in some way."

One example: After American Airlines announced a $15 fee for passengers to check their first bag, United Airlines said it might follow suit. While Southwest Airlines says - no way.

"This is just going to irritate your customers," Peter Goelz, an airline industry analyst told Cordes. "And I think with the airlines satisfaction at almost its lowest level there are some airlines that are going to think twice about this."

But with big airline fees and gas reaching $4 a gallon, a lot of travelers might think twice about leaving home.

Meanwhile, the top executives of the country's five largest oil companies made a repeat appearance in Congress.

After being pummeled by senators over high oil and gasoline prices at a Senate hearing on Wednesday, they were summoned before the House Judiciary Committee on Thursday.

The executives reiterated much of what they had told the senators: The primary cause for high oil prices is tight supplies and growing demand, and that their profits - $36 billion during the first three months of the year - are not excessive given the size of their companies and the need for reinvestment to find more oil.

The executives urged more domestic oil and gas production by opening areas now off limits including large areas of federal offshore waters and a wildlife refuge in Alaska, where billions of barrels of oil are located. "This persistent denial of access is costing American consumers right out of their pocket books," said John Hofmeister, president of Shell Oil Co.

The other executives represented Exxon Mobil Corp., Chevron Corp., ConocoPhillips Co., and BPAmerica Inc.

Bodman, appearing at a separate hearing down the hall from the oilmen, also viewed the problem as essentially one of production not keeping up with demand.

Asked if he believed there was "rampant" speculation driving up oil prices, Bodman replied: "No. I don't."

The biggest problem, he said, is flat oil production and growing demand. Up to 2004, he said the world's producers pumped about 1 million barrels more oil each year, then production increased and so did demand. Demand continued to grow, but beginning in 2005 "there has been no change in global production" and "demand has outstripped supply."

"We have sopped up all the available spare (oil production) capacity in the system," said Bodman.

The world uses about 87 million barrels of oil a day, about a quarter of it in the United States.

Energy experts have acknowledged that most producers have little ability to pump more oil. The exception is Saudi Arabia, which is producing about 9.4 million barrels a day and has the ability to increase that by about 2 million barrels a day but have declined to do so.

Last week, the Saudis said they were boosting production by 300,000 barrels a day in June, but that was only to make up a decline in production by other OPEC countries.



[FONT=Arial, Helvetica, Sans]© MMVIII, CBS Interactive Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report. [/FONT]

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[Redmeat]

I'm still seeing idiots driving around tha ATL in their Hummers. Saw three of them just yesterday while driving to dinner. How the hell can these idiots afford 10 mpg at $4/gallon?

I hear ya.

We are pilots so we have one eye on fuel and price all the time. I think for the basic consumer it doesn't really hit home until they see their bottom line at the end of every month.

At some point that bottom line will effect even the most stubborn consumers habits regarding petroleum.

 

[Rez O. Lewshun]

Cheney not releasing the SPR to lower oil prices but stock piling it.... further increasing oil...

http://www.youtube.com/swf/l.swf?vi...efault.jpg&t=OEgsToPDskIWW92q1NUPlUlsV922pdxh

 

[skywiz]

When will the oil bubble pop?

Quoted from cnn.com:

"Some analysts, however, believe that many commodities investors have boosted the price of crude with speculative trading, treating oil as a hedge against inflation due to the weakened dollar.
"You can't swing a cat without hitting a barrel of crude oil here: We have an over-supply in the United States," said Stephen Schork, editor of the energy industry newsletter The Schork Report. Schork estimates crude should be trading between $85 to $90 a barrel, given how oil has traded over the past 6 years. Accordingly, he thinks about $45 to $50 of crude's price can be chalked up to speculation.
"Saying this market is all supply and demand is absolutely ludicrous," he added.
Congress also isn't buying that supply and demand are the only factors. Wednesday, the Senate Judiciary Committee grilled executives from ExxonMobil, ConocoPhillips Co. (COP, Fortune 500), Shell Oil Co. (RDSA), Chevron Corp. (CVX, Fortune 500) and BP (BP) as to how their companies can in good conscience make so much money, while Americans pay so much to heat their homes and fill up their cars. The hearing continued in the House of Representatives on Thursday."

 

[WTFOVER]

Ya know, our way of life is not sustainable. Suburbs are a 75 year fad. If you don't like commuting an hour each way to work then move closer to work. If you don't like the high price of food, plant a garden or buy locally.

The last thing we need to do is urge congress to drill for oil now in every nook and corner of the planet. If we continue using oil the way we do, and drilling to maintain that use, then we will be right back where we are now in 20-30 years. Only difference is there will be 8-9billion people on the planet instead of 6.5. And it will be more of a burden for our kids than ut will be for us.

I want to keep my job as much as any of you, but life goes on. One of my favorite quotes , "It is difficult to get a man to understand something when his job depends on not understanding it." Upton Sinclair. So get over your "it's my right" attitude.

I am so glad that we have a growing number of people in this country who are waking up to our stupidity and urging congress to do the right thing and not support more oil drilling.

 

[vetrider]

I'm sure there is a jungle somewhere you can go live in and wear flip flops handmade from weaving vegetation. I'm all for drilling myself.

 

[embpic1]

I would rather we go back to farming and start riding bicycles like they do in Europe.

Expensive oil is the best thing that has happened to this country in a a long time. It will FORCE change.

No more soccer moms in a F250 extended cab that gets 10 miles to the gallon driving to the store for a gallon of milk.

I agree. This oil crisis may be painful but hopefully it will force us to change. Alternative fuels such as hydrogen are the future. Look at the Hybrid market. It is flourishing. This is just the beginning hopefully. If the price of oil falls back to $50-$60/barrel this would devastate our quest for alternative fuels. We would be right back to the Hummers and Suburbans. We unfortunately have very short memories.

We can drill for oil all over the US and delay the what is happening now. Or we can use our heads and change to renewable fuels.

 

[PlaneDrvr]

I agree. Start writing your congressmen to START DRILLING NOW!!! Although it will take ~10 years to see that oil, the price will drop immediately!! Speculators will then stop betting that the price of oil will keep going up because they will know that we will have alot more oil from our own country.

Write your congressman to start drilling now!!

Thats all WE can do.[/quote]

Why waste your time writing the 535 'morons' in Washington DC, they won't listen. They spent most of the hearings with the oil company exec. asking them "how much money they make"?? At least they are paid to create 'value' for the U.S. economy, their companies, and their shareholders; the people questioning them are paid, $200,000+/yr. (of taxpayer's money), and create 'NO value' for the people, the economy or anyone, and have NO Answers to the problem of 'world oil supply.' The oil company execs. told congress to open up areas in the U.S. for oil exploration (U.S. coastal waters, etc).
However, all of that is going to fall on 'deaf ears' as congress is just looking for 'someone to BLAME.'
The U.S. congress has done absolutely NOTHING in the last 30yrs. to improve the energy situation for this country. At least the oil companies have done their part (and are willing to do more) and made a profit along the way, and aren't we still a 'capitalist country' Again, NOTHING has changed in the last 30yrs. and probably won't until gas prices hit $9.00/gal., we have gas lines and shortages, and the economy is close to being destroyed, then 'maybe' just maybe they will do something. (probably not even then, sorry to say).

We are one of the only countries in the world that refuses to drill for oil and natural gas in 'our own' Terrritorial Waters.

A Government of 'special interest' by special interest and for special interest; for a country populated by totally ignorant/stupid people. A majority of the American public don't even understand the problem, as I keep hearing people just say, "its those greedy oil companies, or the evil speculators, or the Saudis"

Blame, Blame, Blame. NO Solutions, and don't want to even understand the problem.

Ethanol; a policial, 'special interest scam' most people in the know admit that now, congress won't stop it.

ALL of the presidential candidates are proposing 'CO2 Caps' (McCain has already introduced legislation), noticed that none of them have told the American public that one 'big' result is that Your electric Bill will 'double or triple' in the next 3-4 yrs. That will go great with the $5-6.00/gal. for gas.

PCL128, that 'PFT moron' said on this thread, that more regulation is what is needed, but he really, really is STUPID; too much Gov't regulation and control is part of what has got us into this situation. We haven't built a new oil refinery in this country in about 30yrs., even though there is a company in AZ that has been trying to build a refinery for the last 8-9yrs., unable to get the EPA and appropriate Gov't approval. Thanks to the innovation of the oil companies that have 'expanded and improved' existing refinery capacity in this country, or we would be dependant on Foreign countries (imports) for most of our gas/diesel/jet fuel. As a result of the current regulations and current environment, it is unlikely that a new refinery will NEVER be built again in this country, maybe one, but that will be it.

Again, NO ONE, especially the congress or any of the presidential candidates have any knowledge, real solutions, or are smart enough to solve the problem, short term.

So get used to oil at $120-160/bbl (possibly 180-200), and gas at $4.00-6.00/gal. for the next few years. Sorry to say.

Said enough for now, for what its worth. Now rant away.

PD