Oil, Gold, and Silver Prices Up as Saudi Arabia Faces Unrest

reply to post by unityemissions


3 times in history did Washington release oil reserve all 3 times Oil spiked up. What did George Bush do in summer of 2008 that brought crude prices to $37 and gas prices to $1.50 gallon

reply to post by mikeybiznaz


I can't make a lick of sense out of what you wrote, sorry. Will search for the articles myself.

reply to post by unityemissions


there you go DO YOUR OWN HOMEWORK...it will make you smarter...

I do know, which most of the folks do, that the US has 70+ years of oil stockpiled. Not to mention the amount of oil in US soil that hasn't been refined. If we used our own oil, we would just become self sustaining, and not dependent on foreign oil. Which would create jobs, by doing so.

reply to post by mikeybiznaz


I didn't ask you to do my homework, I asked for a little intellectual support to back up your claims. I wanted references to look into this on my own.

Here's what I got:

Our Strategic Petroleum Reserves will last a mere 34 days based on 2009 consumption figures.

Tapping into that would be incredibly foolish for anything other than the immediate collapse of society, otherwise.

U.S. to Consider using Oil Reserves

Pay attention to this part:

The U.S. reserve holds 727 million barrels of crude oil in caverns along the Gulf of Mexico coast, according to the U.S. Department of Energy. It was established to counter supply disruptions following the Arab oil embargo of 1973-1974. The government has released some of the oil 17 times since 1985, most recently in 2008 after hurricanes Gustav and Ike struck the Gulf Coast, according to the DOE. In August 2008, as a candidate for president, Obama called for the government to swap light crude in the reserve for heavier oil at a time when oil was at more than $120 a barrel and the average retail price of gasoline was about $3.90 a gallon. He previously opposed tapping the reserve as a brake on prices. When oil peaked at $147.26 a barrel in July of that year, President George W. Bush resisted calls to release some reserves to drive down prices.

17 historical releases of US strategic petroleum reserves

In September 2008, due to the hurricanes Gustav and Ike, the US released 5,389,000 barrels of crude. That's about 6 hours worth of demand for the US. It's chump change, and likely had little, to no effect on crude prices.

reply to post by Whereweheaded


Stockpiled? Surely you don't mean ready to go, do you? Check my above link. Our ready-to-go stockpiles lastly barely over a month.

We use over 8 billion barrels each year currently. Based on current consumption, we'd need at least 560 BILLION, economically viable, technologically feasible barrels to last 70+ years.

I don't deny that we have reserves. What I question is how much energy it would take to get out much of these reserves, and at what environmental costs? It seems the game is rigged to sustain itself IF we can get at least 9 units of energy for every one used to extract. My understanding is that the bulk of our reserves, in kerogen, shale, is very energy intensive to extract and convert into petroleum.

Originally posted by mikeybiznaz

Originally posted by thoughtsfull
reply to post by unityemissions

 

Those type of prices start to put so much strain on countries like the UK, we'll have no choice but to start thinking about going back to a 3 day week (as we did in the oil crisis of the 70s)

Can you be more clear with your comment. People now-a-days have more info and because of that know there was no energy shortage in the 70's..american gas prices went from 36.9 cents a gallon to 69.9 cents a gallon .Gas stations ran out of gas because americans PANICKED, the oil tankers were sitting in the bays waiting to be let in to our refineries. Why did oil prices fall from $147Bbl to $37Bbl in the summer of 2008? Exploitation of North American Oil.
The Fat Lady hasn't sang her song yet.

edit on 7-3-2011 by mikeybiznaz because: added content

I'm not sure what you mean! My take is that the doubling of oil prices in the 70s speeded up the collapse of the UK economy when it was already in distress.. which in turn forced the UK Gov into enforcing a 3 day week.. if that was mirrored today we would see an insurrection..

The US might have had oil it wanted at the time, and Americans may only have panicked.. however that does not mean the rest of the World was in the same position, and while the US might have all the oil it wants and needs now, it does not mean the rest of the world does.

So the US might not drop everything and head straight into a conflict because it has the oil it needs, it does not mean other nations won't feel forced to! Spain is already a little worried about the situation now, let alone what might happen in the near future.

And just to be clear, A World Wide Conflict can start without the US,

So while you (if I read your posts correctly) might feel the US is able to pump a few barrels out there to drop the price per barrel, the only real use (I see) that as is a weapon to force the price point below that Russia et al need to be..

And if the US did that again, as I guess you are suggesting then I feel they'll be setting themselves up for conflict.

Either way, if we are not careful then a conflict is around the corner..

reply to post by unityemissions

America is sitting on top of a super massive 200 billion barrel Oil Field that could potentially make America Energy Independent and until now has largely gone unnoticed. Thanks to new technology the Bakken Formation in North Dakota could boost America’s Oil reserves by an incredible 10 times, giving western economies the trump card against OPEC’s short squeeze on oil supply and making Iranian and Venezuelan threats of disrupted supply irrelevant.

In the next 30 days the USGS (U.S. Geological Survey) will release a new report giving an accurate resource assessment of the Bakken Oil Formation that covers North Dakota and portions of South Dakota and Montana. With new horizontal drilling technology it is believed that from 175 to 500 billion barrels of recoverable oil are held in this 200,000 square mile reserve that was initially discovered in 1951. The USGS did an initial study back in 1999 that estimated 400 billion recoverable barrels were present but with prices bottoming out at $10 a barrel back then the report was dismissed because of the higher cost of horizontal drilling techniques that would be needed, estimated at $20-$40 a barrel.

It was not until 2007, when EOG Resources of Texas started a frenzy when they drilled a single well in Parshal N.D. that is expected to yield 700,000 barrels of oil that real excitement and money started to flow in North Dakota. Marathon Oil is investing $1.5 billion and drilling 300 new wells in what is expected to be one of the greatest booms in Oil discovery since Oil was discovered in Saudi Arabia in 1938.

The US imported about 14 million barrels of Oil per day in 2007 , which means US consumers sent about $340 Billion Dollars over seas building palaces in Dubai and propping up unfriendly regimes around the World, if 200 billion barrels of oil at $90 a barrel are recovered in the high plains the added wealth to the US economy would be $18 Trillion Dollars which would go a long way in stabilizing the US trade deficit and could cut the cost of oil in half in the long run.

source: www.nextenergynews.com...
source: seekingalpha.com...

Since the 1990s, the federal government has consistently encouraged the development of its oil and gas resources and the amount of drilling on federal lands has steadily increased during this time. The number of drilling permits has exploded in recent years, going from 3,802 five years ago to 7,561 in 2007.

Between 1999 and 2007, the number of drilling permits issued for development of public lands increased by more than 361%, yet gasoline prices have also risen dramatically (Figure 1) contradicting the argument that more drilling means lower gasoline prices. There is simply no correlation between the two.

In the last four years, the Bureau of Land Management has issued 28,776 permits to drill on public land; yet, in that same time, 18,954 wells were actually drilled. That means that companies have stockpiled nearly 10,000 extra permits to drill that they are not using to increase domestic production.

Further, despite the federal government=s willingness to make public lands and waters available to energy developers, of the 47.5 million acres of on-shore federal lands that are currently being leased by oil and gas companies, only about 13 million acres are actually Ain production@, or producing oil and gas (Figure 2). Similar trends are evident offshore as well (Figure 3), where only 10.5 million of the 44 million leased acres are currently producing oil or gas.

If we extrapolate from today's production rates on federal land and waters, we can estimate that the 68 million acres of leased but currently inactive federal land and waters could produce an additional 4.8 million barrels of oil and 44.7 billion cubic feet of natural gas each day.

That would nearly double total U.S. oil production, and increase natural gas production by 75%. It would also cut U.S. oil imports by more than a third, and be more than six times the estimated peak production from the Arctic National Wildlife Refuge (ANWR).

In a Nutshell

* On the Outer Continental Shelf, 82% of federal natural gas and 79% of
federal oil is located in areas that are currently open for leasing.

* Onshore, 72% of oil and 84% of natural gas resources are either fully
accessible under standard lease stipulations designed to protect lands
and wildlife, or will be accessible pending the completion of land-use
planning or environmental reviews.

* Between 1999 and 2007, drilling permits for oil and gas development on
public lands increased more than 361%.

* Since 2004, the Bureau of Land Management has issued 28,776 permits
to drill on public land; in that same time, only 18,954 wells were actually
drilled.

* Oil and gas companies have stockpiled nearly 10,000 extra permits to
drill that they are not using to increase domestic production.

* Onshore, of the 47.5 million acres of federal lands leased by oil and
gas companies, only about 13 million acres are actually producing oil
and gas.

* Offshore, only 10.5 million of the 44 million leased acres are currently
producing oil or gas.

* Combined, oil and gas companies hold leases to nearly 68 million acres
of federal land that are not producing oil and gas.

* The 68 million acres of leased, inactive federal land could produce an
additional 4.8 million barrels of oil and 44.7 billion cubic feet of natural
gas each day.

* That would nearly double total U.S. oil production, and increase natural
gas production by 75%.

* 4.8 million barrels of oil equals more than six times the estimated peak
production from the Arctic National Wildlife Refuge.

* Development of and production from the 68 million acres currently
under lease but not in production would cut US imports of oil by one third.

The above would suggest that the resources are there, and have been for many decades. Those in power, more specifically those in the foreign oil purchasing business, have known for a considerable amount of time that if we refined our own sources, they wouldn't be able to line their pockets as much as they do now. So, that's why they have attempted to keep our sources " under wraps".

The MMS has estimated that there are around 18 billion barrels in the underwater areas now off-limits to drilling. That's significantly less than in oil fields open for business in the Gulf of Mexico, coastal Alaska and off the coast of southern California, where there are 10.1 billion barrels of known oil reserves as well as an estimated 85.9 billion more.

According to this report, we are close, but under the trillion barrels a year expenditure:

To put these numbers in perspective: one U.S. barrel of oil equals 42 gallons (159 liters) and, according to the Energy Information Administration (an arm of the U.S. Department of Energy that provides energy data and analysis), the U.S. consumes some 20.8 million barrels of oil a day—almost one quarter of the 87 million used worldwide. That adds up to 7.59 billion barrels a year.

There is a chance that the MMS has miscalculated the amount of offshore oil, because its estimates are based on 30- to 40-year-old data.


Regardless of data, or reports, or anything of the like, one could easily conclude that oil is here. Oil is available, but why tap your own sources, when eventually the ME will run out. Then you can be the global supplier. that's my take anyways. But regardless of our thoughts, the fact remains that the plan orchestrated by the powers that be, have us under their proverbial finger. And intend to keep it that way for years to come.........

reply to post by unityemissions


G.W.Bush opened the off shore moratorium on drilling. The US hasn't really used any of its domestic crude oil since the 50's (arguably) with exception to the North Slope when he opened the moratorium, It sent a message to OPEK and oil prices fell through the bottom. Can you imagine going through the rest of the 2 years and to date with escalating gasoline prices and dont forget the big rigs moving our food across the states?

reply to post by thoughtsfull


I said nothing of selling oil reserve and suggested that selling reserve crude would spike oil prices up because it brings on the panic. I am seeing more and more opertunity in the years to come that the crude oil in the ground in North America will become the rich natural resource that the middle east has been....

As for the 3 day work week of the UK in the 70's,, BOOO!!! HOOO!!! I havent worked a lick in a year and 5 months.I dont get unemployment .Up untill Nov. 2009 I only missed 2/ 2 week periods of work since I was 17yrs old. I am 49 now.Who is working in America these days? Medical,Insurance(for now) Lawyers, Illegal Aliens, Walmart Associates and Government.And Government is going to get theirs too. America has been reduced to a day and a half work in a week so you dont see my heart bleeding for the UK...I am an AMERICAN...My Blood is Red, White and Blue

reply to post by mikeybiznaz


Seriously, I can't make much sense of what you're saying.

We don't use much domestic oil?!

It just hurts, man.

Perhaps if you provided sources for what you're saying, and didn't' speak as if everyone knew these shorthand references you're talking about, the message would get through more easily.

Just trying to be honest and tell you how your posts come across to me.

Here's a quick chart of US oil production:




Until ~16 years ago, we produced more than we imported.

reply to post by unityemissions


must be the pond between us...Mate!!

reply to post by mikeybiznaz


I'm American, too!!

reply to post by mikeybiznaz


Wow... so your response is boo-hoo and that you bleed red white and blue!! not even sure what that meant..
BTW, the 3 day week was for what was left of the workforce at the time..

and please don't try to sell me this America is not working, the greater proportion of my relatives are American and they work as much as people do on this side of the pond, which is drowning slowly.. or as I like to call it, economic water boarding for the masses..

But hey you seem to feel you have the high ground, I would say it was nice having a conversation with you, but obviously under the circumstances can't.

Originally posted by BarmyBilly
Check out THIS thread

I suggest buying some petrol now and putting it in your shed or something for when the prices get even higher, oh and also lock your petrol caps my nan had some petrol siphoned from her car last week in the night.

Make sure you use additives for storage of the petrol. I've got (so far) 50 gallons U.S.. Price hike hit before I was done. Can't just slide into the station with 30 gas cans.

reply to post by unityemissions


Look man, if you believe everything you read on the internet,what does that say about you.

Any claim can and does get made here. You take this source or that source and its up to you to believe it or not.
You dont have to believe me about squat. Saudi is about out of oil. Heck the whole Middle east is about of Oil.
U.S.A. hasnt yet really tapped into its own resource yet.

It is a fact the Gasoline prices fell from $5.00 a gallon to $1.50 in the summer of 2008. If you are an adult American you know they did...Is this plain enough English for you. I challenged you to do your own math and you come back with "I just dont follow you"....I'm lookin really easy to follow here, No?

The real enemployment rate in U.S.A. is untrackable. It doesnt show % of those who's benifits have run out. It also doesn't show the failure rate of small businesses and those guys are S.O.L. No Unemployment benifits for them. That is a fact.

I dont care about the Bloke in England, when I cant pay my bills and for the record, He doesn't know my name either so lets just drop those pretense, OK?

Finally, the end of the Middle Eastern Oil domination brings hope to North America as it hasn't really started to EXPLOIT its Oil Preserves.

Truely I apologise for laying this out for you and without all the fancy DOT COM this and DOT COM that crap but...I dont know, I see it as Saudi's loss and America's Gain....

IS THIS SIMPLE ENOUGH FOR YOU,,,,,MAN?