captscott26

OK, a few times now I have read that oil is in fact worth $130 because we are still buying it. I disagree with that completely. Memorial Day travel was down to record lows, sales of SUV's have come to a grinding halt, more and more folks are cutting their gas usage as much as possible, and the country as a whole is beginning its movement to green. It seems to me that the people of this country have decided that with oil trading at 130, and more importantly gasoline up to almost $4/gal, it just doesnt make sense to purchase any more than is absolutely necessary.

Anyone else have an opinion?

KiloAlpha

Developing nations (CHINA) are consuming oil in greater quantity and the greenback is weakening.

The Duke

They're paying nearly $10/gallon in London, England as we speak, which is well over $300/bbl.

Right now, here in the U.S., oil is worth just about 20 cents/cup. Is there anything else in the world that we pay 20 cents a cup for? Most of us consume coffee/bottled water that costs well over 20 cents a cup.

In my opinion, we all got used to cheap gas. We were lucky to have experienced cheap gas for as long as we did. Times are a changin'. I think gas will continue to get more expensive. We've hit peak oil @ 85 million bbl/day consumed and produced, yet worldwide demand surges on because our economies depend on it. This means prices will continue to march upward.

The other thing you have to remember is we're not the only ones consuming oil anymore. Ordinarily, if our demand were to go down here in the U.S, we would see a correction in the prices. Today, you've got China and India picking up the slack and keeping demand strong, regardless of what we do here in the U.S.

DANCRJ

That's the biggest problem for now. Doesn't matter how much the US cuts back, Asian countries with booming economies are going to keep the oil prices up. I think the US will invest in greener technologies but at the same time will have to find a way to increase production (please Mr. Bush, don't go kissing Saudi ass again). Also, there some places known to have oil, but technology is not there yet to extract it and the investment was not worthed (before), with the way things are now, it could make sense. Also, speaking about aviation, I feel like there's almost no plans for more efficient airplanes. The 787 is obviously coming, but 737NGs and A320s are not going to be replaced anytime soon. I think airplane manufacturers got to start working harder to develop new technologies.
Also, I don't know if you guys feel the way I feel about regional flying. Shouldn't regionals already start pushing Embraer, Bombardier, Maybe Saab to develop high efficient Turboprops?. There's nothing like a turboprop for fuel efficiency, and altough some airlines are getting Qs I think they could take it a step forward and Embraer could come up with their own project. I don't think oil is going to come down anytime soon. I think we could switch at least 50% of the regional flying to new gens of turboprops in a few years. Is just my thinking. Does anybody feel the same?

mattisawesome

I hate to rain on your parade but this line of thinking you have about gas being $.20 a cup and comparing to other things is silly. The UK doesn't pay $10/gal for gas they $5.00 for gas and $5.00 for taxes. It's not equivalent to anything except that Europeans think it is ok to let the the government tax them to death. Why would I ever follow Europe's lead on anything when they think it is ok for the government to take 60% of their incomes to blow on what they see fit? Also the logic you, and most other people, have about India and China is strange to me. Oil is heavily subsidized by their governments and it is an unsustainable subsidy because of the price. Also, their economic growth rates are unsustainable in the long term because of their respective populations and the need to produce food.

We are not at peak oil yet either my friend. There are several trillions of barrels of oil left in and on the earth in different forms. The problem is many of these methods of production were not possible because of economics until now, and we will see them come online in the next few years(tar sands, oil sands, deepwater, oil in hard rock). This will boost our supply, though in the short term we may be a little tight.

Linebacker35

I find it funny that the world blames high oil prices on everything including increased demand, evil oil companies, and so on. Yet no one ever mentions OPEC! They are the one and only factor in this. OPEC nations finaly figured out that by reducing output the price would go up resulting in more money plus screw over the developed world. Heck Bush talked to the Saudi's about increasing production and the Saudi's responded by saying there is no evidence that production needs to be increased.
The oil company profits are only a drop in the bucket

Case and point.... look at Dubai

fosters

I agree 100%, if it were "worth" $4/gal to us then we wouldn't be investing in alternative fuels, cutting back, etc. I also disagree with the Duke's comment about breaking it down into cost/cup. Who cares? I don't need to buy Starbucks or bottled water. Tap water is $0.01/gallon. I can live without coffee. But I must buy gas due to the way our infrastructure is set up. If we had 70 mpg cars I wouldn't be complaining so much. But we don't have any options right now.

reevesofskyking

And Start looking up so new theories that oil is not a fossil fuel at all. that is planetary forces created substance. I am not sure I beleive it yet, but interesting none the less

http://www.rense.com/general67/oils.htm
http://www.worldnetdaily.com/news/ar...TICLE_ID=59991

Then google oil is not a fossil fuel and you find 1.8 million hits on the search. Now granted after the first pages of the search the rest is crap. But someone out beleives it, just as some believe peak oil

Reeves

Busboy

Reeves,

Have your doctor adjust your medication, please. And then, resubmit your post.

reevesofskyking

If you are talking about spelling and grammer then thats fair, but you talking about the pages I posted, then who made you the expert to discount what I read. It is no damn different then reading all the endless articles that talk about peak oil, emerging markets, commodity speculation, falling dollar and list goes on. This may seem unusally harsh, but today is a nice sunny day mild temps and light wind, and I get to spend it at home with my wife, I just dont care. Just because this just seems so off the wall that cannot be true, dont tell me to goto my dr and have my meds changed to suit your oppinion, my insurnce would never cover that anyway.

Reeves