This will bring down gas prices...

[Oerdin]

A great thread to read.

 

[1Holliday1]

Many more LoLz ^^^^^^^

Anonymous Twitter sources.

It's already been explained to you. The reason why the oil industry is keeping production low is that's how they keep profits high.

 

[Oerdin]

Try reading it. BTW that guy was running for governor of California so he is well known here. His book San Fran-sicko is an excellent read.

 

[1Holliday1]

Try reading it. BTW that guy was running for governor of California so he is well known here. His book San Fran-sicko is an excellent read.

Well, good to hear he isn't biased in any direction.

PS - I did read it...it's bullshit.
It's a plea for deregulation which will lead to even greater profits.
They can pump all they want now !

 

[Oerdin]

 

[Oerdin]

Try reading it. BTW that guy was running for governor of California so he is well known here. His book San Fran-sicko is an excellent read.

Well, good to hear he isn't biased in any direction.

PS - I did read it...it's bullshit.
It's a plea for deregulation which will lead to even greater profits.
They can pump all they want now !

It is very clear you have no idea what you are talking about.

 

[1Holliday1]

“These companies are saying, ‘You’re asking me to do more now, invest more now, when, in fact 5 or 10 years from now, we don’t think that demand will be there, and the administration doesn’t even necessarily want it to be there.’”

That's right - he just agreed with what I have already presented. They are only interested in immediate maximizing of profits and fuck the consumer. LoLz @ Oderstink.

The fact is they can pump and refine all that they like but aren't doing it so they can keep prices high and maximize profits.

 

[Oerdin]

This substance article is very detailed.

Please, Log in or Register to view URLs content!

 

[Dove]

Nothing substantive to add huh?

I figured as much considering you talked yourself into a circle on your second reply

lol

as I was saying

He still thinks the corps are on OUR side.

He doesnt even understand who voted for Trump.

 

[1Holliday1]

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American oil companies are emerging from a series of lean years. The profligate spending of the early shale boom chastened Wall Street — with lenders prioritizing capital discipline over expansive new drilling programs. Economic shutdowns associated with the Covid-19 pandemic prompted many companies to slash their capital budgets in 2020. And efforts to stand up rigs again have been hampered by a tight labor market and a supply chain crunch.

“Demand almost always acts faster than supply,” said Daniel Klein, who tracks the industry at S&P Global Platts. “You can’t slam on the brakes as hard as we did [in 2020] and expect supply to come back as quickly as it came off. There are more speed bumps on supply than there are on demand.”

Western governments have declined to sanction Russia’s oil exports so far. But many traders have voluntarily shunned Russian barrels since the country’s attack on Ukraine. Purchases have become so scant that Shell PLC made headlines Friday when it agreed to buy a cargo of Urals crude, the signature brand of Russian oil.

Russia was the world’s second largest oil producer last year, and a disruption in shipments from the country likely would result in a global supply crunch.

Oil demand has been increasing since the nadir of the pandemic in 2020. OPEC has committed to modest supply hikes. That has turned focus to the United States, which in recent years has surpassed Russian and Saudi Arabia as the world’s top oil producer.

U.S. production was almost 11.6 million barrels a day in December, up from a low of 9.7 mbd in February of 2021, but below the nearly 13 million barrels recorded in the runup to the pandemic, according to the U.S. Energy Information Administration.

“I think we are going to see producers spend more money on drilling with these higher prices. But it will take several months to bring that oil to market,” said Andrew Lipow, president of Lipow Oil Associates LLC, a Houston-based consulting firm.

Most U.S. oil production today comes from shale wells, which are relatively easy to bring online compared to major offshore projects or Canadian oil sands. But the downside to shale wells is that production falls steeply after they are brought online. That means new drilling is needed just to maintain current levels of production. Increasing output requires a major ramp-up in drilling.

The number of American oil rigs has increased steadily since July 2020, when the country reached a low of 172. The 519 rigs recorded last week was up from 480 rigs the first week of the year. By comparison, the United States had more than 800 rigs in the field in 2019.

One potential source of new supply that could be tapped quickly are wells that have been drilled, but yet to be fracked. Companies sometimes will delay fracking a well until prices are favorable to maximize its revenue.

Yet as oil prices have climbed steadily in the last year, companies have begun working off their inventory of DUCs — shorthand for “drilled but uncompleted” wells. Where the national inventory of DUCs stood around 8,800 wells in the summer of 2020, that figure now registers around 4,400, according to EIA figures.

Policymakers have few tools to greatly boost American oil production in the short-term, said Daniel Raimi, an economist who studies the industry at Resources for the Future. It will take years to bring new production online even if the Biden administration offers new leases and speeds permits of major projects. Keystone XL, meanwhile, is largely irrelevant because much of the Canadian oil destined for that pipeline already has found alternative routes to market.

“There is essentially no action the Biden administration could take that would really move the needle on oil prices, or at least policies that would have to do with oil and gas production in the U.S.,” Raimi said.

In the medium to long term, the best thing the United States can do for energy security is reduce its consumption of fossil fuels, limiting its exposures to volatile swings in crude prices and freeing up more oil and gas to be shipped to allied countries, he said.

“As long as we use oil, we are dependent on every other country in the world. It includes Saudi Arabia and Russia. It also includes major consumers like China and India. Because when their consumption goes up, prices go up for us,” Raimi said. “So there is no energy independence when it comes to global oil markets.”

 

[Admin.]

My old College buddy's Cousin uses this hack as a contrarian indicator. LOL!

 

[Admin.]

Please, Log in or Register to view URLs content!

American oil companies are emerging from a series of lean years. The profligate spending of the early shale boom chastened Wall Street — with lenders prioritizing capital discipline over expansive new drilling programs. Economic shutdowns associated with the Covid-19 pandemic prompted many companies to slash their capital budgets in 2020. And efforts to stand up rigs again have been hampered by a tight labor market and a supply chain crunch.

“Demand almost always acts faster than supply,” said Daniel Klein, who tracks the industry at S&P Global Platts. “You can’t slam on the brakes as hard as we did [in 2020] and expect supply to come back as quickly as it came off. There are more speed bumps on supply than there are on demand.”

Western governments have declined to sanction Russia’s oil exports so far. But many traders have voluntarily shunned Russian barrels since the country’s attack on Ukraine. Purchases have become so scant that Shell PLC made headlines Friday when it agreed to buy a cargo of Urals crude, the signature brand of Russian oil.

Russia was the world’s second largest oil producer last year, and a disruption in shipments from the country likely would result in a global supply crunch.

Oil demand has been increasing since the nadir of the pandemic in 2020. OPEC has committed to modest supply hikes. That has turned focus to the United States, which in recent years has surpassed Russian and Saudi Arabia as the world’s top oil producer.

U.S. production was almost 11.6 million barrels a day in December, up from a low of 9.7 mbd in February of 2021, but below the nearly 13 million barrels recorded in the runup to the pandemic, according to the U.S. Energy Information Administration.

“I think we are going to see producers spend more money on drilling with these higher prices. But it will take several months to bring that oil to market,” said Andrew Lipow, president of Lipow Oil Associates LLC, a Houston-based consulting firm.

Most U.S. oil production today comes from shale wells, which are relatively easy to bring online compared to major offshore projects or Canadian oil sands. But the downside to shale wells is that production falls steeply after they are brought online. That means new drilling is needed just to maintain current levels of production. Increasing output requires a major ramp-up in drilling.

The number of American oil rigs has increased steadily since July 2020, when the country reached a low of 172. The 519 rigs recorded last week was up from 480 rigs the first week of the year. By comparison, the United States had more than 800 rigs in the field in 2019.

One potential source of new supply that could be tapped quickly are wells that have been drilled, but yet to be fracked. Companies sometimes will delay fracking a well until prices are favorable to maximize its revenue.

Yet as oil prices have climbed steadily in the last year, companies have begun working off their inventory of DUCs — shorthand for “drilled but uncompleted” wells. Where the national inventory of DUCs stood around 8,800 wells in the summer of 2020, that figure now registers around 4,400, according to EIA figures.

Policymakers have few tools to greatly boost American oil production in the short-term, said Daniel Raimi, an economist who studies the industry at Resources for the Future. It will take years to bring new production online even if the Biden administration offers new leases and speeds permits of major projects. Keystone XL, meanwhile, is largely irrelevant because much of the Canadian oil destined for that pipeline already has found alternative routes to market.

“There is essentially no action the Biden administration could take that would really move the needle on oil prices, or at least policies that would have to do with oil and gas production in the U.S.,” Raimi said.

In the medium to long term, the best thing the United States can do for energy security is reduce its consumption of fossil fuels, limiting its exposures to volatile swings in crude prices and freeing up more oil and gas to be shipped to allied countries, he said.

“As long as we use oil, we are dependent on every other country in the world. It includes Saudi Arabia and Russia. It also includes major consumers like China and India. Because when their consumption goes up, prices go up for us,” Raimi said. “So there is no energy independence when it comes to global oil markets.”

There is a reason American Presidents going back to at least Nixon have been "kissing" Saudi ass.

 

[Oerdin]

Try reading it. BTW that guy was running for governor of California so he is well known here. His book San Fran-sicko is an excellent read.

Well, good to hear he isn't biased in any direction.

PS - I did read it...it's bullshit.
It's a plea for deregulation which will lead to even greater profits.
They can pump all they want now !

He is an independent and a leftist who worked as a staffer for several Democrats in Congress. Hell, he even used to work for George Soros. He just recognized that many if the policies his own side promoted were broken and making things worse.

But, of course, you lie and want to pretend the guy is right wing. BTW I actually voted for him in the California primary because he was the only one talk sense.

 

[1Holliday1]

But, of course, you lie and want to pretend the guy is left wing

You shouldn't talk to yourself out loud, then people know what you are REALLY thinking.

 

[Admin.]

Try reading it. BTW that guy was running for governor of California so he is well known here. His book San Fran-sicko is an excellent read.

Well, good to hear he isn't biased in any direction.

PS - I did read it...it's bullshit.
It's a plea for deregulation which will lead to even greater profits.
They can pump all they want now !

He is an independent and a leftist who worked as a staffer for several Democrats in Congress. Hell, he even used to work for George Soros. He just recognized that many if the policies his own side promoted were broken and making things worse.

But, of course, you lie and want to pretend the guy is left wing. BTW I actually voted for him in the California primary because he was the only one talk sense.

I love love love the way you personally call this guy a leftist and then try to shame us, because you think we called him a leftist...


I think you might be coocoo for Cocoa Puffs!

 

[Oerdin]

Obvious typo. As you can't deal with the facts you smooth brains deflect with grammar Nazi b.s..

 

[Admin.]

Try reading it. BTW that guy was running for governor of California so he is well known here. His book San Fran-sicko is an excellent read.

Well, good to hear he isn't biased in any direction.

PS - I did read it...it's bullshit.
It's a plea for deregulation which will lead to even greater profits.
They can pump all they want now !

He is an independent and a leftist who worked as a staffer for several Democrats in Congress. Hell, he even used to work for George Soros. He just recognized that many if the policies his own side promoted were broken and making things worse.

But, of course, you lie and want to pretend the guy is left wing. BTW I actually voted for him in the California primary because he was the only one talk sense.

I love love love the way you personally call this guy a leftist and then try to shame us, because you think we called him a leftist...


I think you might be coocoo for Cocoa Puffs!

The proof is in the nest you language challenged goof.

 

[Admin.]

Obvious typo. As you can't deal with the facts you smooth brains deflect with grammar Nazi b.s..

Sure thing sparky. and you have the gall to ad hom. me You bozo.