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Post by trapper7 on Jun 1, 2011 14:55:46 GMT -5
Gas prices around here have dropped about .25 per gallon. Rumor is that they will drop by .50 per gallon by the end of June.
Of course, the liberals are giving Obama credit for the drop. In reality, the real reason for the reduction is people are taking fewer trips, driving closer to home for vacation, and using less gas. The result is a surplus with less demand. This is further proof that more drilling here in the US would create lower gas prices because there would be a surplus, and less dependence on foreign oil.
Compare this with fur prices. If you flood the market with coon hides and the demand is down, the price goes down. But, if you have a shortage of coon hides and a strong demand, prices will go up. It's just common sense.
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tdb
Grinner Skinner
Posts: 344
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Post by tdb on Jun 5, 2011 21:32:07 GMT -5
Gas was down to $3.88 here, thursday it jumped back to $4.19
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haus
Fox Trapper
Posts: 855
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Post by haus on Jun 6, 2011 16:42:33 GMT -5
Trapper you may have something. Was wondering though if American gold is cheaper than gold mined in other countries? American diamonds cheaper than foreign diamonds? www.goldprice.org/gold-price.htmlPoint being that using our own oil keeps the money in the US. It does not mean that American oil will be any cheaper. Companies still want to get the most from their product as possible. Could congress force a private company to produce oil? Probably no more than they could force coalgate to produce toothpaste. Companies would still have the choice to flood the market or control production to maximize profit. While high prices do suck, I say lets deplete the worlds oil supply and then tap into ours and let them pay us dearly for it.
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Post by trapper7 on Jun 7, 2011 15:45:01 GMT -5
One of my hunting buddies, who is a died-in-the-wool democrat says those very words when anyone complains about the high price of gasoline. "We're saving ours until the rest of the world runs out. Then, they'll have to come to us and pay OUR price. Many geologists estimate it will take about 100 years for them to run out. A real smart strategy. Most of the oil mined right here in the US is shipped to Canada to be refined because we can't handle the large amount due to lack of refineries. They refine it for us and sell it back to us. Oil companies could cut out the middle man (Canada) if we built more refineries and opened up more drilling. If you sell your fur to a local buyer and they sell to NAFA after that, if you go directly to NAFA yourself you will realize better profits. I know a man who owns over 5000 acres in North Dakota with oil underneath it. He has oil companies waiting in the wings to drill, but he hasn't been able to get a permit from the feds.
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haus
Fox Trapper
Posts: 855
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Post by haus on Jun 7, 2011 19:20:52 GMT -5
Now you have made a second point that I do agree with. If more refineries were created then it would create competition. The drill baby drill BS will not fix our problem. Refineries have to be created in addition to producing local oil. Personally I am looking forward to compressed natural gas. We have so much natural gas we do export it. I added a new line in my garage when we were building. Hopefully it will be as simple as adding a new carb or hardware similar to what is needed to run propane and the tank, etc...
One problem that would still concern me however is what would keep a company producing oil in America from selling it overseas instead of here? If there is already a law I am unaware of it.
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Post by huckleberry on Jun 7, 2011 20:10:08 GMT -5
No there is no law preventing that. In fact at one time american oil was being sold to china much more then was selling here. Not sure where that ratio is today.
It all comes back to one thing, or group. The enviromentalists. They don't want our oil drilled for several stupid reasons. (one I am sure is they get alot of money from the oil comps) Until we put a stop to their BS we will never drill our own oil, build more refineries, and enable cheaper gas at the pumps.
Hydrogen is right around the corner. much closer then most think. I welcome it with open arms myself. natural gas is very much available to. I had a truck for awhile that ran on propane. I loved it. if it had been nat gas instead I may still have it.
Regardless, whichever OTHER fuel takes over, if the people don't stop it, the price of that fuel will be just as high as gas is now.
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Post by trapper7 on Jun 8, 2011 10:49:34 GMT -5
Wow! haus and I are agreeing on lots of stuff today! Without refineries, more drilling is meaningless with regards to reducing the cost of gasoline. It would mean we just ship that much more to Canada for refining. What's the point?
I also agree that natural gas is the way to go. I don't think it's a real big deal to retrofit an automobile to run on it and it's very clean burning as opposed to gasoline.
The real reason Obama and his environmentalists are so opposed to these ideas is that they hinder their "going green" objectives. Obama has been quoted as saying he wants to see us paying the same prices for gasoline as they do in Europe, $7 to $8 per gallon. This will force us to go green and make Obama's benefactor, George Soros very happy.
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