[Ultrashogun]

Originally Posted by U.S. Soldier

Then we do what we must do, take the oil. The **** did that in ww2. Or drive hybrids. The Kurds will attack us? We will give them a bigger asskicking than what Saddam gave them

You mean you want to go kill the Kurds now after you already helped Saddam kill them in the 80s and then killed Saddam with the help from the Kurds to punish him for killing the Kurds?

American foreign policy is fucking awesome.

[redjako]

Originally Posted by PEB

Correct and not only that hydrogen talk is great for the oil companies because they know it's delays the development of real promising new technology that can be delivered today not 5 to 10 years from now. Oil companies want to keep business as is because they are recording record profits on the backs of US consumers. It is about time that we step up and prove that Americans are not going to finance Oil Companies massive profits.

Here is an article to bring back memories for people.

Why Exxon won't produce more oil - MSN Money

*BUMP* maybe even a new thread...

Lysle Brinker, who follows Exxon for the research firm John S. Herold, figures that given the company's capital outlays, Tillerson can keep replacing the oil and natural gas he sells. That way the company won't shrink, even if it doesn't grow.

Big oil companies can continually miss their targets or even target no growth and still shine on Wall Street due to the peculiar nature of commodity businesses. Less supply of a commodity means higher prices. Higher oil prices mean more profits for the oil companies.

Production at an easy pace = higher profits, but shitting on consumers...so very interesting. Solutions seem scarce, what do you do, TELL the Oil company to produce more? Tax them if they DON'T produce more? That would cause so many messy problems...

[Darwinist]

Originally Posted by redjako

Production at an easy pace = higher profits, but shitting on consumers...so very interesting. Solutions seem scarce, what do you do, TELL the Oil company to produce more? Tax them if they DON'T produce more? That would cause so many messy problems...

They CAN'T produce more. That's the big shiny white elephant in the room nobody wants to talk about.

Why do you think they'd pull this stunt on purpose now, when they could have done it ages ago at any previous level of production and still reaped the benefits of the nature of the commodity market?

Why capsize the world economy NOW? Remember, the Big Oil execs are thick as thieves with the political establishment. They've always played ball in balancing the world economy, as has OPEC, apart from a few symbolic production cuts to flex their muscle in the 70s.

The reason production isn't increasing now is because it CANNOT increase - because we are at the peak of world oil production. Simple as that.

Please note that we can still be at peak even though there is more oil in aggregate left to be consumed than has been consumed in the past. It´s a question of how much you can bring to market in any given space of time, and that has plateaued, while demand keeps rising. Soon supply will begin to decline, increasing the gap even further, and pushing prices even higher.

[Mithra]

Originally Posted by Darwinist

They CAN'T produce more. That's the big shiny white elephant in the room nobody wants to talk about.

Why do you think they'd pull this stunt on purpose now, when they could have done it ages ago at any previous level of production and still reaped the benefits of the nature of the commodity market?

Why capsize the world economy NOW? Remember, the Big Oil execs are thick as thieves with the political establishment. They've always played ball in balancing the world economy, as has OPEC, apart from a few symbolic production cuts to flex their muscle in the 70s.

The reason production isn't increasing now is because it CANNOT increase - because we are at the peak of world oil production. Simple as that.

Please note that we can still be at peak even though there is more oil in aggregate left to be consumed than has been consumed in the past. It´s a question of how much you can bring to market in any given space of time, and that has plateaued, while demand keeps rising. Soon supply will begin to decline, increasing the gap even further, and pushing prices even higher.

Exactly, the blame for this belongs on God for not giving us enough oil..not OPEC or the oil companies

[Darwinist]

Originally Posted by Mithra

Exactly, the blame for this belongs on God for not giving us enough oil..not OPEC or the oil companies

In related news, Bush has declared Heaven a part of the Axis of Evil. Tomohawk strikes against the Heavenly Host are expected to commence within 24 hours.

[redjako]

Article disagrees, as with historical reference to purposeful policies keeping growth stagnant.

[Mithra]

Originally Posted by Darwinist

In related news, Bush has declared Heaven a part of the Axis of Evil. Tomohawk strikes against the Heavenly Host are expected to commence within 24 hours.

Does he have a plan for withdrawal ?

[PEB]

The idea that Exxon is interested in producing more oil this fact questions that idea. It spent more money buying back it's stock. This was done as a way to reward investors people like the Lee Raymond was stepping down as the CEO of the company. Nice way to reward Lee on the way out with a rapid increase in value for his shares he was rewarded as he step down from the day to day operations of the company. So the whole idea that Exxon is out to help the little guy is false.

"Exxon spent $19.9 billion in 2006 on capital expenses and the hunt for more oil. It also paid $29.6 billion to buy back some of its own stock, a move meant to reward investors by increasing the value of outstanding shares. The company's annual profit hit $39.5 billion, the most ever for an American company."


Big Oil cautious about clean-energy spending / Critics want more from firms earning billions


ABC News: Oil: Exxon Chairman's $400 Million Parachute

[Mithra]

When has anyone said that Exxon is out to help the little guy?

They produce a product that is in high demand and in return are raking in the $$...good for them

[GermanBJJ]

I actually have a small little conspiracy theory that I think could be plausible. The US has massive oil shale resources and I mean massive. We have enough oil shale to make more oil than all the proven oil reserves in the entire world COMBINED.

While it certainly isn't cheap oil, the figures I have seen seem to indicate that it would cost about $40-50$/barrel to get oil shale into crude. We never did this in the past because oil was never over that level for any real length of time. We had plenty of cheap oil from other countries we could use instead of draining ours.

Now what if the US is purposefully just draining the ME of oil as a political tool? Our plan can be to use the world's cheap oil while we can and then when oil gets really expensive, we simply start using our own shale reserves for ourself (keeping them off the world market.) What is interesting is that the US government bought up or seized most of the oil shale territory (some 80% of it last time I read an article.)

That would leave the US with decades and decades of $40-$50/barrel oil while the rest of the world fights over the ME's drained reserves and has to pay $200-300$/barrel oil.

What do you think Darwinist?