With investment banks talking about $200 a barrel oil by Christmas, I see a tree with a lot fewer gifts and it being a bit colder in the house due to heating oil costs.

 

I see a chance to burn bio diesel in the home furnace, and save some loot, also going to start running about 5 gallons per tank in the truck to save a few bux per tank as well.

 

If you want to break the backs of the speculators and relatively quickly bring the price of fuel more in line with demand, the government could do some things tomorrow.

First, announce that due to our emergency fuel crisis we suspend the diversion of oil into our emergency reserves and instead make it available to American refineries for sale in the US - announce if this move doesn't bring costs down, the US is prepared to flood the market with our emergency oil reserves.

Second, invoke executive powers under the war powers act - we are at war folks in the Middle East - we could be cut off at the whim of an Arab Shiek. Open ANWAR immediately, and begin building refineries. Let Congress blow their usual hot air and raise hell. Yes, I know it will be a couple of years before we begin benifiting - that's if we make production in ANWAR a top priority - but, we're being eaten alive by oil futures speculators.

Begin nudging interest rates higher; this would serve to strengthen the dollar and help drive the cost of fuel down.

All of a sudden, oil futures - betting the cost of oil will increase - would not look like such a good bet (investment).

Of course, we have no leadership, so these things won't happen.

 

Mike they voted to discontinue sending to oil reserves a couple of weeks ago. We do not need to depelate the reserves because if a war came up and the arabs cut us off, we have military oil.

 

the U.S. Department of Energy announced today, that they see gas at $4+/gallon for the next year, and oil averaging $126/barrel. it seems that they don't think the bubble is about to burst.
http://houston.bizjournals.com/pacif...9/daily33.html

 

What will burst it is when people start buying smaller cars and turn the heat down... That takes time though.

You've gotta cut the demand first.... They'll supply you all you want at $6 a gallon, but I sure as hell won't line their pockets with my family's money. I'll be on the motorcycle or in a smaller daily vehicle.

 

This is just the tip of a very large iceburg!!!!! The world is very soon reaching (if we haven't passed it allready) peak oil production. For those less informed, peek production is the point at which production from that point on starts to fall and rare gets reversed. There are sigs allready pointing this out. Late last year sevral agencies stated new production in non OPEC countries would offset declines. That has not happened. OPEC has been grosely overstating their reserves for years so that they can pump as much as possible.


As stated earlier, it gonna take some hard choices and sacrificies about consumption and above all the one thing nobody likes to talk about..........population control to bring things back in line. There is no way we can produce our way out of this hole!!!!!!

 

Total bunk. And from the same people that have brought you Gorbal warming. Even though the earth has been cooling since 1998. IF YOU DON'T DRILL YOU DON'T HAVE OIL! There are major finds in Alaska, Utah, off the Florida coast, in the Gulf but the tree huggers will not allow drilling. Castro can drill there, China can drill both off Florida and off Alaska, but we can't.

Now two thirds of the earth is covered with water. So two thirds of the earth has not even been explored for oil. There is plenty of oil!

And alternative fuels..... quit giving subsidies to the farmers not to grow and turn them loose on bio fuel. Build nuke plants to produce electricity.

The Democrats will bury this country.... by popular vote too!

Instead we will blame it all on Bush, even though the congress is Democrat and Clinton vetoed the bill to drill in Anwar.

THE PRESIDENT DOES NOT MAKE LAWS, CONGRESS DOES!

 

Let me preface that i am NO expert...just a workin stiff BUT, all that I have seen says it is NOT a matter of peak oil, OR supply/demand. It boils down to a select few who weild (apparently) great power and influence on the markets where oil is traded, even the Saudi`s have said as much.

 

yup, oil companies, speculators, and investment banks are controlling this ride, not the 'peak oil myth' or supply and demand.
btw ChrisLib, i bought my first new vehicle very close to Bellport (many years ago), at Sayville Ford- small world.

 

ChrisLib is Sunrise Highway still the late night drag strip? In my teens the unopened sections of the LIE were the greatest drag strips ever.

 

http://www.signonsandiego.com/news/m...1m15tjgas.html