Oil Price Surging

[Mazrim]

Originally Posted by zuluking

Please say you're in the U.S. (or BC)!!

His location says Alabama??

Originally Posted by PIMking

One gas station that I go past every day to class was $2.92 yesterday, Today it was $3.30.. What in the world justifies that sort of jump in gas prices?

My favorite part is when the price drops quickly, it takes forever for the gas stations to drop their price. "Takes time for the price drop to get into the system." Really? How come it doesn't take long for the price increase to get into the system??

[zuluking]

Originally Posted by Mazrim

His location says Alabama??

After googling Alabama, I have since verified that Alabama is indeed in the U.S. - an entire state if you were wondering!

[valo403]

Originally Posted by PIMking

Apples and Oranges, You don't people say "well there is a country in the middle east that might go into a civil war. So lets crank up the prices of our oranges to take full affect of the soldiers need for tasty orange juice"

One gas station that I go past every day to class was $2.92 yesterday, Today it was $3.30.. What in the world justifies that sort of jump in gas prices?

Actually that's precisely what happens, it's just the factors that are different. If Florida broke out in civil unrest the price of aranges would go up. If Costa Rica broke out in civil unrest the price of coffee would go up. If Sweden broke out in civil unrest the price of blondes would go up.

Replace civil unrest with factors that are more directly tied to the commodity and the same thing happens, be it weather, transport issues, disease etc.

Btw, you're talking about two different things when you discuss oil prices and prices you pay for gas. They may be related, but they aren't the same thing.

[macker]

Originally Posted by PIMking

Apples and Oranges, You don't people say "well there is a country in the middle east that might go into a civil war. So lets crank up the prices of our oranges to take full affect of the soldiers need for tasty orange juice"

One gas station that I go past every day to class was $2.92 yesterday, Today it was $3.30.. What in the world justifies that sort of jump in gas prices?

It will be $4 US by the summer.....if you watch the Brent price ($112) and compare to WTI ($98) you can see where it is going, this despite Libya only supplying 3% of the worlds oil and the Saudis comming out the other day and saying they will make up any shortfall and Libyas sweet crude being used primarily in Europe. The US will be back to the $4 pricing of the 2009 "driving season" before you know it. This will force changes that should have been implemented years ago. If Nigeria ever has Libya type issues Also interesting to watch the prices of Wheat and Corn etc. go down in response to demand curbing etc. Sustainable?

[PIMking]

Can the rest of America and Liberals still blame this on Bush and his Oil buddies?

[burn_this_city]

Yaaaay! My only concern is the feeding frenzy pushing costs for oilsands expansion through the roof.

[mikey_the_redneck]

Originally Posted by HPLovecraft

No.

You are probably thinking of arguing that global warming is a farce, but even skeptics of that acknowledge climate change is real.

But let's not turn this into another climate change fiasco of a thread.

Well you're right that climate change is real, and always has been real. It's the part about blaming climate change on human CO2 emissions that I have a problem with.

Oil will most likely get up to $150-$200 a barrel as the rest of the middle east gets swept into revolution, including Saudi Arabia. This will tank the american economy if it goes on for too long.

[burn_this_city]

I think $200 is wishful thinking if 12% of the total supply is cut off. We're already seeing $110 on no real supply shortfall.

[Pinner]

I think it was Seabass that said "bring it on" because it would force us to make the switch. IIRC

[mikey_the_redneck]

Originally Posted by burn_this_city

I think $200 is wishful thinking if 12% of the total supply is cut off. We're already seeing $110 on no real supply shortfall.

Old Lindsey Williams predicts between $150-$200/barrel. He is personal friends with oil industry elites, like Ken Fromm (who has passed away), so his predictions are usually accurate.

[Matata]

Originally Posted by mikey_the_redneck

Old Lindsey Williams predicts between $150-$200/barrel. He is personal friends with oil industry elites, like Ken Fromm (who has passed away), so his predictions are usually accurate.

All I've heard from Lindsay is hearsay (ie "I know a guy and I assure you..."). Can you provide any links or proof about the accuracies of his predictions over the years? I think it'd be really interesting.

[burn_this_city]

So an old guy and a dead guy think it would be between $150-200 despite the fact it hit $147 without a supply cut?

[puckluck]

Hearing Americans complain about 85 cent gas really grinds my gears.

[mikey_the_redneck]

Originally Posted by Matata

All I've heard from Lindsay is hearsay (ie "I know a guy and I assure you..."). Can you provide any links or proof about the accuracies of his predictions over the years? I think it'd be really interesting.

Williams has revealed his source because he passed away (Ken Fromm). He claims to have others which he doesn't reveal. He was a pilot/executive chaplain up in Alaska when they were building the pipeline.

I have listened to many of Lindsey's interviews over the last several years (since '07-ish). I was skeptical at first because he sometimes comes across as an old christian fuddy duddy, but he has been accurate. He told listeners about the last oil spike back in '06/'07, but other than that I don't follow him too closely.
He has a book out called "The energy non-crisis" which I have not read, but supposedly Ken Fromm contributed to the book and got in hot water with the big oil companies over it.
He also talks alot about how the U.S. is intentionally keeping billions of barrels of Alaskan oil off the market.

Lindsey Williams also has said that his sources insist the American dollar is coming to an end btw....it is interesting for sure.

[Bertuzzied]

Originally Posted by puckluck

Hearing Americans complain about 85 cent gas really grinds my gears.

Most of them don't make very much money.

[mikey_the_redneck]

Originally Posted by burn_this_city

So an old guy and a dead guy think it would be between $150-200 despite the fact it hit $147 without a supply cut?

The "dead guy" Ken Fromm was the Chief Operating Officer for Atlantic Richfield. He's just an industry insider with an informed opinion is all.....

[Barnes]

Never put all your holdings in oranges.

[mikey_the_redneck]

Bump.

It is interesting to note that a "Day of Rage" protest is being planned for March 11th in Saudi Arabia.

If oil flow gets disrputed as a result of conflict and unrest, you could see a big spike in oil prices. Lindsey Williams was speculating about this today, not from insider info.

http://www.google.ca/url?sa=t&source...3q4R35pVx5yaCg


"The popular uprisings across the Middle East are sparking similar unrest in the Kingdom of Saudi Arabia, with youth groups and workers in that country now calling for a “day of rage” demonstration in the capital, Riyadh, on March 11th.
Already there have been protests in the city of Qatif and other towns in the country’s oil-rich Eastern Province demanding, among other things, the release of political prisoners and a raft of social reforms. There are also reports of prominent Shia clerics being detained by the Saudi Sunni authorities, and security forces mobilising in anticipation of further protests."

“Unemployment is as high as 50 per cent among Saudi youth, whether Shia or Sunni, and there is a serious shortfall in housing and education facilities,” said al-Ramadan. “People want more transparent governance, an end to corruption, and better distribution of wealth and welfare.”


Also, the neighboring country Bahrain is in full riot mode as well, with tanks and everything...

[macker]

Hopefully these uprisings don't drag into the "driving season" and summer months! AAA says the American gas price on average right now is at $3.37. For every $10 increase in crude if sustained for an entire year Americans spend $96 billion more on gas. If crude gets to $120 and stays there for a period of 6 months or more it would cause a lot of damage. Oil has surged recently but it has to sustain the higher levels for it to really threaten the recovery.

[SeeBass]

It is $3.85 in Carmel,CA right now