The new drilling methods and locations are very expensive to carry out…NOBODY wants a drop in oil prices…Saudi Arabia still controls global oil prices by setting an arbitrary price, take it or leave it…Everyone else, the smaller producers, are more than happy to follow that lead, to accept that price…If U.S. prices start to sag because of increased production, imports are reduced to keep our supply and demand stable and prices stable…You can be SURE there is a direct phone line between Cushing, Oklahoma (where U.S. prices are set) and Riyadh, Saudi Arabia…Oil is $106/barrel (45 gallons) how much would like?
That shows you regardless of what country the oil omes from, free market pressures are at work and oil will be priced accordingly regardless. With at least 30% of the worlds oil being from The Middle East, it doesn’t matter how little we use of it, our prices are still dependent upon it. If it were lost, market pressures would drive up the price of all oil.
The costs and legal wrangling to even get permission to drill a well in the U.S. is almost beyond comprehension; even when there’s not a problem with the procedure.
One company has me named, along with a hundred or so others, in a suit to do slant drilling on one section around here. I’ve been getting notices from lawyers for a drilling company every few months for about 4 or 5 years now with perpetual hearings before the Corporation Commission and court delays.
One has to wonder why they even bother…
As to Al-Jazeera, they’re just like NPR, PBS, Fox, CNN, CBS, MSNBC, and all the rest; a lack of objectivity.
@ok4450
"The costs and legal wrangling to even get permission to drill a well in the US is well beyond comprehension; even when there’s not a problem with the procedure. "
Hmmm, wonder if they aren’t tight enough ?
There is no direct link (collusion) between these prices. The world price of any commodity is a matter of supply and demand. The amount of light, sweet crude as a percent of total oil traded is constantly dropping and the production costs of non-standard extraction is much higher than from conventional wells. If all the world’s oil was light oil from standard wells, the price would be a lot lower. This morning Brent oil sold for $110 while West Texas sold for $106. Canadian blend sold for $86, mostly because of its landlocked position and lack of pipeline capacity…
So overall oil prices have to be higher in order to get enough oil from those more difficult sources such as “fracking” and oil sands. The big winners are of course the Middle East countries with very low production costs.
It’s no different from butter production. New Zealand can produce butter at a fraction of the cost that European and American farmers need. But New Zealand is only a small supplier in global terms. Hence the world price of butter (unsubsidized) is at a level where most producers can survive.
Japanese rice production costs 5 times as much as rice produced in Louisiana. The Japanese government wants its producers to stay in business for security reasons, and US import of rice are tightly controlled.
If you are looking for a tightly controlled cartel, the diamond business is a good example, not the oil industry. Multinational oil companies are no more profitable than other industries and considerable less so that high tech and IT companies.
I had been waiting for this new source of news for weeks and it’s finally here. I go to their website several times a day for excellent, in-depth reporting. I don’t watch or listen to the 15 second bites that pass for news on American TV. I listen to the BBC and by comparison American TV and radio news is dismal. Al Jazeera has lived up to it’s promise and I think it’s the name that scares some babies off. They probably belong to the group that thinks Obama is a Muslim. ha, ha. Anyway, any country that can allow a person like Rush Limbaugh to have a public forum has got a major cultural psyche problem. He does more damage than any terrorist. Take a look. I think you’ll like it. And if you don’t, don’t go around trying to ruin it for other people until they have had a chance to evaluate it themselves.
By “American TV and radio”, do you mean Canadian, Mexican, brazil, maybe Costa Rica? Or United States? They’re all in North and South America. That’s the beauty of the United States though, we allow anyone to speak including Rush and those bent on killing infidels. It is up to a male and female educated population to sort it out.
Where y’all from @Suezeekay? I’d doubt it’s the USA, since free speech is a hallmark here. Even nuts lik Limbaugh can have a forum. Atl least you know what’s on his mind. Wild you prefer that extremists of any ilk keep their thoughts a secret? I’d rather know so that society can decide whether to keep them on the fring or bring them to the center of attention.
Who are the infidels, Depends on your Geopolitical view. We are the anathema of the east, the east is the anathema of us, there are divisive factions within all the world, There is not an easy solution, except that we all decide to live and let live and go peacefully into a brave new world, but that ain’t gonna happen anytime soon.
I know that I’m an infidel, and most posters here are. Muslims are in the club, and the rest of us aren’t.
Whatever happened to the brotherhood of man, ie women also, There are a few I have met that is like trying to mix water and oil, but a majority of people from diverse ethnencicities, we can sit down and be friends. It boils down not to a one on one personal encounter but subsersive to the powers at be or acquiescing to the powers with an agenda that forces duplicity. IE, you disapprove of a military strike against whoever, but your leaders go ahead and do it anyway… You want to remain friends but now we are enemies and can talk no more.
Infedels by definition are non believers whether you are Jewish, Christian, or a Muslim or a Buddhist or whom ever; if you are one, it pertains to everyone else. So, from someone’s point of view, EVERYONE is. Hey, maybe even the NRA leadership I guess believes that non NRA members are infidels. ;=)
We’ve been warned not to make this discussion about religion.
“Just who are the infidels?”
According to the Quran, infidels are non-believers in Islam, such as Christians and Jews. The duty then is either to convert them or kill them. It wasn’t my idea.
According to the Quran, infidels are non-believers in Islam, such as Christians and Jews. The duty then is either to convert them or kill them. It wasn't my idea.
Ummmmm… NO…
You should try reading something TRUTHFUL about the Kuran…I wouldn’t say that William Federer is TRUTHFUL about the Kuran.
Fight in the cause of God those who fight you, but do not transgress limits; for God loves not transgressors. And slay them wherever you catch them, and turn them out from where they have turned you out; for tumult and oppression are worse than slaughter… But if they cease, God is Oft-forgiving, Most Merciful… If they cease, let there be no hostility except to those who practice oppression