Replies to This Discussion

Permalink Reply by Todd Charles on May 19, 2012 at 9:32pm

...who got caught with his weinie out on his cell phone ???  THAT "Weiner" ?   HaHaHaaaaa

 

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Permalink Reply by Chartist on May 20, 2012 at 2:20am

It's about time....The oil companies have been making fortunes for many years....It's time they support green energy efforts.  How has the US been benefitting from all of the E&P?  Cushing OK, is awash in oil yet Americans aren't getting a big break on gasoline as the production is being shipped to europe and china.

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Permalink Reply by Jack Straw on May 20, 2012 at 4:01am

RE: "Americans aren't getting a big break on gasoline as the production is being shipped to europe and china"

That statement is totaly false. We do not export gasoline to Europe, we do not export gasoline to China.

We are a net importer of gasoline, primarily from Europe.

Europe has gone over to use more and more diesel.

Europe's refineries (as do all refineries) necessarily obtain a range of products from the refining process, they export a portion of their excess gasoline to the US.

"Total motor gasoline imports (including both finished gasoline and gasoline blending components) last week averaged 675 thousand barrels per day."

The above is from the most recent Departmemt of Energy - Energy Information Agency Weekly Report: http://ir.eia.gov/wpsr/wpsrsummary.pdf

We are also net importers of diesel (distillates).

 

We do import some oil from Mexico and South American countries that goes to under utilized Gulf Coast refineries under contract to refine and return the refined product.

This is done because we have excess refininig capacity and the above countries have insufficient refining capacity. This provides jobs for refinery workers, profits for American companies, tax revenues (local, State and Federal) and improves America's balance of payments.

The oil imported belongs to  the countries for which the refined product is returned, the oil was never ours - nor was the refined product ever ours - we simply refine it for those nearby countries (under contract). 

 

JS

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Permalink Reply by Jack Straw on May 20, 2012 at 5:05am

RE: "The oil companies have been making fortunes for many years"

Another false statement. The O&G industry is highly cyclical; going from boom to bust to boom again.

The oil companies  ROCE (return on capital employed) is in the middle of the pack for U.S. companies; no where near that of Apple (computer), Nike (shoes), etc.

If the business is so profitable, why are three refineries in the Chesapeake Bay area being closed or being sold by oil companies?

RE: "time they support green energy efforts"

They have and they do. Just like you and I do, through our taxes - so do they, through their taxes.

Additionally, the oil companies do invest in green energy technologies.

The important fact is that they invest in the technologies that have a chance of ultimately being profitable; if it will not be profitable, it will not be practical. Oil companies are not in the business of throwing money down the rat hole; as our governments does for us.

They are researching bio-diesel - algae to oil technology.

Several oil companies have subsidiaries that provide contract consultation to smaller companies on how to be more energy efficient.

I suggest that you go to the corporate websites of the major US oil companies and you will be able to directly read what they have to say about their green energy efforts.

RE: "How has the US been benefitting from all of the E&P? "

The US is benefitting in many ways.

The rapid proliferation of unconventional production of oil and gas has:

produced many jobs; directly in the industry and indirectly - and these tend to be high paying jobs (as opposed to minimum wage service industry jobs),

cheap, clean, green natural gas has directly benefitted consumers with lower heating and electricity bills,

cheap, clean, green natural gas and NGLs and new found oil are displacing foreign imported oil - improving America's balance of payments,

cheap, clean, green natural gas and NGLs have resulted in the start of a resurgance in U.S. industry (as a result of a new found plentiful supply of cheap feedstock),

cheap, clean, green natural gas is displacing coal as a fuel for producing electricity; dirty old coal plants are being shut down, coal that was once burnt in dirty US smokestacks is now being exported (improving both the air we breathe and our balance of payments),

new tax revenues are flowing into the economy,

I could go on (and on), but I think that you can understand that the benefits are many.

 

RE: "Cushing OK, is awash in oil"

Congratulations, you have finally stated something which contains a small grain of truth.

Due to historical reasons and events of the past five years, there is excess oil "stranded" in Cushing.

This excess oil in the mid-continent has resulted in the people of that area enjoying cheaper gasoline.

As all roads lead to Rome; many pipelines lead to Cushing.

With the oil now coming out of the Bakken of North Dakota and the Eagle Ford of West Texas going into Cushing  - there is surplus oil and refined product at Cushing.

This will soon change.

New pipelines designed to ship oil out  of Cushing and to under utilized Gulf Coast refineries are under construction and nearing completion (the southern leg of the Keystone pipeline is one example).

Also, they are reversing the direction of flow of several existing pipelines, in order that they now move oil out of Cushing (rather than into Cushing); the Seaway pipeline is an example that is currently starting up - filling (as I type) with oil destined for the Gulf Coast refineries.

The solution to the problem of excess oil at Cushing could have (and would have) been solved much earlier were it not for the foot-dragging of Government agencies and resistance from the pseudo-environmentalists.

If you would like to know where the problems lie, I would suggest that you look in a mirror.

People (and Governments) make bad decisions (and say stupid things) when they are ignorant of the facts.

 

All IMHO,

                 JS

 

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Permalink Reply by time will tell on May 20, 2012 at 3:59pm

now that's what I call  GOING TO THE WOODSHED  !!!

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Permalink Reply by HB on May 21, 2012 at 5:10pm

"Mega-dittos", as they say!

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