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| Economy | ||
| Mining Engineers Led by Communications Studies Majors | ||
| 2014-12-02 | ||
| by Richard Fernandez [PJMedia] Despite the huge sums of Russian money spent to discourage US domestic hydrocarbon production production, there's a glut on the oil market that is demolishing the ruble. The New York Times reports that the Kremlin bankrolled protests against fracking in Europe. Green was really Red. Doesn't it always? ...But the Red/Green campaign availed not. Daniel Yergin writes in the Wall Street Journal that Putin is being crushed by politically incorrect America. "The decision by members of the Organization of the Petroleum Exporting Countries on Thursday not to cut production reflects a profound shift in the world oil market. The demand for oil -- by China and other emerging economies -- is no longer the dominant factor. Instead, the surge in U.S. oil production, bolstered by additional new supply from Canada, is decisive. This surge is on a scale that most oil exporters had not anticipated. The turmoil in prices, with spasmodic plunges over the past few days, will likely continue." Technological advances mean North American oil might be viable right down to $50 a barrel. Which, IMO, means the end of Islam as a factor in World Politics
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| Posted by:g(r)omgoru |
| #10 Fracking permits down about 40 % as reported in Reuters today; appears to be only a pause to see what is going on and not a panic flight reaction. |
| Posted by: USN, Ret. 2014-12-02 22:31 |
| #9 There are a couple of hundred stripper wells in the Denver/Julesburg basin, north of Denver. Each produces a few barrels a day, and are forced to sit idle at least a few days each month. They COULD be re-drilled, but not to any great advantage, and it would take decades to recover the cost. There are several very deep coal seams all across the Great Plains (and elsewhere) that are too deep to mine, but which could be tapped for natural gas. There are other places all across the US that COULD be tapped economically, but which the Greens, with the help of the government, keep closed off. That won't work forever - eventually those areas will be opened. In the meantime, we need to invest in nuclear energy and infrastructure hardening. |
| Posted by: Old Patriot 2014-12-02 16:07 |
| #8 I'd say tax exempt status for local ptoduction before tariffs on goreign oil. And everyone filling their gas tank in the US should be required to answer "Fraking - Love it or Ban it" before pumping anything. If you answer "ban" then you pay an extra $1/gal. |
| Posted by: Omung Snore4606 2014-12-02 15:35 |
| #7 But KBK, those tariff revenues would just be diverted to politically-connected parasites - like Solyndra, etc. All sounds good, but will never actually DO what is said. |
| Posted by: Glenmore 2014-12-02 09:49 |
#6 ... once abandoned, cannot be redrilled. Are they always plugged when abandoned there? We have an inventory of really old wells that haven't been operated in decades that we work over occasionally as time permits. |
| Posted by: Snusing the Obscure2079 2014-12-02 09:48 |
| #5 What is needed is a tariff to keep imported oil above $65. Proceeds to fund research into *next generation* solar cells and nuclear energy, and then to fund pilot installations. |
| Posted by: KBK 2014-12-02 09:23 |
| #4 Oil was $10 a barrel a few decades back and Islam was a factor in World Politics, so don't get your hopes up... That was before (relative) inflation. That 10 dollars is about 100 dollars now. And the population of Saudia etc. was a third of that it is now. |
| Posted by: g(r)omgoru 2014-12-02 08:38 |
| #3 Oil was $10 a barrel a few decades back and Islam was a factor in World Politics, so don't get your hopes up... That was before (relative) inflation. That 10 dollars is about 100 dollars now. |
| Posted by: Procopius2k 2014-12-02 08:35 |
| #2 Old Spook, that was the logic applied to exempting 'stripper' wells from the Nixon era price controls - won't be operated for long at a loss and once abandoned, cannot be redrilled. Each one may only pump a barrel or two a day, but it added up to a million barrels a day - and many of those wells are STILL pumping that barrel or so a day. |
| Posted by: Glenmore 2014-12-02 07:55 |
| #1 And if its below 50? This is one instance where a temporary subsidy would be in line, to keep US production going - some of the low-end wells cannot be brought back once they are shut down. |
| Posted by: OldSpook 2014-12-02 06:34 |