quote:

Originally posted by LyonsGreenie:
Here is what I do not understand. Do people really think the oil companies are eager to drill, when new wells will put more oil on the market, therefore cutting their own profits? Or are people thinking the oil company execs are willing to hurt their profits out of the goodness of their hearts?

To the contrary LyonsGreenie, it seems you are starting to understand the issue just fine.

The next step is to grasp those things that will reduce our oil consumption. Things like wind energy (I'm thinking Martha's Vineyard here), use commercial travel instead of private jets (applies to many, or maybe that should be "too many"), energy efficiency measures at home, support nuclear power and realize the need for safe storage of waste generated, etc.

Even geothermal is a great energy saving concept. How do you stand on geothermal? Did you support or condemn your local school district in the investment they made in geothermal at the new Jefferson and Eagle Heights schools? The record shows I was an early and avid supporter of geothermal for those schools, but I am still the evil conservative Republican! Gee, and I even drive an American auto. I'm bad.

Aviator – July 20th page 3 of this thread. “Drill, drill now”

I’ll repeat my question since you avoided a straight answer. “Do people really think the oil companies are eager to drill, when new wells will put more oil on the market, therefore cutting their own profits? Or are people thinking the oil company execs are willing to hurt their profits out of the goodness of their hearts?”

quote:

Originally posted by LyonsGreenie:
Aviator – July 20th page 3 of this thread. “Drill, drill now”

I’ll repeat my question since you avoided a straight answer. “Do people really think the oil companies are eager to drill, when new wells will put more oil on the market, therefore cutting their own profits? Or are people thinking the oil company execs are willing to hurt their profits out of the goodness of their hearts?”

Do people really think this? Of course they do. The oil speculators hinge on every rumor, or threat, or burp, or terror attack, or anything else that may effect supply and consumption. The perception of reduced need will drive prices down to the point that the alternative sources will not be cost effective.

But that does NOT address the problem. Reduce consumption, don't buy their product. Invest in alternatives sources such as geothermal (like the evil local conservative advocated). And even though you didn't ask, only my closest relatives and friends know of the number of times I have refused to buy a product because it was made in China. But I'm so evil.

quote:

Originally posted by Aviator:

quote:

Originally posted by LyonsGreenie:
Aviator – July 20th page 3 of this thread. “Drill, drill now”

I’ll repeat my question since you avoided a straight answer. “Do people really think the oil companies are eager to drill, when new wells will put more oil on the market, therefore cutting their own profits? Or are people thinking the oil company execs are willing to hurt their profits out of the goodness of their hearts?”

Do people really think this? Of course they do. The oil speculators hinge on every rumor, or threat, or burp, or terror attack, or anything else that may effect supply and consumption. The perception of reduced need will drive prices down to the point that the alternative sources will not be cost effective.

But that does NOT address the problem. Reduce consumption, don't buy their product. Invest in alternatives sources such as geothermal (like the evil local conservative advocated). And even though you didn't ask, only my closest relatives and friends know of the number of times I have refused to buy a product because it was made in China. But I'm so evil.

Let me ask it again, in simpler terms. Do you think the "oil companies" have an interest in hurting their profits? Will the oil companies willingly drill their way out of profits?

I'm just an old country boy so I may may not understand how this works ,but
1. Oil companies are making 9 cents on the dollar when they buy most of the oil they process
2. If they drill for oil, their cost for the oil is the drilling rights and cost of the machinery
3.Wouldn't they make a lot more money if they drilled for more oil?

quote:

Originally posted by LyonsGreenie:
Let me ask it again, in simpler terms. Do you think the "oil companies" have an interest in hurting their profits? Will the oil companies willingly drill their way out of profits?

Let me respond again, in simpler terms.

NO! They have no reason to lower their tax liabilities of over $35-billion per quarter when they can get more oil at lower prices, and make more money, and pay even more taxes yet.

Will they drill, drill, drill in order to feed our continuing appetite, at whatever price they can get us to buy?

YES!

Please re-read. Cut consumption, make them drink their oil. Either buy it from volatile areas of the world, or find areas at home, to make OPEC drink their oil. Or then again, drill for now, and build wind, solar, nuclear, geothermal, etc.

So in very simple terms now, what is your answer to lower gas costs tomorrow, next month, next year, and for our children?

quote:

Originally posted by Aviator:

quote:

Originally posted by LyonsGreenie:
Let me ask it again, in simpler terms. Do you think the "oil companies" have an interest in hurting their profits? Will the oil companies willingly drill their way out of profits?

Let me respond again, in simpler terms.

NO! They have no reason to lower their tax liabilities of over $35-billion per quarter when they can get more oil at lower prices, and make more money, and pay even more taxes yet.

Will they drill, drill, drill in order to feed our continuing appetite, at whatever price they can get us to buy?

YES!

Please re-read. Cut consumption, make them drink their oil. Either buy it from volatile areas of the world, or find areas at home, to make OPEC drink their oil. Or then again, drill for now, and build wind, solar, nuclear, geothermal, etc.

So in very simple terms now, what is your answer to lower gas costs tomorrow, next month, next year, and for our children?

I didn't think I could get an honest 'spin free' answer. Have a nice weekend.

quote:

Originally posted by Poppy:
I'm just an old country boy so I may may not understand how this works ,but
1. Oil companies are making 9 cents on the dollar when they buy most of the oil they process
2. If they drill for oil, their cost for the oil is the drilling rights and cost of the machinery
3.Wouldn't they make a lot more money if they drilled for more oil?

The reports on Chevron's results specifically stated that the reason their refining operations lost money last quarter was because they had to buy oil. The high price of oil they bought is what eliminated the refining division profits.

quote:

Originally posted by King Kong:

The reports on Chevron's results specifically stated that the reason their refining operations lost money last quarter was because they had to buy oil. The high price of oil they bought is what eliminated the refining division profits.

From the story "Like its peers, Chevron doesn't produce enough oil on its own to feed its refineries, forcing it to buy some on the open market."

Why don't they? They have millions of acres they are not using now, so why would giving them millions more change anything?

quote:

Originally posted by LyonsGreenie:
I didn't think I could get an honest 'spin free' answer. Have a nice weekend.

I didn't expect a response on your opinions of what it will take to lower prices, either. Even when I specifically asked for your opinions on what it will take to lower prices. I guess neither of us were disappointed.

Let's try another way and take them one at a time.

Do you support development of more wind energy to replace our dependance on foreign oil?

Yes or No

Do you support development of more solar energy to replace our dependance on foreign oil?

Yes or No

Do you support development of more geothermal energy to replace our dependance on foreign oil?

Yes or No

Do you support development of more nuclear energy to replace our dependance on foreign oil?

Yes or No

What other alternative sources of energy do you support development?

What methods of reducing consumption can we take today in order to drive down our dependance on foreign oil tomorrow and beyond?

Should the government take over the private markets for buying oil on the international trade markets? Can government do this cheaper and better?

This message has been edited. Last edited by: Aviator,

quote:

Originally posted by LyonsGreenie:

quote:

Originally posted by King Kong:

The reports on Chevron's results specifically stated that the reason their refining operations lost money last quarter was because they had to buy oil. The high price of oil they bought is what eliminated the refining division profits.

From the story "Like its peers, Chevron doesn't produce enough oil on its own to feed its refineries, forcing it to buy some on the open market."

Why don't they? They have millions of acres they are not using now, so why would giving them millions more change anything?

From CNNMoney:
"the oil industry says it pays millions of dollars for these leases, and that it would not make sense to purposely leave the areas untapped.

Rather, years of exploration is required before drilling can even begin. In some cases, no oil is found on leases they hold. In others, drilling the wells and building the pipelines takes years. It is especially hard now that a worldwide boom in oil exploration has pushed up the prices - and timelines - for skilled workers and specialized equipment.

"No one is sitting on leases these days," said Rayola Dougher, senior economic advisor for the American Petroleum Institute. "Those making those assertions don't understand the bidding and leasing process."

Gheit agrees that it's unlikely that hoarding is going on.

With prices at $135 dollars a barrel, everyone is trying to pump as much as they can, he said. But fearing oil prices will eventually fall, the industry is leery about making too many investments in the fields it has - many of which are in deepwater areas that can be pricey to develop."

quote:

Originally posted by King Kong:
NEW YORK (CNNMoney.com) -- Exxon Mobil once again reported the largest quarterly profit in U.S. history Thursday, posting net income of $11.68 billion on revenue of $138 billion in the second quarter.

A few things to remember and put this in perspective:
1) The profit is about 8.5% - which is not all that outlandish for a major inductrial firm.
2) They paid more in taxes ($32 billion) than they made in profit.
3) Of their profit, $10 billion was from selling oil on the world market, but only $1.6 billion was from selling fuel.

Let’s not confuse these numbers as exxon is using a Total Tax Contribution framework here.
That TTC reported by Exxon reflects sales tax collected as well, among many other fees.
If the city of Clinton imposes a dollar surcharge on every can of beer sold and tavern X sells 100000 cans of beer, they would add $100000 to the TTC number.
Tavern X might tell you they are paying $100000, but it isn’t cutting coming out of their profit, they are simply collecting it from the end user.

quote:

Originally posted by Local Hero:

quote:

Originally posted by King Kong:
NEW YORK (CNNMoney.com) -- Exxon Mobil once again reported the largest quarterly profit in U.S. history Thursday, posting net income of $11.68 billion on revenue of $138 billion in the second quarter.

A few things to remember and put this in perspective:
1) The profit is about 8.5% - which is not all that outlandish for a major inductrial firm.
2) They paid more in taxes ($32 billion) than they made in profit.
3) Of their profit, $10 billion was from selling oil on the world market, but only $1.6 billion was from selling fuel.

Let’s not confuse these numbers as exxon is using a Total Tax Contribution framework here.
That TTC reported by Exxon reflects sales tax collected as well, among many other fees.
If the city of Clinton imposes a dollar surcharge on every can of beer sold and tavern X sells 100000 cans of beer, they would add $100000 to the TTC number.
Tavern X might tell you they are paying $100000, but it isn’t cutting coming out of their profit, they are simply collecting it from the end user.

If that $100,000 was reflected in their revenue numbers (total sales), then the distinction is irrelevant. In any case, ALL tax is collected from the customers, it is just whether or not it is called a tax when it is collected or as an increase in the cost of the product.

wow...glad to see everyone weighing in. And Aviator, you aren`t evil.Just sometimes misinformed.Who here isn`t?
Hard to defend those poor oil companies ,awash in yet another consecutive quarterly record profit session.Hard,equally,to defend the fact that they have millions- millions- of territory that is under lease,or owned, that is untouched by them. Hard to believe that the Oil Men in the White House aren`t complicit in the escalating energy costs,and that they weren`t eying Iraq/Iran with one big vision. To lead a foreign policy,as determined by Big Energy. Which is why the guys over at GAO sued Cheney to get the minutes and attendance of those in the secret energy meetings,you know,with Enron`s Ken Lay, mebbe even an Abramoff here or there.
Hard to believe that anyone would vote for cracker McCain,who wants us to have 4 more years just like the past 8.
Are you better off now than you were 8 yrs ago?
or how about 4 yrs ago?
and are we still after Osama Bin Laden, lol?

quote:

Originally posted by cleve:
Are you better off now than you were 8 yrs ago? Yes, I am
or how about 4 yrs ago? Yes, I am
and are we still after Osama Bin Laden, lol?
it is a problem - catch him and he is a martyr, don't catch him and we look inept - which is worse?