It's 100% Biden's Inflation

ExpressLane said:
You do realize the US is the world's largest producer of oil and gas.
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But we only control 2% of the world's global oil reserves, which is why NOTHING WE DO WILL HAVE ANYTHING MORE THAN A NOMINAL AND TEMPORARY IMPACT ON THE PRICE.

Which is what I've been saying for weeks now, and it just doesn't seem like you get it.

We do not control the oil market. OPEC DOES.

When OPEC increased production in 2015, it lowered the price per barrel by half and killed 100 oil companies, requiring the government to bail out TX, ND, and OK.

So if OPEC increases production so much that it drops the price per barrel down to $10, what happens to the domestic oil industry in the US?


But yes OPEC has the capacity to effect the price of oil.
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OPEC is the ONLY entity with the capacity to have a permanent, large impact on the price of oil.

So what is stopping OPEC from killing the US oil industry rather than have it be "independent"?

Nothing. Quite literally NOTHING.

OPEC could turn the spigot TONIGHT and kill your business by 9:01AM tomorrow morning.


The US produces about 150% of the oil and gas everyday than Saudi Arabia does.
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BUT. WE. DO. NOT. HAVE. THE. RESERVES.

Which is why we have no control over the price of oil.


If we really ramped up oil production the price of oil would go down.
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Yes, that's one possibility.

The other, more likely possibility is that OPEC sees that as a threat to their market control and THEY ramp up oil production to drop the price even lower.

So what happens to US oil companies if they choose to do that?
 
LV426 said:
OK, now you get it!

Welcome to the conversation!

So OK, if OPEC did that to bankrupt shale producers, wouldn't they do the same thing to non-shale US oil companies in order to protect their commodity?
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Because if they lower the price they suffer hince the reason they won't even answer Biden's phone calls. But when oil prices get to ~ 50 shale oil production is profitable.

Which means that NOTHING WE DO will have any meaningful or long-lasting impact on the price per barrel because OPEC can just flip a switch and bankrupt everyone here overnight.
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OPEC is scared of Iran. They a pissed with Biden administration cozying up to Iran. In fact Iranian backed rebels bomb a oil facility in Iran a week or so ago. If WE ramp up production it can negatively effect OPEC

So when you screech stupidly like a barnyard animal about Biden and permits and all this horseshit, that's just a fucking distraction because it's all under OPEC's control, ultimately. Biden anti oil policies are reducing the US energy production. You are the one who is lying to JPP.

Which means you're fucking lying on JPP about it being Biden's fault or problem.
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If we throttled up production like we did during the Trump administration we have the reserves and capacity to produce 100% of our energy needs. We wouldn't need need OPEC oil.
 
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LV426 said:
OK, now you get it!

Welcome to the conversation!

So OK, if OPEC did that to bankrupt shale producers, wouldn't they do the same thing to non-shale US oil companies in order to protect their commodity?

Which means that NOTHING WE DO will have any meaningful or long-lasting impact on the price per barrel because OPEC can just flip a switch and bankrupt everyone here overnight.

So when you screech stupidly like a barnyard animal about Biden and permits and all this horseshit, that's just a fucking distraction because it's all under OPEC's control, ultimately.

Which means you're fucking lying on JPP about it being Biden's fault or problem.
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first off OPEC is not going to slit it's own throat . Brent was $120 yesterday - consumption is going up
and Russian oil is banned in many countries

OPEC cant change that ( and Biden's pleading wont do it either)
we are down 2 million Bbl under Biden compared to Trump
Biden needs to get out of the way and allow ANWAR and National Petroleum Reserve in Alaska.

we need more federal permits - Biden said no to new ones
 
LV426 said:
Well, when the price per barrel dropped by half in 2015,
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Because shale oil greatly increased production and we had an excess.
Doubt that happens again, and is certainly not a reason for any policy today to curb production
 
LV426 said:
OK, but you also realize that dramatically increased supply by OPEC can bankrupt ALL OF THEM, right?

So let's say OPEC doesn't like all this talk about US "energy independence" and they want to keep us on the tit, so they increase production so much that it drives the price per barrel down to just $10.

So what happens to the "9,000 independent oil producers in the US" if OPEC ramps up production and drives the price per barrel down to $10?
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Actually, there was a moment when they would pay you to come and get the oil. Great time to own a tanker.
 
anatta said:
first off OPEC is not going to slit it's own throat . Brent was $120 yesterday - consumption is going up
and Russian oil is banned in many countries

OPEC cant change that ( and Biden's pleading wont do it either)
we are down 2 million Bbl under Biden compared to Trump
Biden needs to get out of the way and allow ANWAR and National Petroleum Reserve in Alaska.

we need more federal permits - Biden said no to new ones
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Yep. I'm starting to think LV426 is just too stupid to understand that.
 
ExpressLane said:
If we throttled up production like we did during the Trump administration we have the reserves and capacity to produce 100% of our energy needs. We wouldn't need need OPEC oil.
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You mean Obama.

And this is a lie. We don't keep 'our' oil in this nation.
 
ExpressLane said:
Yep. I'm starting to think LV426 is just too stupid to understand that.
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it has no understanding of economics. It's consistently wrong.
Progressives are morons -they want "clean energy" - but LNG already got our carbon emissions way down

Then these idiots join Paris where China and India get a free ride
 
anatta said:
it has no understanding of economics. It's consistently wrong.
Progressives are morons -they want "clean energy" - but LNG already got our carbon emissions way down

Then these idiots join Paris where China and India get a free ride
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Yeah China's carbon emissions is going up and the US carbon emissions going up.
 
ExpressLane said:
Because if they lower the price they suffer
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But do they? They control 80% of the reserves, they control the market...so they wouldn't suffer because they are the ones in control.


But when oil prices get to ~ 50 shale oil production is profitable.
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So it's not in OPEC's interests to ever have that, then...it's in OPEC's interests to bottom out the market in order to flush out the competition.


OPEC is scared of Iran. They a pissed with Biden administration cozying up to Iran. In fact Iranian backed rebels bomb a oil facility in Iran a week or so ago. If WE ramp up production it can negatively effect OPEC
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What is it you are not understanding here?

Do you not understand that we ultimately have no control over this?

Do you not understand that OPEC can very easily respond overnight to market changes BECAUSE IT CONTROLS IT?

Do you not understand that any production increases are balanced out by OPEC, and/or challenged by OPEC production increases?

Do you not understand that we do not have any control here?

This is why we've been saying electric cars and solar panels...we do not control any energy market the way OPEC controls oil.

I just...I don't know how many times it needs to be said before it sinks in:

THERE IS NOTHING WE CAN DO HERE THAT WILL HAVE ANYTHING MORE THAN A NOMINAL AND TEMPORARY IMPACT ON THE PRICE OF OIL.
 
https://www.bloomberg.com/news/arti...iden-and-u-s-oil-at-odds-on-domestic-drilling
The Biden administration finds itself in the uncomfortable position of pleading with oil companies to boost crude production, despite its long-term goal of shifting the U.S. away from the fossil fuels that worsen climate change.

“We are on a war footing,” Energy Secretary Jennifer Granholm told oil executives at the CERAWeek by S&P Global conference Wednesday. “We need oil and gas production to rise.”

But it’s not as simple as oil companies turning on a spigot. These businesses make drilling plans based on economic forecasts for at least a year out, when OPEC+ may have boosted output and prices may have long since peaked.

It typically takes five to six months to drill and stimulate production at a Permian Basin well before oil and gas starts flowing, said Artem Abramov, head of shale research at Rystad Energy.

And that’s in the best of times. Right now, inflationary pressures have created headwinds for oil production too. Executives of both ConocoPhillips and Occidental Petroleum Corp. have cited the rising costs of piping, trucks and labor as obstacles to a ramp-up.
 
ExpressLane said:
:laugh: It just means we can produce more than we consume. God you are dumb. I sometimes wonder how people as stupid as you obviously are make it through life.
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No, moron. It means the oil is sold on the world market for the highest profit. Why do you think we import oil?
 
ExpressLane said:
Biden anti oil policies are reducing the US energy production.
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US OIL PRODUCTION DOESN'T FUCKING MATTER BECAUSE OPEC CAN CANCEL IT OUT BY FLIPPING A SPIGOT.

Why is that so fucking hard for you to understand?

ARE YOU RETARDED?

DO YOU HAVE DEMENTIA?

ARE YOU BRAIN DAMAGED?

DO YOU HAVE LONG-HAUL COVID?

WHAT THE FUCK IS THE MATTER WITH YOU?
 
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