Who is still stupid enough to think that domestic drilling will reduce gas prices?
From the US Department of Energy:
"The projections …indicate that access to the Pacific, Atlantic, and eastern Gulf regions would not have a significant impact on domestic crude oil and natural gas production or prices before 2030. Leasing would begin no sooner than 2012, and production would not be expected to start before 2017."
Furthermore:
"Because oil prices are determined on the international market, however, any impact on average wellhead prices is expected to be insignificant. "
And:
"In addition, the average field size in the Pacific and Atlantic regions tends to be smaller than the average in the Gulf of Mexico, implying that a significant portion of the additional resource would not be economically attractive to develop"
Bush lifting the ban on domestic drilling was an election year stunt. Both he and McCain know domestic drilling won’t make a damn bit of difference. Why do people still allow themselves to be manipulated by these clowns?
http://www.eia.doe.gov/oiaf/aeo/otheranalysis/ongr.html
FACT: Oil sourced from ANWAR is not expected to reach or impact the market supply until 2030. Even then, at peak capacity, ANWR is estimated to produce about 750,000 barrels of oil per day. In twenty years, this amount of oil won’t even be enough to keep US oil production flat.
April 12th, 2010 at 10:35 pm
Bush rhetoric on energy strays from the facts
http://news.yahoo.com/s/ap/20080429/ap_on_go_pr_wh/bush_energy_fact_check;_ylt=AkIOzEqGzph5hfPU_ihf0VEPLBIF
THE SPIN:
Bush has long called for opening the Arctic National Wildlife Refuge in Alaska to oil development, and on Tuesday he chastised Congress for repeatedly blocking the proposal.
"If Congress is interested, they can send the right signal by saying we are going to explore for oil and gas in U.S. territories, starting with ANWR," said Bush, adding that opening the Alaska refuge to oil companies "likely will mean lower gas prices."
FACT:
Strongly opposed by environmentalists, most Democrats and a few moderate Republicans, drilling in the Arctic refuge indeed has been blocked, as the president complained.
Energy experts believe ANWR’s likely 11 billion barrels of oil — pumped at just under 1 million barrels a day — would send a signal of increased U.S. interest in domestic energy production. However, in the long run, it likely would not significantly impact oil or gasoline prices. And it likely would have little impact on today’s prices.
In 2005, the Energy Information Administration estimated that it would take about 10 years before oil would flow from ANWR if drilling were approved. By 2025, it said, the additional oil would have only a slight impact on global oil prices and cause a decline in gasoline prices of less than a penny a gallon, using constant 2003 dollars. Oil imports would drop from an expected 68 percent of U.S. demand to 64 percent, the EIA said.
April 12th, 2010 at 10:35 pm
most Americans.
April 12th, 2010 at 10:35 pm
the commodity brokers!
April 12th, 2010 at 10:35 pm
Sadly about 2/3 now want this.
The oil companies won’t even use the land and coastlines they already have, why give them more?
April 12th, 2010 at 10:35 pm
This relates to offshore drilling. You haven’t mentioned ANWR or the Arctic.
By the way, I’m stupid enough to believe it will make a difference.
April 12th, 2010 at 10:35 pm
Me.
more supply = lower prices
don’t buy into that liberal BS.
economics 101
April 12th, 2010 at 10:35 pm
Only imbeciles.
April 12th, 2010 at 10:35 pm
A lot of people who I know who think that are not only unaware of what you just said but are in denial of global warming. We should invest in renewable energy.
April 12th, 2010 at 10:35 pm
You need to review your economics and the opinions of many others beyond the information you cite here. By the way, you do not cite the specific location of this information. The Dept. of Energy has an awful lot of information on their site, and some of it is OPINION from individuals, opinion that may differ greatly from others and from the truth.
April 12th, 2010 at 10:35 pm
Republicans.
April 12th, 2010 at 10:35 pm
What Flavor of Kool Aid are you drinking…… it will be only a few years and it will take decades for a alt fuel to be viable. Hey and the price went down the same day Pres Bush took the Executive order off of off shore drilling … Hmmmm that’s strange.
April 12th, 2010 at 10:35 pm
Is that why the price of crude fell 9 dollars when Bush removed the Presidential sanctions from off-shore drilling. There is a sizable amount of oil to be had out there and we are the ones that need to be getting it. We aren’t going to have any true alternative before that time period is up and we will just be paying more. You do realize that the price of oil is set by "FUTURES SPECULATION" don’t you. It’s speculation on what oil will be in the future. Do you really think OPEC, Russia, and Venezuela really want us to start drilling for our own oil? Prices will start to drop when we start to drill. Simple economics.
April 12th, 2010 at 10:35 pm
You’re right that McCain knows that domestic drilling won’t affect gas prices.
When he called for drilling the rationale was – and still is – energy security. There’s a difference, and you should understand it.
April 12th, 2010 at 10:35 pm
do you think you will have an alternative energy in 2 years? gimme a break. Obama said no to nuclear, no to drilling, and no to sugar cane ethanol. Those 3 are the most common alternative energies in the world (ask France, they have 80% of their electricity coming out of Nuclear).
It might take 10 – 15 years to get reasonably alternative energy at an acceptable cost (right now it’s still way to expensive). Having some oil to sustain the country (unless you are counting on Iran) will buy us time.
What’s Obama’s solution to energy? I want to know…he wants to put tax on oil company right? It won’t solve matters, it will make the prices to go up even more.
April 12th, 2010 at 10:35 pm
Uh me,because it will. #1,forget the ten yr S***,the owner of the biggest drilling company in U.S. said he could have it in a barrel in five.. the other LAME Lib response,it wont help now…WRONG_ OPEC even thinks we are drilling,if we showed them a serious proposal to drill,gas would drop $50 tomorrow. That is a fact. Use your head people unless you like $4.00 gas sorry, I DONT!!!
April 12th, 2010 at 10:35 pm
Me!
But not only that we need to build refineries, nuclear plants, wind farms, strengthen solar technology, natural gas etc. etc.
There is enough oil in America to fuel her and the world for many years to come including off the coast.
You libs just want to try to stay in power! However if drilling legislation is continued blocked. You and your backward policies will be history!
I think Al Gore is a false prophet and a hypocrite!
April 12th, 2010 at 10:35 pm
My answer is;
H Hello’, My name is John Mcgoo, I I mean Mcaain thats it Mccain. And I believe, what day is it? O Yeah, that Drilling for On shore I mean Off water no that’s not it emmm. . .. . . . .
Off Shore drilling, how will they do that? That’s why I’m voting for Obama, they can cross drill into the ANWR reserves. Besides Why aren’t they Using the 79% of the total acrage of off shore shelf they all ready have?
April 12th, 2010 at 10:35 pm
I guess anyone who knows ANYTHING about supply and demand still believes that getting more oil will raise the supply and lower the price of crude…worldwide.
If there were no oil off the coast, why would other countries be drilling there? And you wanna talk about a stunt? How about Pelosi not allowing a vote on whether to drill or not. That’s right. Don’t let the peoples’ representatives vote on what the people want.
Does anyone still wonder why conservatives call Libs fascists?
fascism: a governmental system led by a dictator having complete power, forcibly suppressing opposition and criticism, regimenting all industry, commerce, etc.
April 12th, 2010 at 10:35 pm
I am SMART enough to recognize that simply lifting the exectuive ban on drilling dropped prices. Prices would drop further if Congress would lift the legislative band and drop further still if drilling would start. It’s due to the speculative aspect of the market. Perhaps you aren’t smart enough to realize that. Should I recommend some basic economic books for you?
Your "facts"? Post proof. 2030… I think you made that up.
April 12th, 2010 at 10:35 pm
wow cut and paste crap, Havnt seen that before.
April 12th, 2010 at 10:35 pm
Actually it will. When Bush announced that he removed the executive ban of drilling off shore, the price dropped. What they did not take into considerations was speculators. They are basically people who buy oil today then sell it after the price increases, when they see we will start drilling, they will sell their oil which will drop the price immediately. Now i don’t think we should do anything about speculators, just look at what happened to the onion market when they banned speculation there (no I’m not joking, google it). Drilling along with pursuing alternate energy would reduce demand and increase supply, which will…. lower prices. Even if there was a 20 cent drop in the price of gas, it would help, because the price of almost everything in this nation goes up when oil does.
And i guess 70% of the nation is ’stupid enough’ because that’s how many support drilling off the coast.
April 12th, 2010 at 10:35 pm
The majority of Americans are for Drill Here, Drill Now!
By the way, did you miss the price of gas going down when President Bush signed the bill to allow for drilling?
If Congress would get this bill signed today, you will see an immediate decrease in gas prices.
It’s only people like you that don’t understand that by becoming independent from foreign oil will do everything to help the American people.
Besides, it’s better than waiting to see what the h#ll Obama is going to change his mind on next. He only wish the prices of gas went up just a little more slowly. He will increase the taxes on gas which will raise the price even more.
McCain Ad, Gas Prices, Oil, Taxes
http://www.johnmccain.com/videolanding/celeb.htm
April 12th, 2010 at 10:35 pm
I don’t know about your town, but since they have been talking about it our gas has gone down about 30 cents a gallon, If that is a start then drill away baby.
April 12th, 2010 at 10:35 pm
me. and guess what? even if it didn’t, the package of all the energy sources that the republicans want to develop will provide a whole passel o’ jobs, which is good for our economy.
and tell my why, if the US which used 25% of the current energy available in the world, were able to finally withdraw from the international fossil fuels market, it wouldn’t make a dent?? and if the US has no impact on the international market, then how are we the ‘biggest polluters’ in the global warming.
businesses close with a drop in customers less than that.
you can’t have it both ways.
whoever wrote that is an idiot.
April 12th, 2010 at 10:35 pm
i think you need to learn how to apply makeup before you talk politics and trash peoples opinions on here and make way off claims thats people are 85 when they are 24 and know more than you do, why dont you READ how many people agree that Obama is disaster but your just a dumb little white snob worrying about ugly red lipstick and ugly polka dot dresses, black hair looks like crap with a face that white, oh and by the way Ive obvioulsy been on the internet longer than you since you been a member since TODAY and have so many false opinions already! you look like a clown!
March 30th, 2011 at 2:20 pm
Here are the relationships:
1. US oil is sold at the price of world oil, no matter where it is drilled (adjusting for grade or quality of oil).
2. Cost of gasoline, diesel, heating oil, and jet fuel is directly related to price of world oil.
3. Countries that produce huge quantities of oil (e.g. the USA) have the same price of gasoline at the pump (excluding taxes) as countries which produce no oil (e.g. Germany).
4. The US consumes 20% of the world’s oil and produces 9% of the world’s oil.
5. Increasing US oil production would/will have a trivial effect on world oil production and it is world oil production which determines both the cost of oil and the cost of gasoline at the pump.
6. Any benefit to increasing US oil production, at the level of the consumer of gasoline, diesel, heating oil, and jet fuel will flow both to the USA and to the rest of the world. As China currently consumes more oil than we do and as they are rapidly increasing their consumption, while we are flat, China will benefit more from increased US oil production than we’ll benefit, though the benefit to both of us will be trivial.
- Larry Weisenthal/Huntington Beach, CA