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Gasoline Prices.

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Posted by Anonymous on Monday, March 21, 2005 5:08 AM
LRSMITH - economy will not overcome physics. If you can pump X of oil then no matter how much you try - you will not get X+1. Also note that getting oil out slowly gets more and more expensive - thus will drive up the price.

And even if the price of oil was infinitely high - there is some oil that will never get extracted.

ATM most of oil producers are operating at capacity.
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Posted by Anonymous on Sunday, March 20, 2005 11:27 PM
The reason gasoline prices go up is because of the “law of supply and demand.” The speculators in the commodities markets become nervous when they see refining problems or if OPEC slows production.

The last refinery in the United States was built in 1976-77. To increase the supply of gasoline in the United States it would be beneficial to build one or two more refineries in the United States. The most immediate goal would be to increase the capacity of the current refineries.

The most immediate concerns for building new refineries though are the environmental, regulatory, financial incentives, and community acceptance of you can (or can not) build it in my backyard. It is easy to see why companies are reluctant to build new refineries. Of course some oil companies will say we can still get by with what they now have.

The good old supply and demand and the market economy drive the price of gasoline no matter how much raw oil lies beneath the surface of the earth. Have one refinery develop a major problem and the commodities markets for gasoline will drive the price of gasoline up. All of this will happen even though OPEC produces the same amount or more oil as the previous month.

Go to a local discount store and checkout the cost of a quart of motor oil. Remember what a quart cost in January.

As each week and month pass with the type of gasoline prices we have now, the whole economy will be affected. It will be easy for you and everyone to figure out.
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Posted by spbed on Sunday, March 20, 2005 10:09 AM
I keep a log & exactly one month ago I paid $199.9 for 87 octane. Today $217.9 a 8% increase in just one month. Oil again hit a new hi so unless there is a very fast downward movement I guess we should at least expect another 8% in the next month sorry to say.

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Posted by spbed on Sunday, March 20, 2005 8:09 AM
Well my theroy is if we can land man on the moon & return them safely to the earth then we can do anything. As for having a arm over OPEC I would suspect if we do we would have used it already. For sure over Russia we have no control. Just think all this is greatly profiting our former enemy Russia & possible enemies the Shieks of the world. Quite depressing outlook to my way of thinking. [:(][:(][V]



Originally posted by Modelcar
[

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Posted by Modelcar on Sunday, March 20, 2005 8:00 AM
...Yes, I understand they can lower production, etc.....but overall haven't we in a non subtle way stired up the thinking of forms of government in that region over in the oil producing areas......so possibly that could occur in providing enough oil for us and the free world at a decent price....and so on.
Yes, we have "coal to burn" so to speak....I come from coal country and I wi***echnology would get to work and find better ways for us to use more of it in this country to produce electricity, etc....I'm sure it can be done.

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Posted by spbed on Sunday, March 20, 2005 7:25 AM
No matter what we do out side of becoming self sufficent OPEC/Russia can adjust to just by lowering production if we lower our consumption. Most Americans are unaware that Russia is a extremely large of producer also. I think after Saudi Arabia they have the largest proven reserves in the world. No matter what the EPA people want we have to produce more oil & coal. That is why at this time it may be a good times for the RRs to again at electrifing. Over the years besides assiting us towards becoming self sufficent they may get a wonderful ROI in the years to come for the investment now. [:o)][:o)]



QUOTE: Originally posted by Modelcar

....It boggles my mind that we don't have some influence on OPEC...The free world being the largest customers....to at least to convince them to pump to capacity....and stabilize the prices as much as possible.

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Posted by spbed on Sunday, March 20, 2005 7:18 AM
I just filled up in Palm Beach County FL & paid $2.18 for 87 octane

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Posted by Anonymous on Sunday, March 20, 2005 5:53 AM
QUOTE: Originally posted by Modelcar

....It boggles my mind that we don't have some influence on OPEC...The free world being the largest customers....to at least to convince them to pump to capacity....and stabilize the prices as much as possible.


What's OPEC's business in doing so?
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Posted by Modelcar on Saturday, March 19, 2005 8:42 PM
....It boggles my mind that we don't have some influence on OPEC...The free world being the largest customers....to at least to convince them to pump to capacity....and stabilize the prices as much as possible.

Quentin

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Posted by Anonymous on Saturday, March 19, 2005 6:30 PM
i just bought a bicycle to ride to work . i save money and am healthier because of it ! 2.24 gal north fla. consumer prices going up too cause shipping prices up cause of higher oil prices in china also. somethings going to break !! God help us !!!
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Posted by spbed on Saturday, March 19, 2005 7:27 AM
CNN yesterday showed Malibu CA @ $3.15 a gal for 87 & oil closed over $56.00 per BRL on the futures market.

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Posted by Hugh Jampton on Friday, March 18, 2005 8:52 PM
Sure Smart Cars may get a hundred miles to the gallon (& if the fan belt breaks you can use a rubber band) but anyone who is taller than 6' or bigger that 200 lbs. just isn't going to be able to get in one.
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Posted by jeaton on Friday, March 18, 2005 8:25 PM
Vic

DC's Belvidere, IL plant is going into major retooling, with no public announcement of the models to be built there. SMART CAR???

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Posted by Anonymous on Friday, March 18, 2005 7:29 PM
10 trillion barrels on Alaska?

That is enough oil to keep the world going for 1400 years...

10 billion is more probable - that is about 1.4 years...

BTW proven world reserves are 1.2 trillion barrels. Annual consumption is 7 billion a year.
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Posted by spbed on Friday, March 18, 2005 1:48 PM
Yes that maybe true but the ROI say after it is completed will save them many $$$$$ if we do not become self sufficent. [8D]


QUOTE: Originally posted by 440cuin

It would probably take more than 8 years to pay for the electrificayion of a main line. Railroads need a longer term plan wich is partly why they don't electrify... only partly though.

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Posted by TH&B on Friday, March 18, 2005 1:44 PM
It would probably take more than 8 years to pay for the electrificayion of a main line. Railroads need a longer term plan wich is partly why they don't electrify... only partly though.
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Posted by spbed on Friday, March 18, 2005 8:21 AM
Well I am on your side. I mentioned your idea a bit ago but nobody picked up on it. We really have to look at all alternatives to at least make OPEC/Russia believe we will become self sufficent. Once they have that belief you will see prices of a barrel go downhill faster then a speeding bullet. [:(]


QUOTE: Originally posted by passengerfan

With gasoline and diesel prices soaring across the country might this not be a good time for the railroads to revisit electrification of the heavy traffic lines. Especially lines like the Santa Fe main between Chicgo and California the UP route across the country and even the Sunset route. If the government would subsidize electrification the railroads in turn would operate Amtrak. Just the fuel savings alone would go a long way in lowering oil prices until such time as the Alaska reserves come online in eight years.

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Posted by passengerfan on Friday, March 18, 2005 8:14 AM
With gasoline and diesel prices soaring across the country might this not be a good time for the railroads to revisit electrification of the heavy traffic lines. Especially lines like the Santa Fe main between Chicgo and California the UP route across the country and even the Sunset route. If the government would subsidize electrification the railroads in turn would operate Amtrak. Just the fuel savings alone would go a long way in lowering oil prices until such time as the Alaska reserves come online in eight years.
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Posted by vsmith on Thursday, March 17, 2005 3:18 PM
FYI just in cause anyone out there is saying "whatha hell is a Smart Car?"

www.smart.com

scroll thru the country list till you come to United States then enter...[8D]

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Posted by vsmith on Thursday, March 17, 2005 2:56 PM
Hmmm. I trade in my truck for a Smart Car then go to the Auction and pick up an older Toyota Pickup for about $2K, keep the insurance on it at a basic level. hmmm

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Posted by Modelcar on Thursday, March 17, 2005 2:28 PM
...Yes, by the traveling season the powers to be will have it up at least to $2.50 here in the mid west and out east....Heard of the higher crude prices last evening on the news and they commented of taking several weeks to translate into higher gasoline prices....and I thought....You bet..!! So as I mentioned above, right away this morning bingo...the new higher price...just 12 hours later. Figures.

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Posted by oltmannd on Thursday, March 17, 2005 2:25 PM
CAFE is a very inefficient way of getting people to increase their transportation efficiency. Higher fuel prices seem to make it happen every time!

-Don (Random stuff, mostly about trains - what else? http://blerfblog.blogspot.com/

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Posted by underworld on Thursday, March 17, 2005 2:24 PM
Buy a diesel and run on vegetable oil or biodiesel.....diesel fuel made from vegetable stocks instead of petroleum. www.veggievan.org

underworld

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Posted by spbed on Thursday, March 17, 2005 2:22 PM
For 87 octane in the peoples republic of lower SE Florida it is between $2.10 & $2.20. Sorry to hear of the $2.23[:(]


QUOTE: Originally posted by Modelcar

....Gas prices went from $2.11 to $2.23 here in Muncie today at some locations.

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Posted by Modelcar on Thursday, March 17, 2005 2:19 PM
....Gas prices went from $2.11 to $2.23 here in Muncie today at some locations.

Quentin

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Posted by spbed on Thursday, March 17, 2005 12:30 PM
Yes my son bought a Toyota hy-bred in December & they expect to deliver his car in June. But this time OPEC/Russia are smarter then will just pump less to compensate for the savings in fuel we acheive. The only hope to solve this problem is self sufficency [:(]

QUOTE: Originally posted by vsmith

All this talk about high gas prices and as anyone in our government even once made a comment about raising gas milage requirements on autos and trucks? of course not...but i suspect my local Scion dealer is going to get VERY busy in the next year. The economic Darwinism states that as prices increase people will naturally look for more economical alternatives. Look for more new small cars and hybrids hitting the markets in the near future, and just like the 70's Detroit will still not know how to divorce itself from giant gas-guzzling pigmobiles and the Japanese and European imports will hurt them once again.

PS they cant keep the Scions or the Hybrids on the lots out here, they are sold before the boats even reach shore...

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Posted by vsmith on Thursday, March 17, 2005 11:51 AM
All this talk about high gas prices and as anyone in our government even once made a comment about raising gas milage requirements on autos and trucks? of course not...but i suspect my local Scion dealer is going to get VERY busy in the next year. The economic Darwinism states that as prices increase people will naturally look for more economical alternatives. Look for more new small cars and hybrids hitting the markets in the near future, and just like the 70's Detroit will still not know how to divorce itself from giant gas-guzzling pigmobiles and the Japanese and European imports will hurt them once again.

PS they cant keep the Scions or the Hybrids on the lots out here, they are sold before the boats even reach shore...

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Posted by oltmannd on Thursday, March 17, 2005 11:31 AM
ANWR is just a drop in the bucket. Big deal. I don't really think it makes much difference either way whether they drill there or not.

We always are looking for the "silver bullet" (not a Coors lite -- well maybe it IS a Coors lite...). The arguments are always formed around either/or choices, such as "we should find more oil" versus "we should conserve energy". These are false choices. They are not mutually exclusive. We need to do everything, at the same time. We need to:

Find more oil
Conserve what we have
Use what we use more efficiently
Develop all sources of energy
Develop new technology
Rearrange our society to accomodate all of the above.

It might mean that gov't should:

Tax oil or oil consumption to reduce consumption
Fund R&D for new technology
Provide incentives for energy efficiency
Facilitate new nuclear power plants
Provide incentives for low energy consumption livestyles
Provide incentive for developing renewable/solar/wind energy sources
Provide R&D funding for developing clean liquid fuels from non-crude oil sources.

I have no idea what the cost/benefit trade-off for any of these would be. That's why we have a Dept of Energy - to figure this stuff out for us. We can pass judgement and offer opinions on whether various solutions fit our values, such as whether the environmental risk is worth the economic benefit of drilling in ANWR. But, to think that drilling in ANWR is the magic silver bullet is silly. (you know most of that oil will go to Japan and China, anyway, so we can import more from the middle east - it's cheaper that way for everyone)

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Posted by spbed on Thursday, March 17, 2005 8:38 AM
That is why we have to become self sufficent. Once we acheive that we also reverse the trade deficit as well which is win win for us. You know at the current prices it may again be worthwhile for wildcatters to restart up operations. [;)]

QUOTE: Originally posted by Modelcar

....And tax revenues will go with it and wow...the deficit will climb at a faster pace yet...!

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Posted by spbed on Thursday, March 17, 2005 8:33 AM
If we save oil the producing nations will only reduce their production to balance our reduction. Self sufficeny is the only answer since we may purchase 1/4 or more of the ALL the oil produced in the world. Sorry to say unless GWB thinks real quickly outside the box $3.00 per gal for 87 octane is right around the corner. [:(]


QUOTE: Originally posted by Modelcar

....Something better start working...or someone with clout {our government}, better start doing something as if this scenario continues, we're going to see our economy go into the dumper...!

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