No Spin Ag said:

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DonHenley said:

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So.... if we are drilling for all this crude in the US and have all this Venezuela oil....why is he US still so dependent on Middle East oil? Do we not have enough refineries to make all this crude oil usable? Explain to me like I'm five...

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"Drill baby drill" was the mantra that if ever came true we'd have the cheapest prices of gas ever, yet here we are.

Feel free to use memes or pictures too.

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No we would not ,
OPEC can produce a barrel cheaper.

Drill baby Drill is a childish fantasy based on ignoring the reality that producing a barrel of oil has costs associated with the task.

US oil companies are not in business to lose money which is why they collectively said " No Thank you " to opportunities in VZ.


Domestic O&G break even point is In the 60's or 70's and unless prices are in the 90's for extended periods companies are not going to commit Billions of dollars to look for new reserves.

At any time OPEC can open the spigot and drop oil into the 50's and still make money.

If you want to quibble about my numbers fine but the reality remains OPEC can produce the "marginal" barrel significantly cheaper than the Domestic oil companies can " drill baby drill " find and produce the same "marginal" barrel of oil

IMO Trump says a lot of stupid things but at the top of the list is "The U.S will keep the oil". The oil is not a gold bar in a vault that can be loaded into an armored car and then Flown Out of the country and put into Fort Knox

It is a resource that takes time to be exploited. All of these countries are producing oil in "Millions of barrel a day"
To keepThe oil US forces would have to occupy the territory each every day while the oil is pumped out of the ground. Or install a puppet regime ( like the Shah of Iran ) which works until it doesn't

There is no shortage of oil on the market, especially in the US. This is a just based on markets overreaction as usual.

Rapier108 said:

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Aust Ag said:

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Network news is in love with the gas price stories. I have that thing on Direct TV that allows me to see four screens at once and it seems like every day the same news channels are doing a gas price story.

They are doing a bang up job of getting people riled up. That's for sure.

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And when Biden caused gas prices to go sky high, never a peep about it.

The media, including all local media, is beyond the pale with their agenda.

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Wow. Those are some incredibly false claims and ludicrous spin. Biden was absolutely blamed for high gas and diesel prices.

By conservatives and conservative media, yes. You'll have to post up examples of MSM and Local media affiliates blaming Biden policies for gas prices and inflation. I can't remember any, but I'm willing to look at what you have to prove your point.

1939 said:

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There is no shortage of oil on the market, especially in the US. This is a just based on markets overreaction as usual.

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But there is a shortage on the global market and we don't set the price. $6.50 diesel is total horse *****

There aren't many. This is probably the closest, but even then they carry water for him
https://www.bbc.com/news/business-63233077

Quote:

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With inflation top of mind for many voters, analysts say it's no surprise the president has made the issue a focus.

But the lengths Mr Biden has gone to to address it remain remarkable - especially since it's a matter largely outside of his control.

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Quote:

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Brooke Riske, a 37-year-old from Virginia, says the rising costs have eaten into her family's budget. And while she does not blame the president for the spike, she does fault him for lack of a solution.

"When it comes to our president's ability to manage the country, I don't think he has the ability and I don't think he's doing a good job," she says "The issue of the cost of gas isn't the only thing driving my decision but it certainly helps confirm conclusions that I've already come to."

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Sq 17 said:

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No Spin Ag said:

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DonHenley said:

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So.... if we are drilling for all this crude in the US and have all this Venezuela oil....why is he US still so dependent on Middle East oil? Do we not have enough refineries to make all this crude oil usable? Explain to me like I'm five...

---

"Drill baby drill" was the mantra that if ever came true we'd have the cheapest prices of gas ever, yet here we are.

Feel free to use memes or pictures too.

---

No we would not ,
OPEC can produce a barrel cheaper.

Drill baby Drill is a childish fantasy based on ignoring the reality that producing a barrel of oil has costs associated with the task.

US oil companies are not in business to lose money which is why they collectively said " No Thank you " to opportunities in VZ.


Domestic O&G break even point is In the 60's or 70's and unless prices are in the 90's for extended periods companies are not going to commit Billions of dollars to look for new reserves.

At any time OPEC can open the spigot and drop oil into the 50's and still make money.

If you want to quibble about my numbers fine but the reality remains OPEC can produce the "marginal" barrel significantly cheaper than the Domestic oil companies can " drill baby drill " find and produce the same "marginal" barrel of oil

IMO Trump says a lot of stupid things but at the top of the list is "The U.S will keep the oil". The oil is not a gold bar in a vault that can be loaded into an armored car and then Flown Out of the country and put into Fort Knox

It is a resource that takes time to be exploited. All of these countries are producing oil in "Millions of barrel a day"
To keepThe oil US forces would have to occupy the territory each every day while the oil is pumped out of the ground. Or install a puppet regime ( like the Shah of Iran ) which works until it doesn't

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"Drill baby drill" already happened during the Obama era. They drilled so much they caused the price of oil to crash with an oversupply of oil. They ended up with hundreds of drilled but uncompleted wells all over the place. The oil companies aren't falling for it again...

Trump was stupid big time getting involved with Israel and this mess in Iran. Its going to have major negative implications on our economy long term the longer it goes on. They should take this money they spend on foreign wars and invest it into inventing technology to make nuclear weapons obsolete. Make better weapons that can knock them out of the sky, scramble their operating systems, fry them with lasers or whatever. It's dumb to keep spending trillions in the Middle East. Tell Israel to pound sand if they don't like it...

Ryan the Temp said:

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HillCountry15 said:

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We order diesel in bulk for our delivery trucks. Just got the receipt from the driver. $6.022/gallon. 300 gallons

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Where I am in WA, diesel is $7.29/gal.

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The fuel spike has helped me go from paying $8000 for a reefer load from WA to FL, to $15,000. It's absolutely miserable.

BigRobSA said:

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Aust Ag said:

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Network news is in love with the gas price stories. I have that thing on Direct TV that allows me to see four screens at once and it seems like every day the same news channels are doing a gas price story.

They are doing a bang up job of getting people riled up. That's for sure.

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Or...and follow me here....people are seeing the gas station signs with the inordinately high gas prices on them....literally in lights.


MSM is a dying medium, I doubt it has much sway on this issue. Definitely not as much as literal lit up signs with the prices on it.

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This.

Geriatrics religiously watch "The News", be it Fox, Maxnews, MSNBCNOW+~, CNN, whatever.

Then Gen-X who must be bored AF or not know about the interwebs, and that's pretty much it. The rest of the world gets their news from everywhere on the internet, mostly from social media.

So, yeah, it isn't "the media" that has people riled up; it's people with eyes.

TexasAGGIEinAR said:

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Ryan the Temp said:

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HillCountry15 said:

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We order diesel in bulk for our delivery trucks. Just got the receipt from the driver. $6.022/gallon. 300 gallons

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Where I am in WA, diesel is $7.29/gal.

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The fuel spike has helped me go from paying $8000 for a reefer load from WA to FL, to $15,000. It's absolutely miserable.

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That's reefer madness

GeorgiAg said:

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$6 Die$el Don should be his new nickname.

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trump $20.28 a gallon

Old McDonald said:

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GeorgiAg said:

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$6 Die$el Don should be his new nickname.

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trump $20.28 a gallon

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Okay, I laughed.

Well played, sir. Well played.

Aust Ag said:

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Network news is in love with the gas price stories. I have that thing on Direct TV that allows me to see four screens at once and it seems like every day the same news channels are doing a gas price story.

They are doing a bang up job of getting people riled up. That's for sure.

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Complaining about the news coverage on this is silly. Are you the guy who gets mad when a receiver celebrates a big touchdown or a baseball player hits a big home run against your team?

It's the same thing pretty much. If you don't want people to celebrate then don't give up a TD or home run. If you don't want the news to report about gas price increases, then don't start a war that has been proven to jack up diesel and fuel prices.

Old McDonald said:

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Rapier108 said:

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Aust Ag said:

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Network news is in love with the gas price stories. I have that thing on Direct TV that allows me to see four screens at once and it seems like every day the same news channels are doing a gas price story.

They are doing a bang up job of getting people riled up. That's for sure.

---

And when Biden caused gas prices to go sky high, never a peep about it.

The media, including all local media, is beyond the pale with their agenda.

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the same people who couldn't shut the **** up in 2022 about how gas prices were biden's fault (really they were putin's) now get upset when anyone correctly blames trump for 2026 prices

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It's not just regular people either. Lots of GOP in congress are still trying to blame Biden. Biden didn't invade Iran…… or Russia for that matter. Pretty ridiculous.

Got my truck back from the shop. Been in there a month. Went from a meep meep car to a Tundra again. Got it back with an empty tank.

Wept patriotic tears filling it up. It's what I tell myself at least.

Think it was $3.49 last I filled it up. I was pissed back then too. Oh, my sweet summer child of past me....

Less Evil Hank Scorpio said:

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policywonk98 said:

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By conservatives and conservative media, yes. You'll have to post up examples of MSM and Local media affiliates blaming Biden policies for gas prices and inflation. I can't remember any, but I'm willing to look at what you have to prove your point.

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Because it wasn't primarily Bidens fault...Russia invaded Ukraine and caused a lot of supply fears and the market did what markets do.

The current situation is not the same. WE started the conflict that resulted in higher oil prices. How is this a difficult concept?

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Fuel prices started to spike in 2021, well before the Russian invasion.

https://www.eia.gov/todayinenergy/detail.php?id=50758

TRM said:

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Less Evil Hank Scorpio said:

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policywonk98 said:

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By conservatives and conservative media, yes. You'll have to post up examples of MSM and Local media affiliates blaming Biden policies for gas prices and inflation. I can't remember any, but I'm willing to look at what you have to prove your point.

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Because it wasn't primarily Bidens fault...Russia invaded Ukraine and caused a lot of supply fears and the market did what markets do.

The current situation is not the same. WE started the conflict that resulted in higher oil prices. How is this a difficult concept?

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Fuel prices started to spike in 2021, well before the Russian invasion.

https://www.eia.gov/todayinenergy/detail.php?id=50758

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Perhaps you remember the little global shutdown that happened in 2020? Obviously with the world reopening, demand was going to increase. The low oil prices of 2020 were a black swan event. Only looking at a single year at a time doesn't make much sense.

Yesterday gasoline futures for DECEMBER closed at a hair over $3. Still waiting on trumps "rocket in reverse" price drops.

Here's a brief summary of the refining market.

Mid 2000s was considered the golden age refining. Oil prices are high but so is the demand for refined product with emerging markets booming. Therefore high gas prices in early 2000s before global financial crisis.

From 2009-2012 is when refiners globally suffered. It was a slow recovery but the price of oil was back up near 100. So refiners had high cost but less demand than last time oil was high. At the same time there were more environmental regulations and a push for energy efficiency which made refining business crappy.

Then the shale boom happens. If you were a refiner that could take that cheap light crude and convert to diesel at global market prices you made money. The smaller interior refineries killed it at this time. But most refineries were just trying to stay cash flow positive with small margins. Lots of investments are needed and gulf coast refiners even spent money trying to take more of the light crude from shale.

Then Covid happened. People aren't driving, people aren't flying Electric car future is starting to look more like a reality. After a decade or Meh results, in 2020 they were all losing billions even big guys like ExxonMobil and Chevron. The annual maintenance cost don't stop though. So the industry decided to shut down the least profitable sites or defer maintenance. At the same time there were some refining explosions that that it just wasn't worth repairing.

Enter 2021 and the world has less refining capacity and it was like the whole world reopened at the same time and there was.a surge of demand. Supply cant keep up with demand and prices rise.

Enter 2022 with Russia/Ukraine war. The West begins implementing boycotts of a major supplier of the world energy. So supply constraints with less refining capacity were even bigger as markets tried to stabilize. On top of that Europeans began hoarding and buying in advance of a cold winter that never came.

2023-2025 prices slowly came down with some additional refining capacity plus all the ways to get around the sanctions and markets stabilizing after initial shock.

Enter 2026. Iran war disrupts crude supplies to Asia. They cutback on production without guaranteed crude and ban exports. The US fills the gap. The demand destruction wasn't bigger than the supply disruption. Prices rise a crack spread or refining margins are at record levels. And Ukraine has gotten more aggressive on Russia so those Russian sanctions everybody worked around aren't supplying the market as much.

The key takeaway is that demand can come back much quicker than supply can which hurts consumer. And demand can drop much quicker than supply can which hurts the refiner before they can do anything about it.

Other key takeaway. Stop looking at crude prices. Look at product prices. You and I don't buy a barrel of oil, we buy the refined product. The price of oil can drop $10 tomorrow but product prixe stays elevated. It wouid just add to the refiners margin. Diesel is trading at $220/bbl while crude is at $100. It's disconnected from crude way more than usual

Less Evil Hank Scorpio said:

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policywonk98 said:

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By conservatives and conservative media, yes. You'll have to post up examples of MSM and Local media affiliates blaming Biden policies for gas prices and inflation. I can't remember any, but I'm willing to look at what you have to prove your point.

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Because it wasn't primarily Bidens fault...Russia invaded Ukraine and caused a lot of supply fears and the market did what markets do.

The current situation is not the same. WE started the conflict that resulted in higher oil prices. How is this a difficult concept?

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It's not but you are arguing against a point that I did not make.

Oh I see, I think I misunderstood your point.

I agree I don't recall many people putting the oil price spike of 2022 on Biden, but it seems like a very popular refrain lately (as in, many times in this thread). I'm sure you could find articles blaming him from back then but I agree it wasn't as pointed criticism of a decision Biden made.

I mostly just push back hard against the idea that the media wasn't talking about fuel prices back then, which a different poster claimed.

This is worth reading.

https://www.wsj.com/business/energy-oil/refineries-are-now-the-main-chokepoint-for-global-energy-supplies-f923e1ba?st=giskBQ&reflink=article_copyURL_share