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Charles Douglas

Mr. Hartman! "Blackmail!" If you are a livid about high gas prices, wait a few more months to see what Red China, Russia, and North Korea are going to do! Remember this word, "BLACKMAIL!" It gonna get bad around here but I would not want to be in Hong Kong, or Tiwain's positions.

Charles Douglas

Correction**** Mr. Gartman,...not Hartman.

Jim Forsythe

Gas prices are based largely on supply and demand. Typically, gas costs less during the winter months when drivers are less likely to be on the road. Similarly, prices tend to rise during the spring and summer months when more drivers are on the road.

The average price for gas in the USA in 2017 was from a low of $2.23 on Feb 6 to a high of $2.50 on April 24 .

The average price for gas in the USA.2018 was from a low of $2.63 on Feb 5 and a high of $2.96 on May 28.

The average price for gas in the USA.2019 was from a average low of $2.25 on Feb.4, to a high of $2.90 on May 6.

Trump had a low price of $2.23 to a high of $2.96 for a average price of gasoline in the USA.

2020 rate was not usual, so I did not include that year.

Dalton Logan

Keep on preaching Jim. You and I have had this discussion before a few months ago when gas was about $0.35 cheaper.

Coming soon to a store near you $3.50-$4.00 gal.

Carlos Ponce

"Dalton Logan Jan 28, 2021 12:04pm

Wait until gas/diesel gets up to around $3.75-$4.25 Gal. Going to see t-shirts with Trumps picture on them with 'missing me yet'. [tongue]"

To which Jim replied:

"Jim Forsythe Jan 28, 2021 1:55pm

Dalton, what indicators do you have the Oil will reach over $100 a barrel? That is the cost of oil required to reach $4. The price of oil today is $52.29 which means oil would need to double in price for gas to reach $4."

Current cost of oil is $61.44, an increase of $9.15 in less than two months. Could Jim's $100 be just around the corner?

Gary Miller

Seven $ a gallon was OBAMA's target. Biden is resuming Obama's energy policies. Shutting down US energy supply is just the start. You may not think $120 per fill up is possible but Europeans thought so also. They now pay it or walk.

Jim Forsythe

Since you seem to know the answer, what would cause oil to reach $100 a barrel this year? Please share what will cause a increase to the $100 level.

At this time, the price has rebounded to the level before 2020. Unless we have a change of factors, we will continue at the same level for this year and next.

Bailey Jones

Gary, Europeans pay between $4 and $6.50 for a gallon of gas. It has nothing to do with the price of oil and everything to do with gasoline taxes.

Do you know who has cheap gas? Venezuela. It's like 12 cents a gallon there. Is that the example you'd like us to follow?

Craig Mason

Two dollar a gallon gas is not good for the local economy. Refiners have been struggling to hang on for the last year. 2 million barrels of refining capacity have been taken out of the system in the past year and that capacity will not come back online, due to lack of demand. Thousands of refinery workers lost those jobs before Biden was ever elected. 2.65 or 2.75 means that market is more healthy and margins are solid at 60 dollar a barrel oil. Google gulf coast 321 crack spread and see that it is about 10 dollars a barrel right now. Most refiners need between 6 and 7 dollars a barrel just to break even. It just rose above that level last month for the first time in a year.

Michelle Aycoth

China now is the largest refiner of crude oil in the world.

Sad we just let our own industries die a slow death while China prospers.

Andy Aycoth

Gary Scoggin

Chinese refining is for their domestic consumption. They are not meaningful exporters of finished products.

Charles Douglas

Mr. Aycoth> [thumbup][thumbup]. You are correct. China has also taken over as the "head honchos" in the world now that America has a docile, apologizing, and submissive leader. We have another Jimmie Carter up there. Did you see how the Chinese excoriated the Americans in their meeting in ALASKA the other day? Signs of things to come.

Jim Forsythe

Like Craig said, the USA is in a better place with the price of gasoline and oil at the level it is now. Cheap gas is not the way to keep our oil refineries in business. For the last year we have been using less gas then usual and now that the demand has increased, refineries will start to increase the amount of gas they produce, because of the increase in demand.

In 2019, oil refinery capacity in the United States amounted to approximately 18.97 million barrels per day. Which is the the largest oil refinery capacity of any nation worldwide. This is a increase from 17.38 million barrels per day at the end of 2012. This is a huge increase in just 7 years. The USA's refinery capacity is increasing and does not indicate a industry that is dyeing a slow death.

In second place was China at 16,199 million barrels per day in 2019. Unless China has increased by almost 3 million barrels per day since 2019, the USA still has the largest capacity of any nation in the world.

Carlos Ponce

"Cheap gas is not the way to keep our oil refineries in business."

Petrochemical plants produce more thing than gasoline, Jim. For instance, cross-linked polyethylene, known as PEX, used in plumbing. Shall I list the THOUSANDS of products produced from refined oil other than gasoline? These products will "keep oil refineries in business". It's not just gasoline. But you already know that. You wrote, "The USA's refinery capacity is increasing and does not indicate a industry that is dyeing a slow death." Problem is, the current policies will limit domestic production. Only an idiot would halt domestic exploration and fracking.

Gary Miller

Too many people, US residents mostly, think crude oil is nothing but unrefined gasoline. 86 % of crude oil is used to make gasoline. The other 84 % is raw material for products made from oil. Tooth brushes, shoe soles and polish, Fabrics like nylon and rayon, Plastick furnature and 90 % of every day needs of modern life. None of which can be made from electrictisy. Wind farms can fuel a car but can make nothing to make a car from.

Carlos Ponce

Yes, Jim. Petrochemical products are used in "dyeing" but I think you meant to write "dying".

dyeing - The operation or practice of fixing colors in solution in textile and other porous substances.

dying - About to die. Drawing to an end; declining.

Gary Scoggin

Actually, KXL has nothing to do with current gasoline prices.

Bailey Jones

Your $1.67 gasoline cost thousands of petroleum workers their jobs. And you lack an understanding of how markets and prices work. Gas costs more because demand is higher because people are driving more. Supply is down because of facilities knocked offline in the winter storm, and because refineries are busy switching to summertime formulations. Oil production collapsed during the pandemic in response to falling demand, and it takes time to ramp production back up.

Gas prices were actually higher in the summer of 2018 and 2019. By your "logic" that was all Trump's fault. No?

domenico nuckols

There’s over 500M barrels of crude in storage. Where are you going to put the crude if the pipeline is built. Sounds like a republican hit job to me

Carlos Ponce

You have to consider why those barrels are in storage. Part of it is to regulate prices of commodities derived from that crude. Oil is released from storage to lower prices. But the current administration wants it SKY HIGH to promote their "Green" alternative. The rest is for emergency.

Only 500M? In 2017 there was 747M in storage. Looks like in 4 years a lot has been used.

https://www.oilsandsmagazine.com/news/2017/6/7/747-million-barrels-and-counting-a-look-at-the-latest-estimates-of-us-crude-storage-capacity

Jim Forsythe

As everyone was talking about the price of gas and oil, the other products made from feedstocks that are part of byproducts from crude is a different topic. In the last refinery I worked at, the main product was gasoline.

As the price and demand goes up or down, so does the amount of oil we have in storage. it looks like our usage is increasing over years in the past, so the amount we store also has increased. Last year we had less crude in storage, because demand was down. Crude oil inventories in the Strategic Petroleum Reserve, is different than the crude storage above ground.

U.S. commercial crude oil inventories (excluding those in the Strategic Petroleum Reserve) increased by 13.8 million barrels from the previous week. At 498.4 million barrels, U.S. crude oil inventories are about 6% above the five year average for this time of year, according to the EIA crude oil and petroleum weekly storage data, reporting inventories as of March 5, 2021.

October 14, 2020-- America’s oil production will never again reach the record 13 million barrels a day set earlier this year, just before the pandemic devastated global demand, according to Occidental Petroleum Corp. “It’s just going to be too difficult to replace the 2 million barrels a day of production that we’ve lost, and then to further grow beyond that,” Chief Executive Officer Vicki Hollub said Wednesday at the Energy Intelligence Forum. “Over the next three to four years there’s going to be moderate restoration of production, but not at high growth.”

domenico nuckols

Stupid Republicans, Wall Street sets the price of everything, not the President

Carlos Ponce

Biden's policies have an effect on prices.

Bailey Jones

An interesting group I've never heard of before - The Oil and Gas Climate Initiative - made up of some of the biggest players.

https://oilandgasclimateinitiative.com/

Gary Scoggin

Two important things about OGCI. First, it is CEO led so the statements and commitments it makes are real. The people on their board and senior staff are top notch.

Second, the membership is important. It includes the usual European suspects in the climate debate - Shell, BP, Total, and Equinor, for example — but it also includes Aramco and the Chinese company CNPC. Saudi Aramco’s move to be actively involved in addressing climate change is a strategic shift for them. It tells me they now see the energy transition as inevitable and are positioning themselves as survivors, not victims. CNPC’s involvement is consistent with the long term Chinese move to renewable energy. Also note who’s not a member, for example Rosneft and the big national oil companies other than Aramco, such as PDVSA and Petronas.

Charles Douglas

My nephew's team just WHOOPED Viginia Cavs 62-58 in the NCAA March Madness Tournament. The Cavs were the National Champions in the nation last year! Ohio Bobcats Rule! [thumbup][thumbup].

Craig Mason

Go cats

Thomas Carpenter

Go UH!

Harvey Cappel

To me higher gas prices are, in the long run, good. At some point we will finally understand that oil is stored energy and feedstock for nearly everything we want and need (made of plastics). burning gas in cars is like burning furniture in your house for heating; not smart. And finally if we keep prices low by high USA production we will run out of oil first; again not smart. Don't like the gas price; buy an electric car; sooner or later you will. Did you know you can buy an electric Mustang?

Carlos Ponce

"burning furniture in your house for heating" - Some people with wood burning furnaces thought about it during the big freeze! And they did that on MASH. Col. Blake lost his desk.

Ted Gillis

I just heard that Shasta was at the groomers today getting her coat cleaned and claws painted.

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