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Gas is going to pop today!

2.9K views 50 replies 19 participants last post by  Rattlesnake Jake  
#1 ·
Closed Alaska oil field could hike prices

Corrosion, small spill leads to loss of 400,000 barrels a day.

ANCHORAGE, Alaska (AP) -- In a sudden blow to the United States' oil supply, half the production on Alaska's North Slope was being shut down after BP Exploration Alaska, Inc. discovered severe corrosion in a Prudhoe Bay oil transit line.

Once the field is shut down, in a process expected to take days, BP said oil production will be reduced by 400,000 barrels a day. That is close to 8 percent of U.S. oil production as of May 2006 or about 2.6 percent of U.S. supply including imports, according to data from the U.S. Energy Information Administration.

A 400,000-barrel per day reduction in output would have a major impact on oil prices, said Tetsu Emori, chief commodities strategist at Mitsui Bussan Futures in Tokyo.

"Oil prices could increase by as much as $10 per barrel given the current environment," Emori said.
 
#2 ·
Before you yell "Dam Oil Companies!"

This is costing BP $29,600,000 each day the line is down.

And that is using yesterday's price for crude.
 
#3 ·
Home heating oil is up +.0334 this morning (wholsale contracts for September).. In will see what gas is. OK Natral Gas is DOWN .311 WTF... I dont know if spiked Friday or not as I am in the heating oil/off road diesel biz & dont follow NG..
 
#6 ·
speter4205 said:
When those phuckers starting paying it everyday for 2-3 years. I'll start to feel sorry for em.
You do realize they pass that cost onto you, don't you!

Every company has no choice but to pass on costs to consumers or go out of business!
 
#7 ·
ghart said:
You do realize they pass that cost onto you, don't you!

Every company has no choice but to pass on costs to consumers or go out of business!
Not at GM, its called cost cutting, cut my benefits, no raises, lay people off, pound price down on suppliers, cut costs. The oil companies just raise prices to pass cost and then add a premium on that, nice deal.
 
#8 ·
Aggressor Tom said:
Not at GM, its called cost cutting, cut my benefits, no raises, lay people off, pound price down on suppliers, cut costs. The oil companies just raise prices to pass cost and then add a premium on that, nice deal.
I'll guarantee you GM passes dollar for dollar every price increase they get. If Good Year bumps their price $5 per tire it goes directly to the top line of the price of that vehicle, plus mark up.

As for cost controls, every well run company keeps a hard line on costs, GM is no differnt than any other other than the products being produced are inferior to most vehicles the public has to choose from. That is why the big three have lost market share.
 
#9 ·
That's just wonderful news, considering my vacation starts this Friday and I planned on burning a lot of fuel/gas.

Trailering the boat up to the cabin (255 miles) , then to Torch lake and back (maybe twice If I can't find a place to spend the night) using the boat on Torch. Then during the week riding the dirtbike and quad (those use 50/50 race/pump gas) then midweek trailering the boat up to either Mackinaw or Burt /Mullet lake and cruising around .
Friday driving to Silver lake (300 mile round trip) and riding the bike and quad all day. Then that weekend possibly heading back to Torch or if I'm broke by then just putting around on the pontoon boat on the lake the cabin is on.
 
#11 ·
ghart said:
You do realize they pass that cost onto you, don't you!

Every company has no choice but to pass on costs to consumers or go out of business!

Absolutley. That's why I don't feel one bit sorry for them.

Out of buusiness? Yea Right. Its hard to feel sorry for a company recording record profits.
 
#12 ·
I'm amazed! I expected to see 10 cent pop today. Just filled up at $3.03, up 2 cents from the price I saw on Friday at the same station.
 
#14 ·
Just as at the end of the Desert Storm conflict, all this insanity in the Middle East comes to some sort of resolution, you'll see fuel drop 80 cents.
 
#19 · (Edited)
Oil companies are crooks. Plain and simple. :angry1:
It sickens me that while some people are struggling to make ends meet because they have been laid off or lost their jobs all together,these phuckers keep posting record profits every quarter. :angry1: :angry1: :angry1:
Personally I don't think there is any relief in sight as far as the cost of fuel coming down to reasonable prices in the near future. :unhappy1:
 
#20 ·
Rock Steady said:
Why is that? Anyone know? Different material?
I think it is the distance to the refineries that is the deciding factor as to what product it is reduced to.

Just about all the gasoline in this country is refined along the gulf coast.
 
#22 ·
ghart said:
Do you realize coal has gone up more than crude oil over the past 2 years?

Have you looked at your bills lately?

Don't you have to shovel that stuff?

All I know is that at $220 a ton delivered to my 4400 sqft. home I spent $900 to heat with coal from Jan. to April running 2 stoves. In Dec. I ran the furnace and spent $1100 for the the month. I just ordered 4 ton of coal to be delivered to the house and they dropped it to $189 a ton with delivery. Yes I do have to carry in 50lb bags and pour them into the hopper once a day but at that kind of savings I'll put up with it.
 
#23 ·
$1,100 a month to heat with your furnace with 4,400 square feet!!!!!

Does your windows have glass in them?

I'd start looking for the heat loss (has to be a huge hole) rather than carry 50 pound bags every day!
 
#24 ·
ghart said:
I'll guarantee you GM passes dollar for dollar every price increase they get. If Good Year bumps their price $5 per tire it goes directly to the top line of the price of that vehicle, plus mark up.

As for cost controls, every well run company keeps a hard line on costs, GM is no differnt than any other other than the products being produced are inferior to most vehicles the public has to choose from. That is why the big three have lost market share.
Thanks for letting me know the company I work for builds inferior product, that wasn't even the point. You are a genius and thank you for your wisdom. :rolleyes: :rolleyes: :rolleyes:
 
#25 · (Edited)
IF you use Exxons announced profit for the quarter of 10.8 Billion and guessing that BP is right in the area, that means that Bp losing 29.6 MIllion a day will allow them approximatley 364 days to fix the problem before they get to breaking even for last quarters unheard of profit!!!! I could be wrong an correct me if I am. I figured the profit of $10,800,000,000 BIllion and divide it by the $ 29,600,000 they are losing per day. It works out to 364 and some change.

I really wish I could lose 29.6 million a day for a year and just break even!!!! :rolleyes: :angry1:

Grandrapidsgas.com just reported that one station is up to $4.20 a gallon!! :angry1: :angry1:
 
#26 ·
ghart said:
$1,100 a month to heat with your furnace with 4,400 square feet!!!!!

Does your windows have glass in them?

I'd start looking for the heat loss (has to be a huge hole) rather than carry 50 pound bags every day!
The furnace is a forced air furnace which is one of your more inefficient(sp) ways to heat. The house was built in 1842 and the windows were updated in the 1980's. The attic has 18" of insulation and the second floor walls have been insulated when the lath and plaster was removed. The down stairs walls are what I am working on now. You have to remember that Last December the average High temp was only 5 above. It get pretty cold up here sometimes. The shop runs about $1200 a month for gas heat. I used to live in a new house with the latest and greatest insulation and windows and my heat bills there with fuel oil was still about $300 a month and the house was only 1400 sqft. Last Dec. a gallon of fuel oil here was $2.89 thanks to NYS.