Here we go again with oil Prices

[Jim Blackwood]

Put it this way. Once you have vertically integrated the business so in essence you either own everything from exploration to retail or have agreements in place to effect the same thing, and have done likewise horizontally, the only remaining price control is political. In other words you can price your product as high as you like. All you have to do is find a way to protect yourself from the screaming. And a remote island is a good solution for that.

Jim

[Dave5Cs]

The jump is nothing new for the currency, which is up almost 16% versus the dollar this year, trailing only the Colombian peso in emerging markets. The run — fueled by bets of a delayed easing cycle, the so-called nearshoring trend and strong remittances, among other factors — has earned it the moniker of 'super peso.Jul 12, 2023
From Bloomberg news

[windtrader]

OMG - I took a real hard second look thinking Dave got real smart all of a sudden. Sounded like a business sound bite. - read the last line, good thing you attributed the comment.
Jim - even vertical integration does not provide complete cost control and there are cost pressures within the suppliers of services and products and raw materials that are beyond the control of that integrated business. I do agree there is more control but not all costs. And at the end of the day, market will dictate pricing, especially with commodities.

[luvrbus]

OMG - I took a real hard second look thinking Dave got real smart all of a sudden. Sounded like a business sound bite. - read the last line, good thing you attributed the comment.
Jim - even vertical integration does not provide complete cost control and there are cost pressures within the suppliers of services and products and raw materials that are beyond the control of that integrated business. I do agree there is more control but not all costs. And at the end of the day, market will dictate pricing, especially with commodities.

Better check fuel prices Don it jumped $.60 a gallon here a couple of hours ago

[chessie4905]

Oh yeah, having ev is compelling... Some states are already adding road use fees to them and THAT will never end! Only savings will be to the early adopters for a little bit of time. Don't kid yourself, they won't end up being bargains, but definitely our future.
Just look at all the vehicles going to and fro 24-7, 365, all over the world... No way oil is going to be around much longer. Saudis are starting to see reduced output. Going electric now will give us a few more years for big consumers; trains, ships, planes, etc, till they get a reliable power source for them.
Just glad, I didn't blow big bucks for a Prevost, I've always wanted. Happy with my 4905 and no payments.

[luvrbus]

Oh yeah, having ev is compelling... Some states are already adding road use fees to them and THAT will never end! Only savings will be to the early adopters for a little bit of time. Don't kid yourself, they won't end up being bargains, but definitely our future.
Just look at all the vehicles going to and fro 24-7, 365, all over the world... No way oil is going to be around much longer. Saudis are starting to see reduced output. Going electric now will give us a few more years for big consumers; trains, ships, planes, etc, till they get a reliable power source for them.
Just glad, I didn't blow big bucks for a Prevost, I've always wanted. Happy with my 4905 and no payments.

It sucks I see where Biden blocked another area for drilling ,the Ameican people has a whole should have a say not just 1 group having control,the average Ameician is hurting with all this BS 

[Van]

 

[windtrader]

Diesel prices holding here so far but they are already high compared to other places.

[Dave5Cs]

OMG - I took a real hard second look thinking Dave got real smart all of a sudden. Sounded like a business sound bite. - read the last line, good thing you attributed the comment.

Thanks a lot buddy. I will remember that when you call me and ask me how to shut your engine off. Or when you try to push your wife over the cliff with your bus, yep sure will. 

[windtrader]

Uh-oh. dave got a bee up his butt today. Doreen, please remove it so he can be a happy camper once again.

[Jim Blackwood]

I just want to know what they are going to do with the glut of excess gasoline and diesel fuel once all the vehicles are converted to electric? Pump it back into the ground I guess. Does that cost less than selling it?

Jim

[luvrbus]

I just want to know what they are going to do with the glut of excess gasoline and diesel fuel once all the vehicles are converted to electric? Pump it back into the ground I guess. Does that cost less than selling it?

Jim

Nope they will need it to make power for the EV's

[chessie4905]

Seriously? The fuel will be used up as switch over. We didn't have a surplus of coal when railroads went to diesels. Same with firebrick and steam locomotives. Companies just started going out of business if they couldn't  adapt.

[Jim Blackwood]

Oh, then I guess we won't have any need after the great EV revolution for the petrochemical industry either?

In case you happened to forget, gasoline and diesel originated as and have always been a byproduct of the great petrochemical industry. So in order not to have that byproduct you have to eliminate the mainstream use. Just how is that going to happen? Go back to wood products maybe? Corn oil? Bear grease? Straw mattresses, etc, etc. Probably would help with the great Pacific bottle collection. What the heck do we need plastics and roofing shingles for anyway? Computers? Who needs 'em.

Jim

[Nova Eona]

Oh, then I guess we won't have any need after the great EV revolution for the petrochemical industry either?

In case you happened to forget, gasoline and diesel originated as and have always been a byproduct of the great petrochemical industry. So in order not to have that byproduct you have to eliminate the mainstream use. Just how is that going to happen? Go back to wood products maybe? Corn oil? Bear grease? Straw mattresses, etc, etc. Probably would help with the great Pacific bottle collection. What the heck do we need plastics and roofing shingles for anyway? Computers? Who needs 'em.

Jim

Well that's just flawed thinking, as it suggests there is a single possible process to produce the plastics and such we will need for the foreseeable future and that the resultant byproduct can only be burned as fuel.  Right now the gas/diesel is a welcome byproduct since it has such a huge market around it, but as that demand shifts they will find other things to do with it.  As demand for consumer fuel-grade oils drops, I guarantee you they will figure out something else to do with the resulting byproducts to keep making money.