U.S. oil industry prepares to boost production — but with a giant warning

[CaughtInThe]

U.S. oil industry prepares to boost production — but with a giant warning

A jump in gasoline prices above $4 has oil companies eyeing crude oil output hikes, but pain at the pump will linger as shaky oil markets shun Russian cargoes.

www.politico.com

How many friggin people have I been arguing with on this very board about how the Oil Companies can up production whenever they want (just to be called a liar).

This argument was oh so easy to win. All I had to do was wait.

 

[BirdinHand]

Europe seems to be the problem globally - if I'm reading this correctly.

But Patrick Pouyanné, CEO of energy giant TotalEnergies, told the conference Europe’s failure to address its energy shortages in the past had worsened the current crisis.

“People in Europe are complaining about gas prices and fuel prices being high. It’s high because we did not invest enough in years,” he said. “I think what is happening today is a big wake-up call to Europe.

 

[Antiwar]

Is the giant warning "But it will cost you!"?

 

[Parrish]

OPEC

 

[Bok Tuklo]

... Hollub said investors view capital discipline as “essentially no growth.” Neverthless, she said Oxy has a “huge inventory of high-quality investments” that it could make around the world and especially in the U.S. shale basin, but for now it is focused on returning capital to shareholders. Last month, it announced plans to raise its quarterly dividend to 13 cents per share, up from 1 cent.​

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“I feel now that we do need to return cash to the shareholders in the form of dividends or buybacks, especially during the better cycles,” she said, adding Oxy is positioning itself so that it’s breakeven at $40 per barrel of oil.​

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The Link​

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I think production might be the last thing on their minds at the moment. And I thought for sure 100$ a barrel would get those rigs working.​

 

[ttwtt78640]

U.S. oil industry prepares to boost production — but with a giant warning

A jump in gasoline prices above $4 has oil companies eyeing crude oil output hikes, but pain at the pump will linger as shaky oil markets shun Russian cargoes.

www.politico.com

How many friggin people have I been arguing with on this very board about how the Oil Companies can up production whenever they want (just to be called a liar).

This argument was oh so easy to win. All I had to do was wait.

The idea that they could do so “whenever they want” is BS - it makes no sense to have supply exceed demand.

U.S. oil production had plunged during the early months of the pandemic, driving dozens of oil companies into bankruptcy and forcing others to retrench and shut down new drilling. But since August 2020, it has roared back, adding 2 million barrels per day to reach 11.6 million barrels per day by late February, and forecasters expect that figure to climb by another 1 million barrels by the end of the year.

Your own link stated that they were “forced” to reduce production.

 

[CaughtInThe]

The idea that they could do so “whenever they want” is BS - it makes no sense to have supply exceed demand.



Your own link stated that they were “forced” to reduce production.

Wait. Are you admitting they can increase and decrease production if they want to?

 

[CaughtInThe]

Is the giant warning "But it will cost you!"?

It's the perfect opportunity for them to print more money.

 

[HIP56948]

Was looking this morning at gas prices for automobiles across Europe and such. The mind blower was India. The minimum wage in India is
80 cents. Gas is $5.40 gallon. Damn, no wonder most people don't have cars. Didn't think the scales were that crooked.

 

[ttwtt78640]

Wait. Are you admitting they can increase and decrease production if they want to?

Nope, I can assure you that many did not wish to go out of business or reduce production. I am stating that market condidtions (aka supply and demand) control (global) crude oil prices. It is also a fact that government regulations play a large part in the matter. Pretending that US gas prices (and global crude prices) were not rising long before Putin’s invasion of Ukraine is political spin.

 

[bluesmoke]

U.S. oil industry prepares to boost production — but with a giant warning

A jump in gasoline prices above $4 has oil companies eyeing crude oil output hikes, but pain at the pump will linger as shaky oil markets shun Russian cargoes.

www.politico.com

How many friggin people have I been arguing with on this very board about how the Oil Companies can up production whenever they want (just to be called a liar).

This argument was oh so easy to win. All I had to do was wait.

It won't make pump prices any less expensive than is the global market, which increased domestic production will NOT affect.

 

[bave]

This is great. The OP made another thread just like this to be proven a complete liar and then runs to this thread trying to outrun him making a total fool of himself.

We have been over this. US oil producers are not sitting on a material number of wells they could easily and quickly turn on. They can't suddenly ramp up drilling and production because of labor, material, equipment, and pipeline issues. Even if they could they would take 6-8 months before any of them get online. Moreover, they are more interested right now in repairing their balance sheets after 6-7 years of brutal financial pain.

Facts.

Try and get a few.

 

[j brown's body]

Energy is simply too important to leave to market forces.

 

[tacomancer]

The oil execs are going to try and get ahead of congressional reaction to high oil prices and being imposed terms that they would not prefer, I suspect.

 

[bave]

Energy is simply too important to leave to market forces.

Ahh, nationalization, what could go wrong?

You can just look at the history of this, Mexico, Venezuela, etc. Plummeting production shortly follows nationalization.

The oil execs are going to try and get ahead of congressional reaction to high oil prices and being imposed terms that they would not prefer, I suspect.

What do you even mean by that? Seriously.

 

[tacomancer]

What do you even mean by that? Seriously.

Congress could do things like reban exporting oil or fuel outside the country again. Biden could decide to issue a DPA order to force them to produce more.

The oil companies are going to have to produce more and they would rather do it on their terms.

 

[rickc]

Honestly every time this happens people realize that being oil dependent is a bad place to be. People start buying more fuel efficient vehicles.

Then when the price goes down we get complacent again. Large SUV's become best sellers.

One of these days oil is going to get so expensive only the wealthy can afford it. Are we going to wait till then to prepare for the inevitable?

 

[bave]

Congress could do things like reban exporting oil or fuel outside the country again.

That really wouldn't help honestly.

The spread between WTI and Brent has remained relatively stable in terms of spread. The issue with exporting is that some US oil is better/easier to export and some US destinations can't be serviced by VLCCs and need smaller vessels that are not economical. A huge part of this is about importing and exporting the *types* of oil for the refineries to operate at peak efficiency.

Moreover, even if all of this existed, the US is still a massive net importer of oil products, our prices wouldn't materially change.

 

[tshade]

U.S. oil industry prepares to boost production — but with a giant warning

A jump in gasoline prices above $4 has oil companies eyeing crude oil output hikes, but pain at the pump will linger as shaky oil markets shun Russian cargoes.

www.politico.com

How many friggin people have I been arguing with on this very board about how the Oil Companies can up production whenever they want (just to be called a liar).

This argument was oh so easy to win. All I had to do was wait.

and those oil companies are in bed with the GOP-------------------------case closed

 

[CaughtInThe]

Congress could do things like reban exporting oil or fuel outside the country again. Biden could decide to issue a DPA order to force them to produce more.

The oil companies are going to have to produce more and they would rather do it on their terms.

yup

 

[CaughtInThe]

Honestly every time this happens people realize that being oil dependent is a bad place to be. People start buying more fuel efficient vehicles.

Then when the price goes down we get complacent again. Large SUV's become best sellers.

 

[CaughtInThe]

bad place to be

 

[Razoo]

U.S. oil industry prepares to boost production — but with a giant warning

A jump in gasoline prices above $4 has oil companies eyeing crude oil output hikes, but pain at the pump will linger as shaky oil markets shun Russian cargoes.

www.politico.com

How many friggin people have I been arguing with on this very board about how the Oil Companies can up production whenever they want (just to be called a liar).

This argument was oh so easy to win. All I had to do was wait.

You have yet to be wrong ........ go have one on me whatever your choice.

The Oil Industrial Complex keeps oil in the ground for gouging purposes. Park our vehicles then begin using our feet = if we want to keep moving on our own we must keep moving ....... fossil fuel vehicles do not allow such activity.

The Oil Industrial Complex is always the problem for America no matter their rhetoric.

 

[bave]

You have yet to be wrong ........ go have one on me whatever your choice.

The Oil Industrial Complex keeps oil in the ground for gouging purposes. Park our vehicles then begin using our feet = if we want to keep moving on our own we must keep moving ....... fossil fuel vehicles do not allow such activity.

Prove it.

 

[Razoo]

Inflating the price inflates the profits so when consumers cut wayyyyyyyyyy back on purchases the price
drops. Our feet become more beautiful by the second and so do cycles of all sorts.

How long until oil runs out?
Conclusion: how long will fossil fuels last? It is predicted that we will run out of fossil fuels in this century. Oil can last up to 50 years, natural gas up to 53 years, and coal up to 114 years. Yet, renewable energy is not popular enough, so emptying our reserves can speed up.Jan 18, 2021

When will fossil fuels run out? - MET Group​

https://group.met.com › mindthefyouture › when-will-fos...