Oil Prices At All Time Record High

[phongn]

Because oil is vital to every major industry and any shocks in the price are passed along to those consumers. Higher prices to run your equipment and ship your goods translates into lower profits and businesses going belly-up. That tends to scare investors. Not to mention that if oil hits $50/barrel, then it already means that investors are nervous about the world security situation.

If oil hits $50/barrel the airline industry is fucked. Even Southwest will have trouble being profitable if they fuel is that expensive for them.

[Howedar]

The frigging opening post, had you read it, states that crude is well above US$40/barrel.

Go fuck yourself. I did read the opening post, then I went online to look up the price of oil and got $33. I realize where I made my mistake in looking up the price and yes, I concede that it is at $40 a barrel. However, my point still stands, the cost of oil is still not at an all time high when you factor in inflation. In fact, it's not even close.

I'm so very sorry I hurt your poor little feelings

Be dumb, get burned. That's how it works.

[His Divine Shadow]

You know, if we're going to launch imperialist wars of aggression for oil, it sure would be nice to at least see gas prices come down.

I'm all for another one if it will bring the gas prices down.

Nuke some countries, get cheaper gas, everybody wins, right?

[His Divine Shadow]

It's time to start building those new machines that make oil from garbage on a real scale.

[Admiral Valdemar]

It's time to start building those new machines that make oil from garbage on a real scale.

You mean bacteria? They kinda like rebuilding their numbers regardless of oil shortages...

[Admiral Valdemar]

The UK is bracing itself for possible future fuel strikes again. Like the ones in 2000, these will probably be nationwide and likely futile. The gov't is adding an extra 2p tax come September, but that may change if oil prices stay the same or go up more.

I'm just wondering if people think such strikes and blockades would help since Michael Howard of the shadow cabinet would back the strikes if legit.

[Vympel]

Oil strikes? How do you strike for oil? Against oil? Eh?

[Admiral Valdemar]

Oil strikes? How do you strike for oil? Against oil? Eh?

They... er...

They strike and blockade oil supplies like they did last time and basically refuse to work, that is, those at fuel stations or refineries. At least that's how I recall it. I had to take the bus to get to college during the last strike and was always an good hour late thanks to people queueing at petrol stations for fuel which was soon running out.

[Crown]

You know, if we're going to launch imperialist wars of aggression for oil, it sure would be nice to at least see gas prices come down.

What makes you think that the goal was to reduce oil prices?

[TheDarkling]

Oil strikes? How do you strike for oil? Against oil? Eh?

A bunch of morons with lorries drive around motorways at 5 MPH thus crippling transport infrastructure. They also block the refinery's causing petrol stations to run out thus crippling transportation in another way. That is until Blair sends the army in to deal with the prats.

As for Howard's position, it is blatantly hypocritical for a Tory (especially a Thactherite like Howard) to back disruptive "strikes", I also find it amusing that the Torys raised the prices of fuel more during their last 7 years than Labour has done in the past 7 years yet they still complain.

[Admiral Valdemar]

Oil strikes? How do you strike for oil? Against oil? Eh?

A bunch of morons with lorries drive around motorways at 5 MPH thus crippling transport infrastructure. They also block the refinery's causing petrol stations to run out thus crippling transportation in another way. That is until Blair sends the army in to deal with the prats.

As for Howard's position, it is blatantly hypocritical for a Tory (especially a Thactherite like Howard) to back disruptive "strikes", I also find it amusing that the Torys raised the prices of fuel more during their last 7 years than Labour has done in the past 7 years yet they still complain.

You need to read up on politics more. Hypocrisy doesn't happen to politicians, it happens to other people so long as it wins votes.

[Crown]

As for Howard's position, it is blatantly hypocritical for a Tory (especially a Thactherite like Howard) to back disruptive "strikes", I also find it amusing that the Torys raised the prices of fuel more during their last 7 years than Labour has done in the past 7 years yet they still complain.

I have actually noticed that here in Victoria, the teacher's union went on strike more times in the new Labour governments first term then they did in the two terms of the Liberal government before it. They were protesting that the increase in wages that the Labour government was offering wasn't enough, meanwhile the Liberal government (previous) closed more schools and fired more teachers than ever before in memory, and yet the fuckers didn't protest shit.

You know why?

Because the Labour party's support comes for the union, a not too subtle way of saying; 'you need us to get re-elcted you little fucks'.

[TheDarkling]

They strike and blockade oil supplies like they did last time and basically refuse to work, that is, those at fuel stations or refineries.

What actually happened is a bunch of farmers and lorry drivers stood around the gates of the refineries and the drivers of the tankers said they wouldn't move petrol because they were afraid of the picketers so the oil companies refused to ask them to.

[Admiral Valdemar]

They strike and blockade oil supplies like they did last time and basically refuse to work, that is, those at fuel stations or refineries.

What actually happened is a bunch of farmers and lorry drivers stood around the gates of the refineries and the drivers of the tankers said they wouldn't move petrol because they were afraid of the picketers so the oil companies refused to ask them to.

In anycase, the resulting effect was a shitload of vehicles needing fuel and the logistics sector screeching to a halt. Something that is quite bad given it's the biggest industry in the UK.

[TheDarkling]

Because the Labour party's support comes for the union, a not too subtle way of saying; 'you need us to get re-elcted you little fucks'.

Although I agree with your point the fuel protests are slightly different since the fuel protestors aren't actually a union, the TUC doesn't approve their actions and they have no legal basis to do what they do (union wise, they can of course stand about as free citizens). It is essentially just a bunch of farmers (who always seem to think they are hard done to no matter what the issue) and lorry drivers how didn't like have their profits decreased.

[TheDarkling]

In anycase, the resulting effect was a shitload of vehicles needing fuel and the logistics sector screeching to a halt. Something that is quite bad given it's the biggest industry in the UK.

Indeed, if it were to happen again I would hope the government uses its powers from day one and gets the army to take over the running of the tankers.

[Admiral Valdemar]

They did it for the fire strikes, I don't see why they couldn't do it for the fuel strikes. Though Iraq has given some obvious strain on the forces.

[Alex Moon]

Because oil is vital to every major industry and any shocks in the price are passed along to those consumers. Higher prices to run your equipment and ship your goods translates into lower profits and businesses going belly-up. That tends to scare investors. Not to mention that if oil hits $50/barrel, then it already means that investors are nervous about the world security situation.

If oil hits $50/barrel the airline industry is fucked. Even Southwest will have trouble being profitable if they fuel is that expensive for them.

IIRC, that's what fucked United (or was it American?). They didn't lock in long term fuel contracts and gambled instead that the prices would stay low. When prices didn't, the company paid dearly for it.

[Master of Ossus]

Because oil is vital to every major industry and any shocks in the price are passed along to those consumers. Higher prices to run your equipment and ship your goods translates into lower profits and businesses going belly-up. That tends to scare investors. Not to mention that if oil hits $50/barrel, then it already means that investors are nervous about the world security situation.

If oil hits $50/barrel the airline industry is fucked. Even Southwest will have trouble being profitable if they fuel is that expensive for them.

Also, since plastics are petroleum-based....

[phongn]

IIRC, that's what fucked United (or was it American?). They didn't lock in long term fuel contracts and gambled instead that the prices would stay low. When prices didn't, the company paid dearly for it.

I can't remember the article's specifics, but airlines usually 'hedge' oil supplies (probably by buying a lot of fuel at some price). Some airlines didn't hedge very much when prices were relatively low, so...

[Alex Moon]

IIRC, that's what fucked United (or was it American?). They didn't lock in long term fuel contracts and gambled instead that the prices would stay low. When prices didn't, the company paid dearly for it.

I can't remember the article's specifics, but airlines usually 'hedge' oil supplies (probably by buying a lot of fuel at some price). Some airlines didn't hedge very much when prices were relatively low, so...

Yup, that's what I was thinking of. Went over it a little in Intermed Macro last year. They didn't contract to buy fuel at a certain price, and so got screwed by the shocks.

[Alferd Packer]

It's time to start building those new machines that make oil from garbage on a real scale.

You mean bacteria? They kinda like rebuilding their numbers regardless of oil shortages...

Thermal depolymerization. You can throw anything into this process and oil will come out. The waste from animal slaughter is commonly used, but anything will work. IIRC, it comes out about half diesel and half gasoline, and some other junk, too.

[phongn]

IIRC, due to the high up-front costs of thermal depolymerization, it won't be cost-effective even if oil reaches $50/barrel. It'll have to stay above there for some time for that to work.

[Admiral Valdemar]

It's time to start building those new machines that make oil from garbage on a real scale.

You mean bacteria? They kinda like rebuilding their numbers regardless of oil shortages...

Thermal depolymerization. You can throw anything into this process and oil will come out. The waste from animal slaughter is commonly used, but anything will work. IIRC, it comes out about half diesel and half gasoline, and some other junk, too.

Paradoxically, bacteria are also a problem for oil companies since the strains we have tested today that can clean up oil spills also occur in the natural environment and produce acid to breakdown the oil making it useless.

But really, anything that gives long enough hydrocarbon chains can supplement our oil and plastic requirements. Whether it's cheaper than just digging the stuff up as crude now is another matter entirely.

[Elfdart]

Thanks for the info on biodiesel, Phongn. If it's just a matter of production, wouldn't higher oil prices be an incentive? The fast food joints alone should produce enough vegetable oil to wean us off the OPECkers' products!