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$160 Oil This Week

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T Boone Pickens legendary Texas Oil Millionare was on US CNBC financial program yesterday. He says oil will never drop down to the $40-50 level again. He expects world oil demand to keep prices high, he also said oil companies are NOT able to increase production. They are now going full stretch to maintain production levels. So static production levels + increased word demand = High Prices. $100 is fairly cheap, expect this to be a floor. Only way oil goes down alot is if we have a world wide severe recession. This is possible, but otherwise he sees high oil prices from here on in. :ph34r:

Edited by hallander3

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T Boone Pickens legendary Texas Oil Millionare was on US CNBC financial program yesterday. He say oil will never drop down to the $40-50 level again. He expects world oil demand to keep prices high, he also said oil companies are NOT able to increase production. They are now going full strtch to maintain production levels. So static production levels + increased word demand = High Prices. $100 is failrly cheap, expect this to be a floor. Only way oil goes down alot is if we have a world wide severe recession. This is possible, but otherwise he sees high oil prices from here on in. :ph34r:

Indeed. Oil is up nearly $5 today. So much for the HPC lady boys calling for the commodity crash. :P

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'Zapata' George says there's a supply shortage coming.

perhaps because he got wind of this

http://earthboppin.net/talkshop/internatio...ages/38108.html

for claritys sake please note the link is from a russian site/author and the russian orthodox church has easter on the julian calendar which actually puts good friday next friday the 6th..(AFAIK IMHO) for them (the russian reading the article when first published) so it is a valid newly issued warning NOT a re-hash/re-post of one from last year which even then would be incorrect as good friday in 2007 was on the 8th.

oil and gold will rise together and the dollar will fall as the insiders load up.

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Guest Mr Parry
Relax Guys - Beefheart will arrive any minute to tell us that the subterranean Neibelungen operating the Fischer Tropsch factories at the centre of the earth will be churning out abiotic oil for us folk who live in Midgaard. ;)

:blink::unsure:

Oh, and hi Kurt!

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Guest grumpy-old-man
:blink::unsure:

Oh, and hi Kurt!

there are 2 oil camps. peak oil camp & the it's a load of b0llocks & there's plenty of oil left camp.

Much the same as the old deflation vs high ;) inflation camps really....

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there are 2 oil camps. peak oil camp & the it's a load of b0llocks & there's plenty of oil left camp.

Much the same as the old deflation vs high ;) inflation camps really....

Both those camps have a reasoned arguement.

The 3rd camp as I eluded to believe that oil is generated mysteriously in the earths mantle........ :blink:

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Guest grumpy-old-man
Both those camps have a reasoned arguement.

The 3rd camp as I eluded to believe that oil is generated mysteriously in the earths mantle........ :blink:

yes, I can see both sides of this one........& the same goes for the 'flation discussions.

same for the old global warming one......

I am right in the middle of the oil one tbh.........50/50

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perhaps because he got wind of this

http://earthboppin.net/talkshop/internatio...ages/38108.html

for claritys sake please note the link is from a russian site/author

which (to cut a long story short) has since had doubt cast on it so take with pinch of salt

oil and gold will rise together and the dollar will fall as the insiders load up.

should still happen next week if there is a build up to an attack, the source and severity of which is not relavent so much as the reaction from iran.

sorry for any confusion.

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there are 2 oil camps. peak oil camp & the it's a load of b0llocks & there's plenty of oil left camp.

Much the same as the old deflation vs high ;) inflation camps really....

You're missing the point.

It doesn't matter how much oil there is left in the ground if refining capacity can't keep up with demand.

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there are 2 oil camps. peak oil camp & the it's a load of b0llocks & there's plenty of oil left camp.

Much the same as the old deflation vs high ;) inflation camps really....

Lots of oil left, even the peak-now guys will tell you there is at least as much left as we have extracted to date. However, as a graphic illustration, someone over at the oildrum made this observation: the greater part of the remaining oil are the shales and tar-sands. To actually get the oil out of these is as difficult a task as refining our ashphalt hard-top road surfaces for fuel. The roadtops are closer to hand....It is not the quantity of reserves that's going to cause the problem, it's the possible rate of extraction.

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On the way home tonight I was reading 'Car' magazine. Not the most green publication. However, there was a whole section on fuel efficient cars. GM expect to launch their flex technology in 2010-2011. The car will do 150mpg.

I reckon the oil companies are milking this for all their worth. They know the green thing will kill them off, so they are using lack of supply argument to push up prices. Once the displacement technology nears, they will ease back oil prices a little bit at a time to hold off the replacement of existing technology with this new stuff. A hybrid car that does 150mgp costing 30k is easier to justify when oil is at a 150 USD per gallon. When oil is 80 a gallon, people will wait for the technology to get a little cheaper and more relaible. At some point i expect displacement technology to push oil prices right down.

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Well, we'll see if Zapata was right in the coming weeks.

His calls elsewhere have been pretty good.

If you listen to his argument , this is a short-term squeeze that's going to cause a spike in a long-term bull market.

Since we recored it oil is up over 5%

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On the way home tonight I was reading 'Car' magazine. Not the most green publication. However, there was a whole section on fuel efficient cars. GM expect to launch their flex technology in 2010-2011. The car will do 150mpg.

Assuming that it gets a full recharge from the grid at night. 50 mpg is the quoted figure for normal "hybrid" mode. Pretty sure I can get that from a fairly standard Euro-diesel already. This is about the car companies hoping to profit from the general "Green sentiment", nothing about conserving resources at all.

I reckon the oil companies are milking this for all their worth. They know the green thing will kill them off, so they are using lack of supply argument to push up prices. Once the displacement technology nears, they will ease back oil prices a little bit at a time to hold off the replacement of existing technology with this new stuff. A hybrid car that does 150mgp costing 30k is easier to justify when oil is at a 150 USD per gallon. When oil is 80 a gallon, people will wait for the technology to get a little cheaper and more relaible. At some point i expect displacement technology to push oil prices right down.

Oil companies are constrained by the marginal production cost of oil. At the moment, to satisfy ongoing demand, very unpromising resources (rocks which need to be heat treated to release oil) are being utilised. That cost of the last barrel used today, is the cost of every barrel used today, thanks to the "market". I don't know of any other viable method of pricing it, that would be acceptable in a capitalist system.

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Guest Mr Parry
Hi Mr. Parry :rolleyes:

How is Thailand or are you in the Uk?

Still the UK. :( Trying to make sense of the Olympic Park regen contract for which I'm apparently key to it's sucess. Oh sh1t! Needless to say health is finally packing up so I'll most likely be back in Bang Saray by next week and they'll just have to use Wembley!

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Guest Charlie The Tramp
there's plenty of oil left camp.

It`s there alright, just have to drill deeper. :P

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Lots of oil left, even the peak-now guys will tell you there is at least as much left as we have extracted to date. However, as a graphic illustration, someone over at the oildrum made this observation: the greater part of the remaining oil are the shales and tar-sands. To actually get the oil out of these is as difficult a task as refining our ashphalt hard-top road surfaces for fuel. The roadtops are closer to hand....It is not the quantity of reserves that's going to cause the problem, it's the possible rate of extraction.

Smoke and mirrors.

Canada is blowing all its natural gas to exploit tar sands. Great idea that, use the cleanest of fossil fuels to exploit a really nasty dirty fuel. :angry:

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Guest Mr Parry
Smoke and mirrors.

Canada is blowing all its natural gas to exploit tar sands. Great idea that, use the cleanest of fossil fuels to exploit a really nasty dirty fuel. :angry:

Reclaimed Fuel Oil - it's the future. Paying 5-7p/litre for RFO to feed Thermal Desorption Plant (big fiery thing that cooks contaminated soil)

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Smoke and mirrors.

Canada is blowing all its natural gas to exploit tar sands. Great idea that, use the cleanest of fossil fuels to exploit a really nasty dirty fuel. :angry:

They're even considering building a nuke to get at it too, I heard. That'll stuff the EROIE.

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I kind of doubt a run up of that magnitude might happen right now, there might be a run up though, but this would not be caused by any issues with oil deposits or anything, or any real inability to supply oil, but rather the complex financial sanctions that the US has put on all trade with Iran:

http://japanfocus.org/products/details/2707

Basically they are bullying financial institutions outside of America not to do business with Iran, because they are supposedly "laundering money", a charge they probably just made up because it fit the laws available. America is big time into using the financial tools as a weapon of war. If you are a fool, you might applaud the Americans actions, but that stuff can be used against us, and will be used against us, that kind of weapon could be far more effective against us than a place like Iran:

[shock and Awe’s authors wrote:]

"Economic sanctions are likely to continue to be a preferable political alternative or a necessary political prelude to an offensive military step . . . In a world in which nonlethal sanctions are a political imperative, we will continue to need the ability to shut down all commerce into and out of any country from shipping, air, rail, and roads. We ought to be able to do this in a much more thorough, decisive, and shocking way than we have in the past . . . Weapons that shock and awe, stun and paralyze, but do not kill in significant numbers may be the only ones that are politically acceptable in the future."

It was only a matter of finding a sanctions strategy systematic enough to make this more obscure portion of the Shock and Awe doctrine operational. What Ullman and Wade could not have imagined was that Washington's global planners would use extraterritorial legal powers and its financial clout to coerce the global banking industry into accepting US foreign policy diktat. North Korea was a test-run for the new strategy of Shock and Awe financial sanctions. As Washington Post columnist David Ignatius put it in February 2007, “[t]he new sanctions are toxic because they effectively limit a country's access to the global ATM. In that sense, they impose -- at last -- a real price on countries such as North Korea and Iran.”

What then will the impact be of this US-Iran banking standoff? For the US, almost no impact at all. Treasury bureaucrats will spend some time and a little taxpayer money making phone calls, checking computer screens and paper trails to monitor global banking compliance with sanctions. The cost of financially ostracizing Iran will be a bargain for US taxpayers compared with the eventual $3 trillion cost of the Iraq and Afghanistan wars estimated by Nobel prize-winning economist Joseph Stiglitz and Harvard financial expert Linda Bilmes.

Do you think it is a coincidence that Ninja loans that should never have been made somehow wound up destroying the balance sheet of German and British banks amongst others? Do you think it was just a turn of phrase when Warren Buffet called derivatives a weapon of mass destruction? They have made financial weapons, a new form of weapon, weapons primarily designed to destroy advanced competitor economies.

Edited by Della

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  • 295 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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