Oil Slick Stuff

[nnuut]

No, that's a 3-legged jackup. Those are legs sticking up in the air, not drilling derricks.

There are already multi-well platforms out in the GOM with 8 or more producing wells on them. Three is no big deal.

Great, I like 8 much better!! You must be a Oil Woman?

 

[hessian]

My bet is Fay is headed for Georgia (if Big Oil has anything to say about it -re: your post #4051)! :nuts:
Better watch out Nnutt, and think about honkering-down there!
"You're messing with the primal forces of nature here, Mr. Beal" (from the the 1970s movie: "Network"!)

Nnuut, I HAD to post this - I actually found to video clip (from the movie "Network")!
Its scary, so grab a couple cold ones, and hold tight!
(Check out some of the other clips there, too, like: Network - Arabs are simply buying us)

- and just think, this was from the 1970s!!!

 

[nnuut]

Thanks, NOW I've just got to see this one!! Is it Deja vu backwards all over again or what? Freaky!!View attachment 4496

 

[nnuut]

Gas price decline nears 40 cents

Retail prices drop for 34th straight day to a national average of $3.717 a gallon, remaining over $4 in four states.

By Kenneth Musante, CNNMoney.com staff writer
August 20, 2008: 7:37 AM EDT

Solving the energy crisis: You decide
As Americans grapple with record oil and gas prices, politicians facing angry voters have offered up a variety of solutions. Tell us what you think. View photos

NEW YORK (CNNMoney.com) -- Gasoline prices have fallen nearly 40 cents a gallon from their record highs after 34 straight days of declines, according to a daily survey released Wednesday.
The price of regular gasoline fell to $3.717 a gallon from $3.73 a day earlier, according to a survey of gas station credit card swipes from motorist group AAA and the Oil Price Information Service.
Gas prices have fallen more than 9% since hitting a high of $4.114 a gallon on July 16. The drop mirrors a 22% decline in crude price futures from their record high of $147.27 a barrel.
A major test for energy prices comes Wednesday when the government issues its weekly inventory report. Analysts surveyed by energy information service Platts expect gasoline supplies to have declined 3 million barrels, a signal that - squeezed between high crude prices and lower consumer demand for pricey fuel - refiners faced with razor-thin profit margins may have been forced to cut back production
Diesel: Diesel fuel, which is used to power most trucks and commercial vehicles, fell to $4.359 a gallon from $4.373 a day before, according to AAA.
Because of its use in shipping and transportation, high diesel prices can drive up operating costs, which companies then pass along to buyers by raising prices.
High fuel prices were partially responsible for driving wholesale prices up 9.8% over the past 12 months, the sharpest yearly jump since the 1980s.
Ethanol: The price of E85, an 85% ethanol blend, fell to $3.035 a gallon on average from $3.041, AAA reported.
Expensive petroleum-based fuels have helped raise the profile of corn-based ethanol, which can be used as a gas alternative in specially configured "flex-fuel" vehicles.
However E85 fuel is difficult to find outside the corn-producing midwest region, and is not sold in some states. It also generally burns less efficiently than gasoline.
According to AAA estimates, drivers of flex-fuel vehicles running E85 would have to pay the equivalent of $3.994 a gallon to get the same mileage as gasoline.
State prices: Gasoline remained above an average of $4 a gallon in four states, according to AAA: Alaska, the most expensive state at $4.576 a gallon, Hawaii at $4.435 a gallon, California at $4.018 and Utah at $4.014.
The cheapest gas on average was found in Missouri at $3.484 a gallon, followed by South Carolina at $3.496.
Diesel prices were most expensive in Hawaii, with drivers paying an average of $5.309 a gallon. Diesel was cheapest in Missouri, where prices fell to an average of $4.085.
http://money.cnn.com/2008/08/20/news/economy/fuel/index.htm?postversion=2008082007

 

[luv2read]

Western GOM Oil, Gas Lease Sale Opens Wednesday
U.S. Department of the Interior 8/19/2008
URL: http://www.rigzone.com/news/article.asp?a_id=65637

Secretary of the Interior Dirk Kempthorne will officially open the Minerals Management Service’s Outer Continental Shelf (OCS) oil and gas Lease Sale 207 for the Western Gulf of Mexico at 9 a.m. CDT, Wednesday, August 20, 2008 in New Orleans, Louisiana. Secretary Kempthorne will open and read the first bid.
At the conclusion of the sale, at approximately 11 a.m., Secretary Kempthorne will host a press conference to announce the final bid total as well as the significance of this sale to the nation’s current energy discussion.

Who: Secretary of the Interior Dirk Kempthorne
C. Stephen Allred, Assistant Secretary, Land and Minerals Management
Randall Luthi, Director, Minerals Management Service
What: Secretary Kempthorne opening and closing of the Western Gulf of Mexico Lease Sale 207
When: August 20, 2008: 9 a.m. CDT for opening remarks and first bid reading;
Approximately 11 a.m. CDT for press conference.
Where: Royal Sonesta Hotel New Orleans: Regal Suite (1st Floor), 300 Bourbon St.
New Orleans, La.
Media: Media representatives unable to attend the Lease Sale in New Orleans may
participate in the press conference at 1-800-857-9037. The passcode is:
5856280.
Background Information:


Lease Sale 207 includes 18 million acres in the Western Gulf of Mexico. Historically the Western Gulf lease sales are not as active in bidding as Central Gulf sales but it should be noted:

• This is the first sale since President Bush lifted the executive ban on OCS leasing. The national focus has shifted to the potential of increased offshore energy production, which will continue to be under a strict regulatory regime of safety and environmental safeguards.
• The Sale is an excellent backdrop to better inform the current discussion about energy production in the United States. Sales such as this are the first step in what is normally a lengthy process to explore and develop offshore oil and gas resources.
• But even after a company invests up to a billion dollars or more in a lease during pre-production activities and spends several years engaged in multiple inspections, reviews, and strict government oversight, there’s a very real possibility that no amount of oil or natural gas will be found or produced.
• Secretary Kempthorne earlier this month announced the initial steps of a new Five-Year Outer Continental Shelf Oil and Gas Leasing Program that could provide a significant advantage for the next administration, offering options two years earlier than the current Five Year Program.

Also of interest, McCain kicked off his campaign in New Orleans, and visited again yesterday, including a trip to an offshore platform; Bush is visiting TODAY (maybe a suprise appearance at the lease sale...hmmm?); McCain announces his running mate 8/29...the 3-year anniversary of Hurricane Katrina, a tie-in with kicking off his campaign in New Orleans and its significance to energy exploration and development.

 

[nnuut]

drill, drill, drill!!

 

[luv2read]

Looks like Bush is still political poison though, otherwise it seems like they would have coordinated their visits to appear together.

 

[luv2read]

Venezuela Backs Production Cut if Oil Prices Keep Falling
Xinhua Financial News 8/19/2008
URL: http://www.rigzone.com/news/article.asp?a_id=65654

Venezuela will propose production cuts at the next OPEC meeting in September if oil prices continue to fall, Energy and Petroleum Minister Rafael Ramirez said Tuesday.

"If there is a trend or dynamic toward lower oil prices, Venezeula will consider the possibility of a cut in production. This is the position that we will take at the next OPEC meeting" in Vienna in September, Ramirez said in remarks released by the ministry.

The fall of oil prices by "more than $20 clearly shows that there has been speculation in the market," the minister said.

"The price must be maintained at a level close to $100, because the costs have increased," he said.

Oil prices fell to $112 a barrel after hitting record highs above $147 last month.

I think I found out who bought all that oil last week...China has 3 new refineries coming online before the end of the year...makes sense to buy the cheap oil now.

Sinopec Suspends Gasoline, Diesel Imports
Dow Jones Newswires
Tuesday, August 19, 2008
BEIJING (Dow Jones)
China Petroleum & Chemical Corp (SNP) has indefinitely suspended gasoline and diesel imports in the latest indication that China's domestic fuel shortage has eased.
The decision by Sinopec means it won't import gasoline and diesel in the near term. A company official said Tuesday that a resumption of imports will depend on market conditions; he didn't elaborate. The move is expected to weigh down Asian fuel prices and aggravate an oversupply in the Singapore market, where Sinopec has been a major buyer...

In recent months, Sinopec and rival PetroChina Co. (PTR) engaged in heavy buying of foreign diesel and gasoline in the hope of preventing fuel shortages during the Olympic Games in Beijing.With the games' end now in sight, Zhang Guobao, head of China's National Energy Administration, said earlier this week that diesel was no longer in short supply in China.

Moreover, with new refineries about to come on stream, demand for imported gasoline and diesel is expected to weaken in coming months. Analysts expect China to add around 1.1 million-1.2 million barrels a day of capacity by year-end, up 15% from around 8 million barrels a day of refining capacity at the end of 2007.

Due to start are three greenfield refineries with a combined capacity of 640,000 barrels a day: Sinopec's 200,000-barrel-a-day Qingdao refinery; PetroChina's 200,000-barrel-a-day Qinzhou refinery; and China National Offshore Oil Corp.'s 240,000-barrel-a-day Huizhou refinery. Some existing plants will be expanded.
In confirming the import suspension, the Sinopec official, who declined to be named, said "the (domestic) market is no longer experiencing a shortfall, so we have no need to purchase fuel from outside suppliers, including imports and other domestic refiners."

http://www.downstreamtoday.com/News/ArticlePrint.aspx?aid=12415

 

[nnuut]

Surprise surprise!

Oil off its highs on supply report

Futures ease after a government report shows that stockpiles of crude jumped much more than expected last week.

By Catherine Clifford, CNNMoney.com staff writer
Last Updated: August 20, 2008: 10:44 AM EDT

NEW YORK (CNNMoney.com) -- Oil prices fell off its highs Wednesday after a government report said crude inventories shot up much more than expected in the past week.
U.S. light sweet crude for September delivery rose $1.54 to $116.07. Just before the Energy Information Administration released its report, oil was up $2.28 at $116.81.
Crude oil inventories climbed by 9.4 million barrels in the week ended Aug. 15. Analysts forecast a much more modest build of 1.7 million barrels according to a survey from Platts, an energy research firm.
Total gasoline inventories fell by 6.2 million barrels last week, which was a much bigger decrease than the 3 million barrel drop that economists were expecting.
Distillate fuel inventories rose by 500,000 barrels last week, which was less than the 1.2 million barrel jump in supplies that analysts were predicting. http://money.cnn.com/2008/08/20/markets/oil/index.htm?postversion=2008082010

 

[nnuut]

Oil down on inventories, but watch out for Fannie and Freddie!:worried:

Stocks stage advance

Equities jump as oil prices erase losses and turn lower. HP's earnings news overshadows Fannie and Freddie fears.

Last Updated: August 20, 2008: 11:30 AM EDT

Fannie, Freddie plunge again

NEW YORK (CNNMoney.com) -- Stocks turned higher near midday Wednesday as Hewlett-Packard's earnings and a government report showing a surprisingly large surge in crude supplies helped investors look beyond the latest financial market woes.
The Dow Jones industrial average (INDU) added 0.8% almost two hours into the session. The broader Standard & Poor's 500 (SPX) index gained 0.7% and the Nasdaq composite (COMP) gained 0.9%.
Stocks had fallen in the first hour of trade as oil prices jumped and Fannie Mae and Freddie Mac concerns overshadowed HP's earnings.
But the tone improved after the 10:30 a.m. ET release of the government's weekly oil inventories. That report showed a stronger-than-expected jump in crude inventories, sending oil prices lower.
Wall Street retreated for the first two sessions of the week on a mix of higher oil prices, a weaker dollar, sluggish readings on the economy and more housing and credit market malaise. [more] http://money.cnn.com/2008/08/20/markets/markets_newyork/index.htm?postversion=2008082011

 

[luv2read]

Hmmm...somebody...probably China...bought a LOT of cheap oil 8/15. Inventories should be DOWN for last week, not UP. Maybe that will show up next week for THIS week....which should be UP. Bet it's DOWN. Anybody take that bet?

They're stocking up for their new refineries, buying crude and oil & gas assets.

CNPC, Sinopec in Joint Bid for Peru's Petro-Tech
AFX News Limited 8/19/2008
URL: http://www.rigzone.com/news/article.asp?a_id=65632

China's CNPC and Sinopec Group have put in a rare joint bid of between $1.5 billion and $2.5 billion for Petro-Tech Peruana, a private firm with oil and gas assets in Peru, a Beijing-based industry official said on Tuesday.
The Chinese firms, teamed up under Beijing's coordination, expected Petro-Tech to announce the result by about late September, the source familiar with the bid told Reuters.
After a flurry of overseas deals in the first half of the decade, the world's second-largest oil user appears to have slowed acquisitions as big, premium-quality assets get more scarce and costly with surging oil prices, forcing its state firms to look at smaller assets.
Increasingly, there is more coordination among Beijing's oil trio -- CNPC, Sinopec and offshore specialist CNOOC Ltd -- to avoid clashes in competing for the same targets.
"With little success securing bigger assets, companies are now forced to look at medium or small-sized ones like this Peru one," said the source.
"Then it means you pay a higher cost per barrel."
The source, who requested anonymity, said Petro-Tech currently produces close to 22,000 barrels per day of oil offshore Peru.
Sinopec or CNPC officials were not immediately available for comment. Sinopec Group is parent of top Asian refiner Sinopec Corp, and CNPC parent of PetroChina, Asia's largest oil and gas firm.
Petro-Tech, operates shallow-water offshore blocks in Peru covering more than 5 million acres. The firm in recent months, including a gas find in June at Block Z-2B off Peru's northern coast, close to its San Pedro field that was discovered in 2005.
Petro-Tech, owned by Houston-based Offshore International Group, in April found an oil reserve of 1.13 billion barrels at block Z-6, also in northern Peru.

 

[airlift]

Nnuut,
I thank you for the excellent posting regarding Playstation 3 and The No Zone oil exploration map.

In my opinion there is no patriotic reason to prevent reasonable people from reaching a middle ground compromise that ensures both a clean, controlled exploration and exploitation of submerged oil, as well as a full fledged National Mission to explore alternative fuels. A proviso can be inserted in the legislation to prevent anyone from derailing the National purpose. We must strive to free the United States from the grip of foreign nations and foreign nationals. Is this too complicated for our countrymen to understand?

drill, drill, drill!!

 

[nnuut]

You hit the nail on the head Airlift. Do everything possible right now, hit all the bases and we may beat this thing. Action is REQUIRED NOW!! It's simple common sense.:nuts:

 

[airlift]

This sounds like one more conspiracy theory, but it seems that silent moneys abound in order to stop all efforts to change the Status-quo. If the effort gets close to being accepted by mainstream Americans, you could start seeing the voices of reason being accused of being communists, or something of the sort. For such things, governments have previously destroyed the reputation of opposing voices. Greed, selfishness, and vested interests/rights are much to blame for inaction, or for too much action, or for questionable action. But where is our Country heading?

The very long time span that has transpired since the first OPEC challenge to America in the 1970s is a fine example of planned inaction and indifference. And, a wise man has said that one should stop digging once a hole is dug. Let's get the hell out of this hole with dignity! The YouTube excerpts posted by Hessian have not been discussed, but the issue is VERY important! Pray for help!

You hit the nail on the head Airlift. Do everything possible right now, hit all the bases and we may beat this thing. Action is REQUIRED NOW!! It's simple common sense.:nuts:

 

[luv2read]

I agree 100% with Airlift - both posts.

This is the best analysis of the global interrelationships pressing on the recent debate for OCS oil & gas I’ve ever read. Enjoy.

http://www.nytimes.com/2008/08/19/business/19oil.html?_r=1&em=&adxnnl=1&oref=slogin&adxnnlx=1219244431-VXl9m6HNeZFzll0t2zroYg

 

[James48843]

I will say this one more time for effect:

there IS NO SHORTAGE OF OIL.

There is plenty of oil on the market. There is plenty being refined. The oil companys (Big International Oil) and speculators have run up the price, people are cutting back consumption based on price, and there is no shortage.

Yes, I agree that we should continue to drill, at the same time we doulbe our efforts at alternative, renewable forms of energy- BUT-

Don't think that "drill, drill, drill" is going to solve anything long term. It MIGHT save 11 cents a gallon somewhere ten years from now, but then that will eventually run out too.

Bigger picture- MOVE TO RENEWABLE FUELS (ethanol is my choice unless or until something better comes along.)

 

[luv2read]

I also agree 100% with James. Everything he says is true. You can believe OPEC...there is NO shortage, in fact, there is a 1M BOPD surplus which is why there's a push by some OPEC members to cut production.

 

[James48843]

This is why the price of oil ran up:

One single trader, in one single company, who figured out how to play the market and tie up 11% of all the world's free-market traded oil in a series of speculation plays:


http://www.msnbc.msn.com/id/26321642

"Regulators had long classified a private Swiss energy conglomerate called Vitol as a trader that primarily helped industrial firms that needed oil to run their businesses.

But when the Commodity Futures Trading Commission examined Vitol's books last month, it found that the firm was in fact more of a speculator, holding oil contracts as a profit-making investment rather than a means of lining up the actual delivery of fuel. Even more surprising to the commodities markets was the massive size of Vitol's portfolio -- at one point in July, the firm held 11 percent of all the oil contracts on the regulated New York Mercantile Exchange.

The discovery revealed how an individual financial player had gained enormous sway over the oil market without the knowledge of regulators. Other CFTC data showed that a significant amount of trading activity was concentrated in the hands of just a few speculators.

I would think that he has now probably sold a good portion of that- seeing as the price has come off it's highs.

But you tell me- is it right that a single guy can hold 11% of all the traded oil contracts, and drive the price up 40% over three months, put the money in his pocket, and then bail?

We report-

You decide.

 

[nnuut]

Oil rises on shrinking gas supply

Crude gains more than $1 as investors digest U.S. inventory report showing drop in gasoline stockpiles.

Last Updated: August 21, 2008: 6:19 AM EDT

SINGAPORE (AP) -- Oil prices rose Thursday in Asia above $116 a barrel as investors mulled a fall in U.S. gasoline inventories and a possible output tightening by OPEC at its next meeting in September.
U.S. crude for October delivery was up $1.20 at $116.76 a barrel in electronic trading on the New York Mercantile Exchange by midafternoon in Singapore. The contract rose $1.01 overnight to settle at $115.56 a barrel.
The September contract expired Wednesday after rising 45 cents to $114.98 a barrel.
The price gains came despite a huge rise in U.S. crude inventories. But not all U.S. fuel supplies were abundant.
Gasoline inventories shrank by a larger-than-expected 6.2 million barrels to below-average levels in the week ended Aug. 15, the U.S. Energy Department's Energy Information Administration said Wednesday. Meanwhile, distillate inventories - which include heating oil and diesel fuel - rose by less than expected, the EIA said.[more]http://money.cnn.com/2008/08/21/markets/oil.ap/index.htm?postversion=2008082106

 

[luv2read]

This is why the price of oil ran up:

One single trader, in one single company, who figured out how to play the market and tie up 11% of all the world's free-market traded oil in a series of speculation plays:


http://www.msnbc.msn.com/id/26321642

"Regulators had long classified a private Swiss energy conglomerate called Vitol as a trader that primarily helped industrial firms that needed oil to run their businesses.

But when the Commodity Futures Trading Commission examined Vitol's books last month, it found that the firm was in fact more of a speculator, holding oil contracts as a profit-making investment rather than a means of lining up the actual delivery of fuel. Even more surprising to the commodities markets was the massive size of Vitol's portfolio -- at one point in July, the firm held 11 percent of all the oil contracts on the regulated New York Mercantile Exchange.

The discovery revealed how an individual financial player had gained enormous sway over the oil market without the knowledge of regulators. Other CFTC data showed that a significant amount of trading activity was concentrated in the hands of just a few speculators.

I would think that he has now probably sold a good portion of that- seeing as the price has come off it's highs.

But you tell me- is it right that a single guy can hold 11% of all the traded oil contracts, and drive the price up 40% over three months, put the money in his pocket, and then bail?

We report-

You decide.

So now CTFC and Congress know for sure. Let's see...when did we on the board first say SPECULATORS??? February? So what are they going to do about it?

Sold to China 8/15.