America's Oil Demand

[Lost In Translation]

So, the shortage of oil has led to some emergency meetings (the summit meeting in Saudi Arabia, for example). However, another related problem deals with America's offshore oil mining ban. America's shores are (supposedly) very abundant in oil, and has not been touched for 26 years. The GOP wants to start drilling there again, while the Democrats don't. What do you think, comrades?

[Lost In Translation]

They're saying that the oil companies have yet to drill many places just outside of the banned areas, which, according to them, is filled with oil. Because the Democrats rule Congress and the Senate, Mr.Bush is screwed.

EDIT: here's a citation. http://news.yahoo.com/s/ap/20080619/ap_on_go_pr_wh/offshore_oil
(http://news.yahoo.com/s/ap/20080619/ap_on_go_pr_wh/offshore_oil)

[MarxSchmarx]

The offshore drilling idea is incredibly idiotic.

First, it will take years before enough rigs are built to have an impact on supply and prices. By then we will probably have adjusted to high prices.

Second, the current spike in oil prices is based on speculation about long-term demand rather than constricted supply. It is not so much China and India demanding more oil, as it people buying up oil in anticipation that China and India will demand a lot more oil. Therefore, increasing supply will do very little to help.

[Joe Hill's Ghost]

Yup, its a real dead end. It'll take 7 years just to pump the shit out of the ground, and the oil won't be cheap, since offshore drilling never is. Rather its best to focus our efforts on renewable energy since it'll provide a lot more jobs and actually help stop global warming.

[rampantuprising]

The offshore drilling idea is incredibly idiotic.

First, it will take years before enough rigs are built to have an impact on supply and prices. By then we will probably have adjusted to high prices.

Second, the current spike in oil prices is based on speculation about long-term demand rather than constricted supply. It is not so much China and India demanding more oil, as it people buying up oil in anticipation that China and India will demand a lot more oil. Therefore, increasing supply will do very little to help.


i understand that it will take a lengthy amount of time to establish rigs off both coasts, but in the long run you don't see it as an alternative to dependency to oil providers in the hostile middle east? (also venezuela)

[Pifreak]

The first problem is the oil companies. Did you know that Exxon Mobil, the company responsible for the Exxon Valdez oil spill (the biggest oil spill ever, even though it was back in 1989), recently had its penalty for the oil spill reduced from $2.5 billion to $0.5 billion?

Besides, the oil companies don't need to budge, since they're making record profits off gas prices that are really high supposedly because of oil shortages. But who really knows the difference between gas prices today and what they actually should be?

[MarxSchmarx]

The first problem is the oil companies. Did you know that Exxon Mobil, the company responsible for the Exxon Valdez oil spill (the biggest oil spill ever, even though it was back in 1989), recently had its penalty for the oil spill reduced from $2.5 billion to $0.5 billion?

The oil companies won't make this profit if the speculators weren't buying their product :p


i understand that it will take a lengthy amount of time to establish rigs off both coasts, but in the long run you don't see it as an alternative to dependency to oil providers in the hostile middle east? (also venezuela)

1. Why is dependency so bad?
2. Don't you think the only long run alternative is non-fossil fuel energy sources?

[rampantuprising]

The oil companies won't make this profit if the speculators weren't buying their product :p


1. Why is dependency so bad?
2. Don't you think the only long run alternative is non-fossil fuel energy sources?


why is dependency so bad? because we don't belong in Iraq for one thing, and establishing solid, long-term non-fossil fuel energy sources would take just as long as drilling off of our own coasts anyway. i'm not saying it has to be one or the other, but we have to settle for fossil fuels until an alternative is created on a scale large enough to support our energy needs

[MarxSchmarx]

why is dependency so bad? because we don't belong in Iraq for one thing,

Well, Iraq aside, I am sorry, but Hugo Chavez having a say on how American society should be run is relatively acceptable in my book. Any good leftist should prefer a President Chavez to any of the clowns with a serious chance at the oval office.


establishing solid, long-term non-fossil fuel energy sources would take just as long as drilling off of our own coasts anyway. i'm not saying it has to be one or the other, but we have to settle for fossil fuels until an alternative is created on a scale large enough to support our energy needsI think it has to be one or the other. Even if we drill offshore, that's just a "stay of execution" in the best of circumstances. If we develop alternatives to fossil fuels, we can solve this problem once and for all. If they both take about the same amount of time, the rational solution MUST be the development of alternatives.

[rampantuprising]

couldnt agree with you more about following in chavezs' footsteps, its just that with the u.s. backing of that right-wing nut job in colombia (can't remember his name) with counterrevolutionary policy and whatnot, seems to me that hugo has pretty much got us by the balls as far as either providing us with oil or cutting us off completely. it his call ya know?

[Lost In Translation]

couldnt agree with you more about following in chavezs' footsteps, its just that with the u.s. backing of that right-wing nut job in colombia (can't remember his name) with counterrevolutionary policy and whatnot, seems to me that hugo has pretty much got us by the balls as far as either providing us with oil or cutting us off completely. it his call ya know?

I'm not really sure whether or not Chavez has the US in his hands in terms of oil demand. The Canadians are more than eager to supply the Americans with oil (and water, for that matter). However, OPEC countries do supply most of the oil America consumes (citation needed), so this might be a crucial blow for the Americans.