Yet ANOTHER Obama Administration Fail...

Yet ANOTHER Obama Administration Failure!

Posted in the Albuquerque Forum

Since: Dec 10

Albuquerque

#1 Nov 12, 2012
U.S. To Top Saudi Arabia In Oil Production

IGOR BOBIC 10:49 AM EST, MONDAY NOVEMBER 12, 2012

The United States is expected to become the world's top oil producer, topping Saudi Arabia and Russia, by 2017, according to the International Energy Agency (IEA), Reuters reports, even projecting an "all but self-sufficient in net terms" U.S.:

"The recent rebound in U.S. oil and gas production, driven by upstream technologies that are unlocking light tight oil and shale gas resources, is spurring economic activity - with less expensive gas and electricity prices giving industry a competitive edge," it added.

The IEA said it saw a continued fall in U.S. oil imports with North America becoming a net oil exporter by around 2030 and the United States becoming almost self-sufficient in energy by 2035.

"The United States, which currently imports around 20 percent of its total energy needs, becomes all but self-sufficient in net terms - a dramatic reversal of the trend seen in most other energy importing countries," it said.

Since: Dec 10

Albuquerque

#2 Nov 12, 2012
PSYCH!

That's right folks, all this BS about Obama being the death of the oil patch is a complete fabrication.

Time for conservatives to reconsider their choices in news sources. Or do you think that Republican Math® is still working for you, even after the votes were tallied?
Native American

Albuquerque, NM

#3 Nov 12, 2012
Sorry for my ignorance, I have always thought the oil companies found, refined, and delivered my gasoline. A true revelation to learn B & M Obama are oilfield trash just like T Boone.
Native American

Albuquerque, NM

#4 Nov 12, 2012
Thank horizontal drilling and hyd fracking with kudo to 3D seismic.....that would appear much more intelligent than rewarding some politician for providing more energy. In this case "they" did build it!!!
Hagar

Sterling Heights, MI

#5 Nov 12, 2012
walterfm wrote:
U.S. To Top Saudi Arabia In Oil Production
IGOR BOBIC 10:49 AM EST, MONDAY NOVEMBER 12, 2012
The United States is expected to become the world's top oil producer, topping Saudi Arabia and Russia, by 2017, according to the International Energy Agency (IEA), Reuters reports, even projecting an "all but self-sufficient in net terms" U.S.:
"The recent rebound in U.S. oil and gas production, driven by upstream technologies that are unlocking light tight oil and shale gas resources, is spurring economic activity - with less expensive gas and electricity prices giving industry a competitive edge," it added.
The IEA said it saw a continued fall in U.S. oil imports with North America becoming a net oil exporter by around 2030 and the United States becoming almost self-sufficient in energy by 2035.
"The United States, which currently imports around 20 percent of its total energy needs, becomes all but self-sufficient in net terms - a dramatic reversal of the trend seen in most other energy importing countries," it said.
You believe them and want to wait to 2030 or 2035 for the US to rebound? Why didn't we get started years ago, like in 2009? Because BO wouldn't let us!

“I Am No One To Be Trifled With”

Since: Jun 09

Dread Pirate Roberts

#6 Nov 12, 2012
walterfm wrote:
U.S. To Top Saudi Arabia In Oil Production
IGOR BOBIC 10:49 AM EST, MONDAY NOVEMBER 12, 2012
The United States is expected to become the world's top oil producer, topping Saudi Arabia and Russia, by 2017, according to the International Energy Agency (IEA), Reuters reports, even projecting an "all but self-sufficient in net terms" U.S.:
"The recent rebound in U.S. oil and gas production, driven by upstream technologies that are unlocking light tight oil and shale gas resources, is spurring economic activity - with less expensive gas and electricity prices giving industry a competitive edge," it added.
The IEA said it saw a continued fall in U.S. oil imports with North America becoming a net oil exporter by around 2030 and the United States becoming almost self-sufficient in energy by 2035.
"The United States, which currently imports around 20 percent of its total energy needs, becomes all but self-sufficient in net terms - a dramatic reversal of the trend seen in most other energy importing countries," it said.
Why is always projected out to sometime way in future when that particular president won't be president any longer?

“I Am No One To Be Trifled With”

Since: Jun 09

Dread Pirate Roberts

#7 Nov 12, 2012
http://www.forbes.com/sites/matthewhulbert/20...
We’ll leave aside the fact that IEA forecasts have a strong track record of being universally wrong, or that a month ago they were pinning all their supply side hopes on Iraq coming good to ‘balance’ international oil markets. Minor stuff; but having just flown over the Bosphorus en route to Ankara via Istanbul, believe me, the world looks very different depending on where you’re sat. Here are 10 reasons for the U.S. to be cautious on energy supply growth, irrespective of however the IEA forecasts play out:
1) America Will Never Be The New Saudi Swing
America is never going to be in a position to produce enough liquids to perform the role of swing producer in the oil world. It might notionally overtake Saudi production by 2017, but that hardly leaves it much export margin to play with. U.S. pricing ‘power’ will purely become a function of how much collateral damage it does to other producer states, not dictating how much consumers have to pay at the pumps.
2) Global Pricing Pressures Will Always Influence US Pumps
By the same token, America can never truly escape international pricing pressures affecting broader supply-demand fundamentals. If anything, once the Obama administration gets to grips with significant infrastructure bottlenecks that have led to an inefficient domestic market, WTI benchmarks will increasingly realign with international prices.‘What happens in the Gulf of Aden still affects what happens in the Gulf of Mexico’.
3) Transitional Friction Will Be Profound
The fact that America has seen such rapacious supply side activity averaging over 500,000b/d in the past four years was good news for President Obama’s re-election, but it’s deeply concerning for traditional producer states. America has played fast and loose with international oil market stability of late, first in Libya, and then in Iran, purely on the back of new oil gains. Assuming U.S. supply growth forces oil under three ($100/b) figures, OPEC states will be in deep political trouble. Supply side outages across producer states will be the result when instability hits. American supply growth will not be in a credible position to settle the markets; consumers will pay a heavy transitional price. The transitional limits of ‘energy independence’ will be clear for all to see, not just in traditional producer states that needed high prices to maintain stability, but a range of new players that all required firm prices to bring difficult fields to the wellhead.

“I Am No One To Be Trifled With”

Since: Jun 09

Dread Pirate Roberts

#8 Nov 12, 2012
http://www.forbes.com/sites/matthewhulbert/20...

But fear not, there’s a silver lining here and it’s the reasonable chance that the IEA is totally wrong. The report spends very little time looking at shale oil decline rates, some of which have dropped to around 20-40% of original production. Nor does it look at the quality of the geology that’s left in America once the juiciest plays are gone. As for political risk, that doesn’t appear to exist in America,(no doubt BP could add a nice chapter for the IEA on that score). Then you get onto break even prices. The IEA genuinely seems to think we’ll only be consuming 99.7mb/d by 2035, up from around 90m/b today. If that’s so, we’ll be swimming in the stuff. Production would need to be so cheap in the U.S. it’s basically free. Rex Tillerson can forget losing his shirt from cheap shale gas; he’ll be down to his y-fronts once China has stripped America bare through relentless liquid investments.

Get the picture; energy gains are great, but everyone should be very careful what they wish for, most of all the IEA, whose political capital frankly doesn’t extent that far these days beyond Washington and Paris. And certainly not in Ankara, if the locals are much to go by…
Hagar

Sterling Heights, MI

#9 Nov 12, 2012
Nor does it account for the tree huggers who hamper every source of energy, even those they previously supported.

Since: Dec 10

Albuquerque

#10 Nov 12, 2012
Hagar wrote:
Nor does it account for the tree huggers who hamper every source of energy, even those they previously supported.
I disagree. Several times I've suggested burning rich people for heat. All that fat makes a great fuel.

“US Navy”

Since: Jan 10

Location hidden

#11 Nov 12, 2012
Hagar wrote:
Nor does it account for the tree huggers who hamper every source of energy, even those they previously supported.
They do present a problem for sure. There would be more water, oxygen and energy were they to remove themselves from the earth.
dpb

La Veta, CO

#12 Nov 12, 2012
You should definitely take your own advice. <grin>

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