Oil Industry Put To Reality Check

After days of falling, oil climbed a bit on Friday. But it's still selling for around $50 a barrel.

[dillon]

I remember not to many years ago that $30.00 a barrel oil was high and the producers made plenty of money. What has changed? They should have plenty of money in the bank from the inflated prices of the last year.

[Aequ1tas]

Just one more reason I'm glad that I live here.

[Aequ1tas]

Let me clarify: I am glad that I live here to the extent that we have been practically shielded thus far, but it would be tragic if a large chunk of those in the oil and gas industry were to lose their jobs.

I work in the financial industry and I know from personal experience that these times can be hard for many, but if you compare our state's economic forecast to some of the others around the nation we aren't doing too bad economically.

[Its a scary world]

dillon wrote:

I remember not to many years ago that $30.00 a barrel oil was high and the producers made plenty of money. What has changed? They should have plenty of money in the bank from the inflated prices of the last year.

I agree. I don't pretend to know everything, but I do know that just a couple of years ago this is what we were paying and there were no fears about the oil companies making a profit. They have been making record profits for the last couple of years, and they say they can't survive now... Doesn't make sense to me. And anyway, with all the money they have put in the bank, if they are ready to jump ship this quickly then they are just stupid.

[dan]

dillon wrote:

I remember not to many years ago that $30.00 a barrel oil was high and the producers made plenty of money. What has changed? They should have plenty of money in the bank from the inflated prices of the last year.

Let me clear this up for you. Remember a few years ago what it cost to put a kid through college look at what it is now. Remember a fer years ago what a gallon of milk cost, compare it to today. A few years ago I purchased some land for $1200 dollars an acre, I just purchased some land across the street for $4000 an acre. Look around your self and you will see why $30 a barrell won't cut it.

[Le Jimbo]

When are the companies going to live within their means as we have to do. We can't inflate our salaries like they can oil futures.

[Jan Mansfield]

I being a Roalty owner would just like to see it tap off about 100.00 a barrel that way it would not break everyone and we could live with that but to go from being so high then drop so low this is just a bad deal.

[Rick Thompson]

If Oklahoma is so recession proof why are none of our cities in the list of recession proof areas? Government studies don't list a think in Oklahoma

[dillon]

dan wrote:

<quoted text>
Let me clear this up for you. Remember a few years ago what it cost to put a kid through college look at what it is now. Remember a fer years ago what a gallon of milk cost, compare it to today. A few years ago I purchased some land for $1200 dollars an acre, I just purchased some land across the street for $4000 an acre. Look around your self and you will see why $30 a barrell won't cut it.

I am talking about 2 years ago.

[dan]

dillon wrote:

<quoted text>
I am talking about 2 years ago.

Do some research. Oil prices two years ago was about $60 a barrell. Oil has not been $30 a barrell since 2002. That also happens to be when I purchased the land for $1200 an acre. Call your the University of Texas and compare tuition prices from 2002 and 2009.

Do you owne any oil stocks or royalities?

[Matt]

$50 a barrel oil is reasonable. These folks are making money, just not hand over fist like they want. $100 is too high, period. Those of us who actually work for a living simply cannot afford motor fuel at that price. So all the talk about prices going higher than they were is just that: Talk. The oil companies talked the price of fuel upward until they nearly crashed the economy. It sure looks like some of the oil folks still haven't learned........

[I am not a number]

dan wrote:

<quoted text>
Let me clear this up for you. Remember a few years ago what it cost to put a kid through college look at what it is now. Remember a fer years ago what a gallon of milk cost, compare it to today. A few years ago I purchased some land for $1200 dollars an acre, I just purchased some land across the street for $4000 an acre. Look around your self and you will see why $30 a barrell won't cut it.

One of the reasons a gal. of milk cost so much now, is because of how much the damn gas cost the guy who shipped it to the store. He had to make his money too. I wont even mention how much gas/oil cost anyone else in the "milk" chain from farm to store.
Let me clear one other thing up, part of the problem we are in today is because the price of gas almost broke our economy. Yea, i know $800,000 homes, that should cost $200,000 in CA didnt help either.
But lets not act like the oil companies are doing us any favors, PLEASE!

[Oklahoma Girl]

You won't catch me shedding any tears for the oil producers. They should have been smart enough to save some of that $150 per barrel oil money for a rainy day. Matt, I agree that the oil companies high fuel prices are responsible for this economic tumble. When you raise fuel prices so high that people can either buy fuel to get to work or make their house payment, guess what happens?

[dan]

I am not a number wrote:

<quoted text>
One of the reasons a gal. of milk cost so much now, is because of how much the **** gas cost the guy who shipped it to the store. He had to make his money too. I wont even mention how much gas/oil cost anyone else in the "milk" chain from farm to store.
Let me clear one other thing up, part of the problem we are in today is because the price of gas almost broke our economy. Yea, i know $800,000 homes, that should cost $200,000 in CA didnt help either.
But lets not act like the oil companies are doing us any favors, PLEASE!

If you believe that your just plain wrong. I just purchased gas at $1.59 a gallon. and the price of milk has not changed. The oil companies have been supplying excellent paying jobs for about a century. Regulations and this fake global warming stuff is choking this country to death. Gas was expensive but it was not even close to breaking this econemy. Research this; see how much money was spent in the USA last year on porn, tobacco and beer. If the econemy is broke how can that happen. Even now people are talking about this being a great depression. Not even close, in 2009 people in this country will spend trillions of dollars on illegal drugs, alchoul, porn and tobacco. If you are smart you are buying oil/gas and oil service stocks. This will be one of the times in history to get rich. The winey liberal part of America will buy the beer, drugs and porn and not make wise investments. When this turns around they will once again cry about the oil companies screwing them. Quit griping and help your country.

[dan]

Oklahoma Girl wrote:

You won't catch me shedding any tears for the oil producers. They should have been smart enough to save some of that $150 per barrel oil money for a rainy day. Matt, I agree that the oil companies high fuel prices are responsible for this economic tumble. When you raise fuel prices so high that people can either buy fuel to get to work or make their house payment, guess what happens?

Ignorance, read the above poast and explain to me how trillions were spent on the drugs, alcohoul, tobacco, and porn. It is not logical that trillions spent on those products. Houses are being reposesed because people are spending more money than they are making. Watch the news their at the gas station complaining about the price of gas ($1.59 gal) and saying they are being evicted. Then they buy a 30 pack, carton of cigs and call for phone sex on their I-phone. If you dont want to research all the things I mentioned just look up how much money is spent in Indian Cassinos just in the state of Oklahoma. People need to save more and wine less.

[Dumb Ole Country Boy]

Yeah, well you raped the world of all the money until the world went broke.
Now live with the result - you money hungry b@st@rds!
See how the rest of us live now. I have zero sympathy for you greedy f#ckers!

[daf]

Have you guys ever stopped to see how oil is refined into gas. It is the first thing to come off the top of the cat cracker, the cheapest and easiest thing to manufacture out of a barrell of oil. Not to mention the millions of gallons stored around the USA. There is absoultly NO reason except pure greed for the prices we pay. Sure they turned up the heat this summer to see how long we would sit and fry, THEY FOUND OUT. The longer everyone just throws out foul language and don't go after the real crooks, the hotter it is gonna get for all of us. this country was founded because our forefathers were tired of the opression of the rich. They said enough, when are we going to get it together and say enough! But then we would all have to get up out of our easy chairs, put away the remotes and remember how to make our voices be heard, if such a pipe dream can still be obtained.

[shame]

Its a shame that regardless of what replys I may get or how harsh people react. It is and always will be the honest truth is that the oil industry got us where we are today. The economy was fine until they decided to gouge us and it was then and only then people started to default on their home loans. 30 dollars a barrel would choke the oil industry I agree but hey turn about is fair play. They chocked us let them choke. I never once saw any oil company employees complaining about how they could not afford to make it and they proved my point by even getting on here bragging about how they were making 2000 every 2 weeks.

Make some cuts like we did oil industry and adapt to the life style all of us had to endure. And to even say thousands of jobs are at risk look how many people lost their jobs because they simply could not afford to pay the bill it cost just to get to work.

Point being said drop it to 30 dollars a barrel and let life slowly adapt back to the way it was! Sure this wont never happen but hey We made it on 30 dollars a barrel then Im sure we can do it again!!!!!!

[dillon]

dan wrote:

<quoted text>
Do some research. Oil prices two years ago was about $60 a barrell. Oil has not been $30 a barrell since 2002. That also happens to be when I purchased the land for $1200 an acre. Call your the University of Texas and compare tuition prices from 2002 and 2009.
Do you owne any oil stocks or royalities?

it sounds like all you are interested in is your profits. Same thing the big oilo companies are doing. I am worried more about the common man.

[dillon]

Matt wrote:

$50 a barrel oil is reasonable. These folks are making money, just not hand over fist like they want.$100 is too high, period. Those of us who actually work for a living simply cannot afford motor fuel at that price. So all the talk about prices going higher than they were is just that: Talk. The oil companies talked the price of fuel upward until they nearly crashed the economy. It sure looks like some of the oil folks still haven't learned........

very well put!