Shale Boom in Texas Could Increase U.S. Oil Output

[saywhatkid]

I didn't say not get taxes out of them for freeways and such. How about the same vigor going after pharma and soft drinks industry and cut into their profit margin down to that of the oil companies?

I think it is because more people would be forced to choose between food and medications. When living on fixed incomes, seniors don't have that extra dollar a week. Do you honestly think that pharm makers would absorb the gov't increases?

As for soft drinks, I personally vote with my wallet and refuse to buy them.

 

[saywhatkid]

It cost oil companies billions of dollars each year to invest in oil-related infrastructures and exploration costs with no guarantee they'll see oil or the amount they'll get will help recoup the cost. Something that the average Jane and Joe don't understand. They're just "meanies" and yet they're the ones who made your lives that much more comfortable.

I fail to see the difference. I find it very comparable to pharm companies that spend years researching drugs that often fail. Also, they sometimes have serious side effects that cost untold millions in litigation. Take a look at the list of the richest companies in the world, and you will see American oil companies are very well represented.

I personally have no problem with oil companies. They are just doing the same thing others do, making money with an eye on profits, not charity. It makes no difference what the product is.

 

[kokonut]

I would call that biased speculation on your part.

Not my speculation....

He is not alone. Energy Secretary Steven Chu, prior to his tenure in the cabinet, said:

"Somehow we have to figure out how to boost the price of gasoline to the levels in Europe." To put that in perspective, this week, the price of fuel in Europe was $8 per gallon—nearly twice the price of fuel in the United States.

Viewed in tandem with Obama Administration efforts to slow production from the Gulf of Mexico, block "fracking" a technology that would increase domestic oil production by 40 percent in only five years, and stifle production on public lands, those views, can be seen as nothing less than a concerted campaign to raise the price of energy as a means to force the issue of "green" alternatives.

5-24-11

 

[TXgolfer]

I think it is because more people would be forced to choose between food and medications. When living on fixed incomes, seniors don't have that extra dollar a week. Do you honestly think that pharm makers would absorb the gov't increases?

As for soft drinks, I personally vote with my wallet and refuse to buy them.

they already have a soda tax here in Sunny California (where it happens to be raining)

 

[kokonut]

I fail to see the difference. I find it very comparable to pharm companies that spend years researching drugs that often fail. Also, they sometimes have serious side effects that cost untold millions in litigation. Take a look at the list of the richest companies in the world, and you will see American oil companies are very well represented.

I personally have no problem with oil companies. They are just doing the same thing others do, making money with an eye on profits, not charity. It makes no difference what the product is.

Profit margin for oil companies are on avg around 6.5% It gets even slimmer when their options become more limited such as the moratorium on ocean drilling for oil or limit the oil lease. Plus, hurricanes have a nasty habit of cutting into their profit margins as well. It's a risky business in the oil industry when you have greater and greater uncertainty.

 

[kokonut]

they already have a soda tax here in Sunny California (where it happens to be raining)

It's probably won't be enough....it'll go up again seeing that California is bankrupting itself....and help pay for the health care. Maybe a tax on circumcision might be better?

 

[Foxrac]

Profit margin for oil companies are on avg around 6.5% It gets even slimmer when their options become more limited such as the moratorium on ocean drilling for oil or limit the oil lease. Plus, hurricanes have a nasty habit of cutting into their profit margins as well. It's a risky business in the oil industry when you have greater and greater uncertainty.

It won't matters and they made over billion dollars in profit and they want you to throw $$$$$ on high gas price, even they don't give a fuck about you and any costumers but executives.

If you want energy independence so quit being hook on oil only as energy source and you should do it now instead of wait later.

 

[saywhatkid]

Profit margin for oil companies are on avg around 6.5% It gets even slimmer when their options become more limited such as the moratorium on ocean drilling for oil or limit the oil lease. Plus, hurricanes have a nasty habit of cutting into their profit margins as well. It's a risky business in the oil industry when you have greater and greater uncertainty.

Well, with the total number of dollars they make in profits, and since they are staffed with an army of financial advisors, perhaps they could invest in something more profitable, such as PepsiCo or Eli Lilly?

Why would they continue to do what they do unless they found it more profitable than anything else? If Exxon stopped taking these "risks" I seriously doubt the void would remain for long. They stay the course because it makes sense. Are you suggesting that they should increase their profit margins to reflect similar levels as other companies you mentioned? Would you be in support of this?

As I said, I have nothing against these oil companies. My bigger beef is with people that use their products in an inefficient manner, then whine about the costs.

 

[jillio]

Personally I would rather not drill more.... I think we can get the price where we want it just by threatening to drill more. But it's nice to have it in the ground just in case.

Threats rarely change behavior.

 

[jillio]

Well, with the total number of dollars they make in profits, and since they are staffed with an army of financial advisors, perhaps they could invest in something more profitable, such as PepsiCo or Eli Lilly?

Why would they continue to do what they do unless they found it more profitable than anything else? If Exxon stopped taking these "risks" I seriously doubt the void would remain for long. They stay the course because it makes sense. Are you suggesting that they should increase their profit margins to reflect similar levels as other companies you mentioned? Would you be in support of this?

As I said, I have nothing against these oil companies. My bigger beef is with people that use their products in an inefficient manner, then whine about the costs.

Exactly. That 6.5% doesn't mean much unless applied contextually.

 

[kokonut]

Well, with the total number of dollars they make in profits, and since they are staffed with an army of financial advisors, perhaps they could invest in something more profitable, such as PepsiCo or Eli Lilly?

Why would they continue to do what they do unless they found it more profitable than anything else? If Exxon stopped taking these "risks" I seriously doubt the void would remain for long. They stay the course because it makes sense. Are you suggesting that they should increase their profit margins to reflect similar levels as other companies you mentioned? Would you be in support of this?

As I said, I have nothing against these oil companies. My bigger beef is with people that use their products in an inefficient manner, then whine about the costs.

Any business ventures entail risk taking if it requires capital and investment for it to grow.

How can they increase their profit margins if they are unable to get the oil leases or that the govt slap on a moratorium on oil drilling in the Gulf or anywhere else? Some companies lost money because they were forced to move their rigs out of the Gulf and over to Brazil. Not just money but thousands of jobs were lost as well.

 

[Foxrac]

Any business ventures entail risk taking if it requires capital and investment for it to grow.

How can they increase their profit margins if they are unable to get the oil leases or that the govt slap on a moratorium on oil drilling in the Gulf or anywhere else? Some companies lost money because they were forced to move their rigs out of the Gulf and over to Brazil. Not just money but thousands of jobs were lost as well.

That's not true because court already killed the oil moratorium and Obama got away from it, except for block the permit. Your argument is moot now.

 

[saywhatkid]

Any business ventures entail risk taking if it requires capital and investment for it to grow.

How can they increase their profit margins if they are unable to get the oil leases or that the govt slap on a moratorium on oil drilling in the Gulf or anywhere else? Some companies lost money because they were forced to move their rigs out of the Gulf and over to Brazil. Not just money but thousands of jobs were lost as well.

So, you are blaming Obama? And you have no opinion on oil companies bumping their price at the pump to increase their profits; all in an effort to override these restrictive "Liberal induced" requirements? Got it. We obviously need another oil man in the White House.

Everything bad comes from the Left. All good comes from the Right. Thanks for the refresher course.

 

[TXgolfer]

It's probably won't be enough....it'll go up again seeing that California is bankrupting itself....and help pay for the health care. Maybe a tax on circumcision might be better?

Yeah if they weren't trying to outlaw it

 

[Jiro]

Exxon-Mobil's profit margin = 9.34% (source)

Exxon-Mobil made so much money in its first quarter that they apologized (source)

methinks oil companies are doing just fine (source)...

 

[TXgolfer]

It's probably won't be enough....it'll go up again seeing that California is bankrupting itself....and help pay for the health care. Maybe a tax on circumcision might be better?

BTW..... California is beyond bankrupt.....it's destroyed....most likely permanently. When state leaders start asking People they Despise for advice the game is pretty much over.

 

[kokonut]

So, you are blaming Obama? And you have no opinion on oil companies bumping their price at the pump to increase their profits; all in an effort to override these restrictive "Liberal induced" requirements? Got it.

Everything bad comes from the Left. All good comes from the Right. Thanks for the refresher course.

If oil companies are unable to drill in the Gulf, `Atlantic and Pacific ocean, why is that? Who made sure of that? Wouldn't that affect the oil companies' bottom line when it comes to profit margins?

How do oil companies bump their prices when I see speculators driving the cost of oil? Do supply and demand affect gas prices more so than the supposed "bumping of the price of gas at the pump"? Are you not adverse if the administration attempt to force gasoline prices to $8 a gallon?

.

 

[kokonut]

BTW..... California is beyond bankrupt.....it's destroyed....most likely permanently. When state leaders start asking People they Despise for advice the game is pretty much over.

Pretty sad state of affairs if you ask me.

 

[Jiro]

Pretty sad state of affairs if you ask me.

tsk... and an embarrassment for Republican Party....

 

[Jiro]

If oil companies are unable to drill in the Gulf, `Atlantic and Pacific ocean, why is that? Who made sure of that? Wouldn't that affect the oil companies' bottom line when it comes to profit margins?

How do oil companies bump their prices when I see speculators driving the cost of oil? Do supply and demand affect gas prices more so than the supposed "bumping of the price of gas at the pump"? Are you not adverse if the administration attempt to force gasoline prices to $8 a gallon?

.

lol! how can we be adversed if the gas price has never hit $8/gallon? calmate!