Lucky LIFEPo4 came along!!!

From the New York Post, Jan. 31..........
"The world’s largest publicly traded oil company reported net income of $9.4 billion for the quarter, up from $9.25 billion the year before. It posted revenue of $121.6 billion, up 16 percent."

From Forbes the same day.......
"That was the case in the fourth quarter, when Exxon reported profits that were up 2% from a year earlier, to $9.4 billion. For the full year 2011 earnings were up 35% to $41.1 billion, “reflecting higher crude oil and natural gas realizations,” the company’s Chairman and Chief Executive Rex Tillerson said."

Even my dumb a$$ can figure out how to reduce the price of a gallon of gas.

Just my .01

My info is old, but I thought A123 batteries was an independent propriety battery technology owned by a Non US owned company based in Taipei. Certainly a few years ago that was the only place they were made, we were looking at a group purchse on an electric vehicle forum , the factory and supplier is still going today AFAIK.

I don't understand how this relates to this US company, but I am pretty sure A123 batteries will be around a long time. This might have just been a way round getting federal dollars for non US owned green energy companies.

Originally Posted by PropsnWings

I am not debating at least I have no interest to do so, but honestly if we want to keep using our current economic model, then the only truly effective way is to lower gas prices. Just think about the big picture for a moment, and how lower fuel prices would effect everyone..... Then you would see business start to hire again, and the model we use would at least start to "restart" fully again. But until then, we as consumers chose to not travel as much (I rarely make it to the LHS 60 miles away as I now order online) But would make that trip if it didnt cost me a chunk to drive up. I would also make more trips to town, buying more, but now I make my trips count, and buy less.

If it keeps getting worse, I will be forced to do my flying on the Simulator

I just received this in my e-mail from Senator Bill Nelson of Florida and it makes 100% perfect sense.

Here is the e-mail:

Dear Friends,

Gas prices most places are pushing $4 a gallon - again. And news reports say it could be $5 or more by summertime. That’s outrageous – and unjustified.

Whether it’s the continuing threat of unrest in the Middle East or the lure of quick profit, the price of oil is driven in big part by traders, speculators and, of course, fear.

There’s been unrest in the Middle East for thousands of years, as we’re seeing right now with Iran and the Strait of Hormuz. Every time we’re faced with this international uncertainty, especially in the Middle East, we’re reminded why we must get off of foreign oil. Nothing’s going to eliminate the volatility in oil prices like becoming less dependent on foreign energy sources.

But we’ve also got to stop a new brand of oil trader who has emerged in the last decade, a middle man of sorts, who’s also driving up the price we pay at the pump.

Many experts agree we should not allow these traders to bid up the price of oil and flip futures contracts like condos. Yet in the last ten years the share of the oil market controlled by investors and speculators has more than doubled.

During the same time, American drivers have seen the price of gas at the pump go from about $1.56 per gallon to around $3.61 per gallon or more. By bidding up oil futures, speculators also increase costs for our airlines, industrial energy users and other businesses. And these higher costs are passed on to consumers like you and me.

Fact is, the level of speculation in today’s energy markets greatly exceeds the historic norm. If you want to know the truth, it’s partly the fault of broken-down policies from a Congress dominated by partisanship and extremism. Congress deregulated oil traders in December 2000. And it hasn’t tackled a comprehensive alternative energy policy since Nixon and Carter first talked about one in the 1970s.

Anyone can push for gas-tax holidays and the Keystone Pipeline. In fact, I support the pipeline as long as it’s in an area where it’s not as much of a threat to the entire Midwest water supply and we require that the oil stay here at home and not be sold to foreign countries.

We’ve already given the oil companies more than eight million more prime acres in which to drill in the Gulf of Mexico. Now we should curb the activities of speculators. And, in the long term, we must develop alternatives to gasoline.

I think Congress should pass legislation that aims to drastically limit the ability of speculators to artificially drive up energy prices. If this bill passes, there would be the first-ever limits on how much of the oil market speculators can control. The chief cosponsor of my bill is Sen. Jay Rockefeller (D-WV).

Plain and simple: the legislation says no single investor could hold more than 5 percent of the oil futures market, thereby greatly reducing speculators ability to manipulate prices.

Does this sound like an idea you could support? Please let me know. Also, let me know what else you think we could do to bring down gas prices.

Sincerely

Bill Nelson


Here is a link to support this legislation: http://www.capitolenews.com/mailings...s_comment.html

Here's another article about A123. Specifically about the top brass of A123 padding their own wallets.
http://campaign2012.washingtonexamin...ays-125/394051

For those arguing about gas prices......get used to it. Demand for oil in developing countries is going no where but up. Demand goes up, price goes up. Economics 101. The value of crude oil for the enormous usefulness of the commodity and the reduced reserves being brought on-line, the price should be over $200/barrel. We have an enormous subsidy in place to ensure the price of oil remains low and it is called the military presence in the Middle East and the fact that oil is traded in dollars. The dollar trade for oil is slowly being shifted to other currencies and, in some cases, gold. As that happens we loose control of the price of oil and, not surprisingly, the price goes up.

The only way to ensure the price of gas is to have the government COMPLETELY take over the pricing and that would just result in shortages just like every other time the government tries to control pricing on goods. Over the last 100 years, we have used up half of the known world reserves of a material that took millions of years to create.

Yeah....the price is going up. And you ain't seen nothing yet.

Originally Posted by nordqk

For those arguing about gas prices......get used to it. Demand for oil in developing countries is going no where but up. Demand goes up, price goes up. Economics 101. The value of crude oil for the enormous usefulness of the commodity and the reduced reserves being brought on-line, the price should be over $200/barrel. We have an enormous subsidy in place to ensure the price of oil remains low and it is called the military presence in the Middle East and the fact that oil is traded in dollars. The dollar trade for oil is slowly being shifted to other currencies and, in some cases, gold. As that happens we loose control of the price of oil and, not surprisingly, the price goes up.

The only way to ensure the price of gas is to have the government COMPLETELY take over the pricing and that would just result in shortages just like every other time the government tries to control pricing on goods. Over the last 100 years, we have used up half of the known world reserves of a material that took millions of years to create.

Yeah....the price is going up. And you ain't seen nothing yet.

The only thing I would add to that is our wonderful privately owned Federal Reserve has been diluting the purchasing power of our dollar through inflation now for 99 years. Thus the price of commodities rises, oil included.

It always amazes me that the Federal Reserves mission statement is price stability...HA!

Originally Posted by Bill Vargas

+1,,, like openning up the California Coast or Alaska for all that un-tapped oil,,,

If the US were to produce every drop of oil we use from domestic sources it would have almost zero effect on gas prices. In addition, since we only have about 2% of the total world reserves, yet consume about 25% of the total production you don't need to be a math wizard to see that drill, baby drill, is nothing more than a nice bumper sticker. We produce ~6MMBO/day and use around 20MMBO/day.

Consider these facts, US oil production is at a 10-year high, we are actually a net exporter of oil, for the first time in 60 years. Add to that the fact that the active rig count has quadrupled in the last 3 years, after nearly a decade of decline, and you are left with only one conclusion, the price of oil has little to do with how much we drill. The current situation is that the price of oil is almost entirely controlled by the speculator market. Oil is traded like a commodity, just like corn and pork bellies. It is traded on a world market, so we do not see a big benefit from using "our" oil.

But that's all pretty hard to fit on a bumper sticker.

http://www.eia.gov/

What do A123's have to do with oil??

Originally Posted by SuperTrooper

BINGO

Gas prices are killing the middle class. They buy less which hurts the businesses. This whole thing is like a snow ball, every time they rise the price of gas the snow ball just gets bigger and people have less money to put back into the economy outside of the oil companies who are making out like bandits.

One thing that would go a long way to bring gas prices back to reasonable levels is to make these speculators who buy oil contracts take delivery of the oil in the contract they bought.

The problem is they just have a piece of paper they do not have the oil. If they had to store the oil they would be out of that game the same day the rules went into effect and the price of oil would tumble overnight.

Right now oil speculators are able to operate with impudence because they can "buy" oil contracts with little money down (or "on margin" as I believe it's called).

The trick to stop this b.s. is to pass laws requiring that the purchase of futures contracts requires 50% of the cost of the contract AND holding that contract for a minimum amount of time, say 3 to 6 months.

When they're looking down the double barrel shotgun of having to put real money down (theirs not someone else's) and having to hold the contract rather than "churn and burn" the public with distorted gas prices I think most of these folks would disappear

Originally Posted by EddiePeels

What do A123's have to do with oil??

Not much. Thread went off on a tangent which I followed. Sorry.

But if people actually read the story they would see that most of the A123 issue is related to the car maker Fisker delaying production. Not much else there. One of their biggest customers slowed down, so A123 had to cut back until the orders start coming in.

All good Judge, no need to apologize, I was just too lazy to read the thread.

The Global Oil and Gas industry is a very complex business that involve millions of employees working for thousands of companies around the world. The marketing, sales and shipment of product is massive and many factors are part of the "price". At the end of the day supply and demand do arrive at the price quote. As any business does it tries to get the highest price for it's product that it can get. Without giving a lesson in economics of oil the break is easy to find to reduce the world cost of crude oil, it is real easy 1) reduce the world demand to exceed today's world supply 2) increase the world supply to exceed the world demand. It is that simple. If you are convinced that the speculator is driving up the price of oil and making a fortune----what is stopping you from jumping in and making money. If you want to remove the speculator eliminate the reasons for him to speculate. As an example: we had a opportunity to increase our domestic supply here to reduce and possibly eliminate our dependence on the Middle East in the future in our country by adding the Keystone Pipeline from Alberta Canada to the gulf coast. That will not happen according to the Federal Government. Until the oil industry is replaced by other sources we are stuck with it and it will be many years before we see that because we will not change our life style and will not give up the products that come from the oil industry. So for the short term---(the next 50 years) drill---drill---drill and pipe----pipe----pipe or figure out how to stay home and not buy gas because without the production rising to meet demand the price will continue to go up in the long run.

Ha.........this thread should be renamed to "A123 & US Energy Policy"

I think we should go back to riding horses.........lol.

Regarding what we pay when we fill our cars; supply and demand doesn't work at the pump. If Mobil/Exxon wants to charge $10 a gallon, we have to pay. There is no alternate if you want to drive your car. The Chevy Volt is not the answer. Most people can't walk or ride a bike to work. Mass transit is viable only in certain metropolitan markets.

The only way we will see lower prices at the pump is if the Feds start to regulate what big oil can charge per gallon. Mobil/Exxon record profits are directly related to the pump price for refined product. Corporate greed at its best so they are attractive to Wall Street and the investment community.

Oh, and regarding untapped reserves, the US has the largest reserve in the world, more than the OPEC nations combined. It's known as the Williston Basin, more commonly referred to as the "Bakken".......something in the neighborhood of 2 Trillion barrels.

I'm sure glad A123's aren't tied to the futures market, we couldn't afford them if they were...........ha.

I remember the summer of 08 when gas shot passed four dollars a gallon. Bush opened up the reserve and increased drilling. The result brought gas prices back down. It is obvious our current administration isn't going to follow his predecessors actions and publicly stated so. Politically speaking, its a poor decision on his part not to do anything but I'm not surprised.