Tuesday, February 1, 2011

OIL and MORE OIL! Why do we buy abroad?

Submitted by: Tony Caputo

Oil hovers near $92 as traders eye Egypt protests


SINGAPORE — Oil prices hovered near $92 a barrel Tuesday in Asia as a chaotic power struggle in Egypt threatened the key crude Suez Canal choke point.
Benchmark crude for March delivery was down 24 cents at $91.95 a barrel at midday Singapore time in electronic trading on the New York Mercantile Exchange. The contract rose $2.85, or 3.2 percent, to settle at $92.19 on Monday.

Opposition leaders are planning a massive street protest in Cairo on Tuesday in a bid to oust 82-year-old President Hosni Mubarak as an uprising against his 29-year rule begins its second week. Egypt's military said Monday it would not use force on marchers and recognized "the legitimacy of the people's demands."

Oil has jumped about 8 percent in the last two trading sessions on fears that chaos in Egypt could disrupt the 2 million barrels of crude per day that pass through the Suez Canal and an adjacent pipeline. So far, the Suez remains open, and shipping has not been interrupted.

"The concern that the popular uprising in Egypt will impact either of these pieces of critical infrastructure has applied pressure to the price of crude," said Richard D. Soultanian of NUS Consulting Group.

Investors are also worried violent street protests — which toppled Tunisian President Ben Ali last month — could spread to other Middle Eastern countries.

"The force and duration of this market propellant will depend upon the shape and form of the resolution of the Egyptian uprising and whether this wave of public discontent ends with Egypt or continues to spread to neighboring countries," Soultanian said.

In other Nymex trading in February contracts, heating oil fell 1.4 cent to $2.73 a gallon and gasoline slid 0.9 cent to $2.49 a gallon. Natural gas futures for March delivery were down 1.1 cents at $4.40 per 1,000 cubic feet.

In London, Brent crude was down 61 cents at $100.40 a barrel ICE Futures exchange.
Copyright 2011 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Tony Caputo adds:

Here's an  interesting read, important and verifiable information:

About 6 months ago, the  writer was watching a news program on oil  and  

 one of the  Forbes Bros. was the guest. The host said to Forbes, "I am  going to
ask you a direct question  and I would like a direct answer; how much  oil
does the  U.S.   have in the ground?" Forbes did not miss a beat, he  said, "more
than all the  Middle  East  put together." Please read  below.

The  U. S.   Geological Service issued a report in April 2008 that  only
scientists and oil men  knew was coming, but man was it big. It was  a
revised report (hadn't  been updated since 1995) on how much oil was  in
this area of the western  2/3 of  North Dakota , western  South Dakota ,  and extreme  eastern  Montana  ...... check THIS out:  

The Bakken  is the largest domestic oil discovery since  Alaska 's  Prudhoe
Bay, and has the potential  to eliminate all American dependence on  foreign
oil. The Energy  Information Administration (EIA) estimates it at 503  billion
barrels. Even if just 10%  of the oil is recoverable... at $107 a  barrel,
we're looking at a  resource base worth more than $5..3  trillion.

"When I first briefed  legislators on this, you could practically  see
their jaws hit the floor.  They had no idea.." says Terry Johnson, the   Montana
Legislature's financial  analyst.

"This sizable find is now  the highest-producing onshore oil field  found
in the past 56 years,"  reports The  Pittsburgh  Post Gazette. It's  a
formation known as  the  Williston   Basin , but is more commonly  referred to as the
'Bakken.' It stretches  from Northern Montana, through  North Dakota   and
into  Canada .. For  years,  U. S.  oil exploration has been considered  a dead
end. Even the 'Big Oil'  companies gave up searching for major oil  wells
decades ago. However, a  recent technological breakthrough has opened  up
the Bakken's massive  reserves.... and we now have access of up to  500
billion barrels. And  because this is light, sweet oil, those billions of  barrels
will cost Americans just  $16 PER BARREL!

That's enough crude to  fully fuel the American economy for 2041  years
straight. And if THAT  didn't throw you on the floor, then this next  one
should - because it's from  2006!

U. S. Oil Discovery-  Largest Reserve in the  World
Stansberry Report Online -  4/20/2006

Hidden 1,000 feet beneath  the surface of the  Rocky Mountains  lies  the
largest untapped oil  reserve in the world. It is more than 2  TRILLION
barrels. On August 8, 2005  President Bush mandated its extraction.  In
three and a half years of  high oil prices none has been extracted. With  this
motherload of oil why are  we still fighting over off-shore  drilling?

They reported this  stunning news: We have more oil inside our  borders,
than all the other proven  reserves on earth. Here are the official  estimates:

- 8-times as much oil  as  Saudi Arabia

- 18-times as much oil  as  Iraq

- 21-times as much oil  as  Kuwait

- 22-times as much oil  as  Iran

- 500-times as much oil  as  Yemen

- and it's all right here  in the  Western United States   .

HOW can this BE? HOW can  we NOT BE extracting this? Because  the
environmentalists  and others have blocked all efforts to help   America
become independent of  foreign oil! Again, we are letting a small group  of
people dictate our lives  and our  economy.....WHY?

James Bartis, lead  researcher with the study says we've got more oil  in
this very compact area  than the entire  Middle East  -more than 2  TRILLION
barrels untapped. That's  more than all the proven oil reserves of crude oil  in
the world today, reports  The  Denver   Post.

Don't think 'OPEC' will  drop its price - even with this find?  Think
It's all about the  competitive marketplace, - it has to. Think OPEC  just
might be funding the  environmentalists?

Got your attention yet?  Now, while you're thinking about it, do  this:

Pass this along. If you  don't take a little time to do this, then  you
should stifle yourself the  next time you complain about gas prices -  by
doing NOTHING, you forfeit  your right to complain.


Now I just wonder what  would happen in this country if every one of  you
sent this to every one in  your address book.

No comments:

Post a Comment