What's up with the price of gas

[gwpercle]

I filled up my car this morning, gas was $1.77 a gallon. What in the world are the oil companies doing? Fixing to ask the tax payer for a big "bail out " because they are on the edge of bankruptcy and are TOO BIG to fail....somethings up!
They are known to jack up the cost of gas just because there might be a named hurricane in the Gulf of Mexico!
Gary

[Kent Fowler]

Looks like OPEC is trying to kill fracking in the U. S. using cheap oil

[runfiverun]

it's opec.
they are trying to force the shut down of any new wells being drilled or completed.
right now the USofA is the number one oil producer in the world.
we produce about double the amount the middle east produces.
their only option to maintain some type of control over prices is to get everything shut down and that means $50 dollar [American dollar] a barrel oil prices.

wow a $1.77 it's still 2.89 here, you'll be seeing even lower gas prices over the next few weeks as the price drop really starts getting into the supply chain.
unfortunately this is gonna really hurt some buyers as the producers generally lock in a price for a period of time, [like say $90.00 a barrel for the next 2 years] and the buyers either get a good deal, or screwed, this is when they take a super huge loss..

it's also gonna burn up more of the economy, I'm at the gate of being jobless and there are about 500,000 more right there with me.
the oil industry was the only thing with a bright spot through this whole mess and it was a rough patch when our dear leader got in the second time , it delayed me going back to work almost 6 months and stopped all hiring for quite a while.
in fact when I went back I was the only one hired during that 6 month period.
really, really hoping I don't go through that again.

now the upside to all of this, I am just waiting for the government to step in and be reasonable about this by wanting a tax hike on the price of gasoline.
it's so cheap now and all of your cars are super fuel efficient [thanks to our mandates] that adding in another .15 cents would surely be reasonable to get stuff done we need done for our future...

[Hickory]

Win-Win situation?
Invest $10,000 in crude oil.
Crude could double in 6 months.
If not, you still get cheap gas.

[btroj]

Hope you get to keep a job Run. The cost of living in ND is thru the roof and this is going to kill a ton of jobs. Any idea how this is gonna affect BUllshop Jr.?

[Petrol & Powder]

I don't profess to be an expert on this but from what I've read Kent Fowler & runfiverun seem to have good grasp on the situation.
American oil production, particularly fracking, is only profitable when the price of crude oil is high. OPEC, led by the Saudi's this time, can produce oil far cheaper then we can. They can also sustain a loss longer than the private sector here in the U.S. can, although I don't think they operating at a loss right now. (just not making the same profit as before).
This is the global market forces at work and it is a good thing. Russia, which derives a huge portion of its GNP from the sale of oil, is hurting.
If you've ever read about the history of the production of oil the current situation is a common repeat of history. When OPEC drove the price of oil up in the 70's and 80's, competitors in the North Sea, Texas, Alaska, the Gulf of Mexico and others out produced OPEC and market forces drove the price back down. In fact, for a while the production from the North Sea alone eclipsed the much of the middle east.
I don't think the current situation will last because market forces are always at work but it is interesting.
The big downside is the short term harm to American and Canadian oil producers, They have invested billions of dollars to profitably produce oil at a certain cost per barrel and it will be a contest to see who can survive.
I have mixed emotions about the whole thing. On one hand the decreased cost of living to the average American is good for people and most of our economy. On the other hand, failure of our oil industry will harm one of the few parts of our economy that was thriving. Decreased world oil prices will harm Russia but may help China's floundering economy......
Lot of moving parts to this.

[sthwestvictoria]

Fuel prices dropping here in Australia as well, our local small town is now $AUD1.30/litre and apparently down in the state capital $AUD1.20/litre
(about $AUD4.53 per US gallon or $USD3.68)
I think that we rose through these prices in 2008

There may also be geopolitical plays in place to harm Russia and obviously they are hurting. I can't imagine US producers are doing well either if they built infrastructure based on oil over 100/barrel.

[JSnover]

Its a glut of oil on the market due (in part) to fracking. OPEC recently decided NOT to decrease production because they couldn't be sure it would increase the market price, since there's so much oil in play. They don't have as much control over it as they once did.

[leadman]

If the low prices of gas hold thru the winter and into the spring I may drive the motorhome to Michigan to visit relatives.
I did take it to Wyoming in 2010 when gas was just under $5 a gallon along the highways and that 2,400 mile trip cost me $2000 in gas alone. Motorhome has been worked on since then an getting a couple more miles per gallon but Michigan and back is 4,000 miles.

My wife's 1998 Chevy Tracker 4X4 gets 27mpg on the highway but it would be a rough trip in it. I can get 19mpg or so out of my Dakota 4X4 so might use it.

I have a friend in Wyoming that maintains oil well pumping stations. Haven't talked with him in awhile so might call him to get his take on this.

[wch]

Industry figures point out that production in the Bakken and the Permian Basin will remain profitable at $40.00 a barrel.
The Suadis are willing to "lose" billions of dollars to destroy US competition; as long as the Commerce Department refuses to allow sales of US produced crude overseas their tactics have a chance of working.
Both the Russians and ISIS are losing economic ground rapidly due to the falling price of crude oil in the world market.
This is reminiscent of the "gas wars" that I used to see when I was a youngster, when ARCO, Texaco and Mobil would cut prices trying to cut each others throats.
I pumped gas at a Texaco station in New Orleans in 1960 that sold for 35 cents a gallon!

[shooterg]

I think the OP meant " What's DOWN with gas prices ? " !!

$2.17 here today.

[MtGun44]

Fracking success! The oil patch always overreacts to the periodic price increases in oil, and
produces so much new oil that they (unintentionally) drive the oil prices back down. Add in that
OPEC (pretending to be leading this, but that is BS) countries are all spending 100% of the
money they make on oil, so are unwilling to further cut their income (already down because
the $/barrel is down) more by reducing production -- will keep pumping like mad, some may
even increase pumping to try to make up the cost per barrel losses by sell more barrels.
They need money and are even more short-sighted than our leaders.

Some shale oil will be priced out of the market, much planned drilling will not happen for
a good while as the supply starts to match the demand more closely. Remember, gas was
$1.35-1.50 or so in the late 90s through the 2002 time frame and was under $2 a gallon briefly
in 2008. Collectively we have a VERY short memory on gasoline prices. I have been
expecting "under $2" gas for a couple of years, glad to see it is here, hope it stays for
a while - EXTREMELY good for the economies of the whole world.

VERY welcomed news, gas and oil costs are wrapped into everything - esp things like METALS,
perhaps copper and lead will start coming back down and ammo prices can start back to
earth.

Hmm - 35 cents a gallon "during gas wars of the '60s" ???? This seems pretty expensive for
then. In rural Florida, gas wars got prices to 19.9 cents per gallon and normal prices were
about 22-25 cents at the cheapo, no-name stations that I frequented as a broke high school
student in small town central Fla. in 66-69. Maybe Sunoco 260 (105 octane) cost that much,
but I couldn't afford it and didn't need it then. I had a VW at the time, 10.8 gallons in the dry
tank. I could always fill up for about $2 when nearly out of gas. Maybe you are thinking of
'69, I remember it had drifted up somewhat by the time I went to college, I had a better job
then and could afford gas a lot easier! The "killer jump" happened when gas jumped up to
about 60-65 cents a gallon in '73 as the Arabs started cutting back on production to cause a
fake oil "shortage". The price increase was a shock, but gas stations being out of gas was the
real problem.

Our grandchildren will have plenty of oil, the whole "peak oil" claim and "running out" has always
been total hogwash. Lots and lots more down there to be gotten.

Bill

[Petrol & Powder]

.....The Suadis are willing to "lose" billions of dollars to destroy US competition; as long as the Commerce Department refuses to allow sales of US produced crude overseas their tactics have a chance of working......

I know of no such U.S. government restriction on the sale of US crude.

[Petrol & Powder]

Mtgun44 - ..."Collectively we have a VERY short memory on gasoline prices'...

VERY TRUE !! and I would go farther and say that collectively we have VERY short memory of just about ANYTHING!

People are stupid and yet we let them vote.

[Idz]

I read somewhere that the costs to get a barrel of oil out the ground ran about $18 for Saudi, $25-30 US wells, $30-50 fracking, and $50 for US offshore wells. The Saudis can push down prices a long way before the lose money.

[MtGun44]

Saudis can "hold their breaths" (spend a lot less) only so long. They are like the guy that ran out
and got in front of a parade so he could "lead it". They are on this ride the same as the rest of us,
hanging on. By the way - the US produces more oil today than the Saudis do. Middle finger extended
to the sheiks!

God Bless capitalism, (moderately) free markets and the US initiative, inventiveness and hard work
that have made fracking and other things like directional drilling (key enabling technology) that have
made this happen. Those folks busting their butts and living in 'man camps' up in South Dakota need
a honest thanks from the rest of us. Well done, guys!

Unfortunately, oil patch jobs always seem to be a roller coaster ride, and I think things will be going
down for a while. I remember when crude dropped to $10-12 years ago (late 90s?), it really killed jobs
and investment in oil production for a while.

Bill

[Love Life]

I heart cheap fuel.

[JSnover]

The Saudis can push down prices a long way before the lose money.
And now they're learning about what happens when they push the price too high. Their most recent problem is competition.

[smokeywolf]

Last I heard, there are restrictions on oil exports. Without those restrictions we would have to compete with every other country on the planet for every drop of oil extracted from every U.S. source. By recognizing the fact that oil exerts as much, if not more control over our economy than banking, by exposing our oil pricing to the demands (supply and demand pricing) of other countries, you are also exposing our economy to manipulation by other countries.

smokeywolf

[gwpercle]

I think the OP meant " What's DOWN with gas prices ? " !!

$2.17 here today.

It was an intended pun, wink-wink!
Gary

[smokeywolf]

Gas at about $2.60/gal. here. About 65 cents of that is taxes. runfiverun thinks I should pay 80 cents per gallon in tax; diesel is higher yet.

Not a big fan of telling the government they're not confiscating enough of my children's money.

Besides that, the more money they take from you, the more money they waste. Just take a look at the recent $1,100,000,000,000.00 budget. If the gov't needs more revenue, stop giving our money to people and countries that not only didn't earn it, but don't even like us.

smokeywolf

[JonB_in_Glencoe]

I filled up my 71 Chev truck this morning...$2.21 here in MN.

But the real question is, what is this gonna do to global warming :veryconfu

[btroj]

Not sure about the globe but it warms my heart

[square butte]

What's it gonna do with the folks who believe in "global warming"? Frankly we are trying to speed it up here in Vermont.

[dilly]

My question is why isn't diesel following more closely? It is still pretty high last time I saw.

[dtknowles]

.....The Suadis are willing to "lose" billions of dollars to destroy US competition; as long as the Commerce Department refuses to allow sales of US produced crude overseas their tactics have a chance of working......

I know of no such U.S. government restriction on the sale of US crude.

Currently U.S. crude cannot be exported without special permission.

Tim

[dtknowles]

I read somewhere that the costs to get a barrel of oil out the ground ran about $18 for Saudi, $25-30 US wells, $30-50 fracking, and $50 for US offshore wells. The Saudis can push down prices a long way before the lose money.

I think those cost include exploration, drilling, leases and operations. If the well is already drilled they are going to pump since exploration, drilling and leases are sunk costs at that point.

Tim

[shooter93]

In ways it would be nice if we could keep our oil/energy here and keep costs down. It is about time OPEC finds out there is another big dog on the street. As far as increasing the gas tax....no way....sounds good Lamar but they will never use it for debt, infrastructure etc. They will fritter it away driving us further in debt.

[dlbarr]

I pumped gas at a Texaco station in New Orleans in 1960 that sold for 35 cents a gallon!

My senior year in H.S., '72-'73, I pumped gas @ .15 - .17/gal during the good ol' "gas wars"...remember those?! It was routinely in the mid-.20s/gal IIRC. My kids can't believe me when I tell them that stuff, particularly the ones that are old enough to buy their own gasoline now.

I paid 2.36 the other day and was shocked (up here in WA state).

[dilly]

In ways it would be nice if we could keep our oil/energy here and keep costs down. It is about time OPEC finds out there is another big dog on the street. As far as increasing the gas tax....no way....sounds good Lamar but they will never use it for debt, infrastructure etc. They will fritter it away driving us further in debt.

Luke 16:10New King James Version (NKJV)10 He who is faithful in what is least is faithful also in much; and he who is unjust in what is least is unjust also in much.


You're right shooter93. If the government can't make what we have now work then it's not a problem of how much money they have, but how they are using it. You won't find any support for tax hikes from me.

[waksupi]

Gas was $2.58 here Wednesday. Today, $2.22.

[runfiverun]

u.s crude is exported.

the last time gas prices dropped we exported enough crude oil to drive the price back up again.
the way oil markets work is you sign a contract to provide oil to country-A for a set amount per barrel.
where that oil comes from depends on the type of oil needed to either mix or to make certain products from.

crude oil is not just crude oil, it has many different components and quality's, some are more desirable than others.
the oil from the bakken contains a lot of water and is highly flammable, it's also a thin fluid much like diesel fuel and motor oil mixed together in looks and viscosity.
the oil from eastern Utah has a lot of paraffin and is super thick by comparison, closer to gear oil and Vaseline mixed together..

back in the early 2,000's when the price of oil was 75.00 a barrel the focus was not so much on oil production, it was still profitable of course but not a priority.
natural gas was where the profit was at that time so areas like the Jonah field in Wyoming, the marcelus in Pennsylvania, and other areas around ohio and upstate new York was where the focus was centered.
it wasn't until the price of oil went closer to and then over $80.00 a barrel [08-09] that things started taking off in the oil producing fields again.

anyway if oil hit's $50.00 per barrel any completions or further drilling will be severely compromised.
that is the cut-off point where everything gets laid down, there is not enough profit to continue operations and the oil company's will fall back into production mode with what they got up and going until demand drives prices up again.


the government won't use the money to make things better,,, we all know that.
but they will take advantage of the situation.
think about how much lower gas prices would be right now if the [49 cent per gallon] tax were removed.
and think about how easy it would be to tack another 15 cents onto that tax right before the price went up again.

I have to pay attention to this stuff.
it's easy for me to buy gas when it's $3.00 a gallon, it's very, very difficult for me to afford it at $2.00 a gallon.

[jmort]

Imagine it will stay low and when and if XL pipeline gets built and 2016 ejections go well, price will stay low indefinitely. I think the Saudis are mistaken in thinking they can crush ingenuity and natural resources that exist here in North America by pumping away. The world economy is in retreat and that will depress prices as well.

[smokeywolf]

Although today's oil price is lower than what we are used to, it is still close to four times higher than it was 15 years ago.

[Love Life]

I used to be able to fill of my 1981 Ford LTD and get a snickers bar for a $20 bill.

[Bullshop Junior]

I filled up my car this morning, gas was $1.77 a gallon. What in the world are the oil companies doing? Fixing to ask the tax payer for a big "bail out " because they are on the edge of bankruptcy and are TOO BIG to fail....somethings up!
They are known to jack up the cost of gas just because there might be a named hurricane in the Gulf of Mexico!
Gary
Trying to get me laid off is what they are doing. it's already way below what these smaller company's have to get to make a profit. If it goes down anymore, myself and a lot of others will be looking for work..

[Bullshop Junior]

Hope you get to keep a job Run. The cost of living in ND is thru the roof and this is going to kill a ton of jobs. Any idea how this is gonna affect BUllshop Jr.?
I had a week and a half off, but finally went back to work yesterday. I'm doing pipeline stuff, so there is still some work, but the company I work for is loosing oil pad jobs fast. People are already getting laid off, and I'm not sure if I will be or not. I am working pipeline, so the job is there, but there are a lot of guys who have worked for this company much longer then I have that will be losing there jobs because of the drop, and I am afraid of getting laid off so one of them can have my job..

[Bullshop Junior]

I don't profess to be an expert on this but from what I've read Kent Fowler & runfiverun seem to have good grasp on the situation.
American oil production, particularly fracking, is only profitable when the price of crude oil is high. OPEC, led by the Saudi's this time, can produce oil far cheaper then we can. They can also sustain a loss longer than the private sector here in the U.S. can, although I don't think they operating at a loss right now. (just not making the same profit as before).
This is the global market forces at work and it is a good thing. Russia, which derives a huge portion of its GNP from the sale of oil, is hurting.
If you've ever read about the history of the production of oil the current situation is a common repeat of history. When OPEC drove the price of oil up in the 70's and 80's, competitors in the North Sea, Texas, Alaska, the Gulf of Mexico and others out produced OPEC and market forces drove the price back down. In fact, for a while the production from the North Sea alone eclipsed the much of the middle east.
I don't think the current situation will last because market forces are always at work but it is interesting.
The big downside is the short term harm to American and Canadian oil producers, They have invested billions of dollars to profitably produce oil at a certain cost per barrel and it will be a contest to see who can survive.
I have mixed emotions about the whole thing. On one hand the decreased cost of living to the average American is good for people and most of our economy. On the other hand, failure of our oil industry will harm one of the few parts of our economy that was thriving. Decreased world oil prices will harm Russia but may help China's floundering economy......
Lot of moving parts to this.
It cost these smaller company's about $65 a barrel to produce it.

[Garyshome]

Time to start Hoarding Gasoline!

[btroj]

I had a week and a half off, but finally went back to work yesterday. I'm doing pipeline stuff, so there is still some work, but the company I work for is loosing oil pad jobs fast. People are already getting laid off, and I'm not sure if I will be or not. I am working pipeline, so the job is there, but there are a lot of guys who have worked for this company much longer then I have that will be losing there jobs because of the drop, and I am afraid of getting laid off so one of them can have my job..

Hang in there Jr. I'm praying for you and the others who could be seriously in trouble due to this. Kinda makes it harder to get excited about cheap gas when you see the affect on others in the country.

[MtGun44]

Sorry about the jobs, the economics of the oil industry are a real roller coaster ride for
workers and consumers. I appreciate keeping more of my $$ in my pocket, but do feel
for the workers.

Bill

[Petrol & Powder]

Currently U.S. crude cannot be exported without special permission.

Tim

We don't export a lot of crude because we have a fairly high demand for it here. I could be wrong but I don't think that's government policy, just a fact of demand for oil.

Can you quote some source for that alleged regulation? I'll be happy to admit that I'm wrong if you can?

[Petrol & Powder]

In ways it would be nice if we could keep our oil/energy here and keep costs down.........

Actually, that's not good policy. As long as your economy can stand the price, it is FAR better to deplete their oil first (use up their natural resources) while you hold your oil in reserve.

Drill here, Drill now- is a good policy for when you want competition to force the price of your foreign oil sources down but it is a bad long term policy for America.

Use up their stuff first !!

[smokeywolf]

Here is what oil has been doing for the last 45 years.

http://www.fedprimerate.com/crude-oil-price-history.htm

http://www.macrotrends.net/1369/crude-oil-price-history-chart

Wonder how the oil companies were able to stay in business in 1980 when oil hit $116.00/barrel but gas was still well under $1.00/gal.

smokeywolf

[waksupi]

I had a week and a half off, but finally went back to work yesterday. I'm doing pipeline stuff, so there is still some work, but the company I work for is loosing oil pad jobs fast. People are already getting laid off, and I'm not sure if I will be or not. I am working pipeline, so the job is there, but there are a lot of guys who have worked for this company much longer then I have that will be losing there jobs because of the drop, and I am afraid of getting laid off so one of them can have my job..

Don't wait for life to happen. When laid off, hit the construction companies for work.

[Slow Elk 45/70]

We Americans can't see the Forrest for the trees. We have no ability to look forward and see what cause the current problems.

Yes in 1955 gas was 18-25 cents per gallon in NW Florida, for years....yes we did not think it was going to change.

Yes when WWII was over , we put our heads into our butt again, what happens ? Korea. Again we were not ready 5 years later to go back into a 3 year war .And again and again the cycle goes on. We are reluctant to change. Or are we this stupid?? Yes there are several drivers behind for the lower cost fuel over night...and our enemies are gaing strength and closing ranks...while our "Leaders do everything in their power to help cripple the USA...united we stand---divided we will fail.[smilie=1:

[Bullshop Junior]

Don't wait for life to happen. When laid off, hit the construction companies for work.
I've already been hitting up other companys, and a couple of the county road offices

[MUSTANG]

Actually, that's not good policy. As long as your economy can stand the price, it is FAR better to deplete their oil first (use up their natural resources) while you hold your oil in reserve.

Drill here, Drill now- is a good policy for when you want competition to force the price of your foreign oil sources down but it is a bad long term policy for America.

Use up their stuff first !!

I grew up in the Texas Panhandle and worked Oil Fields in high school years. Dad had a series of Gas stations (one at a time, not several) in the 60's, remember pumping gas with gas wars- lowest I remember was 9 cents a gallon. Knew several people who went from extremely wealthy, to poor, to extremely wealthy, to... as Oil booms and busts occurred throughout my life.

1. Market fluctuations are natural in the Oil Business.

2. We do not have a "True Market" in oil as all the governments across the Globe try to influence prices.

3. The Saudi's and several brother Islamic countries in the region have the ability to pump cheap oil compared to the US and others; but pumping cheap oil is a "High Risk Endeavor" for them. Their populations have become dependent upon those same Islamic governments providing free/subsidized housing, food, and all of life's desires - while they import cheap labor from poor (Read limited Oil available) Islamic countries such as Pakistan, Bangladesh, India etc... If Saudi and other Oil rich Islamic countries keep prices low too long they risk a "Decline" in the free/subsidized housing, food, and all of life's desires of the General population; and possible associated revolutions/Coups by those same subsidized citizens.

4. We hear often the statement that "The US Doesn't Have an Energy Policy". That is a misinterpretation. Our Energy policy since Johnson has been to keep the "Islamic Oil Producers" stable, not because of US direct interests - rather the goal is to ensure a stable Europe and Japan who must rely upon Oil imports to survive. We as a nation suffer the ravages of government monopolization of oil (passed off as "free market forces) in order to ensure National Stability for Europe and Japan. This policy since Johnson (yes the Dems & Repubs through each election cycle have tweeked it but maiintained it essentially intact), has resulted in an immense transfer of wealth from our US middle class to OPEC countries in exchange for their Oil. Our negative balance of Trade each year since Ford's presidency is the result of our "Oil Policy", which common wisdom says we do not have.

5. We (US) could be totally energy self sufficient within 3 - 5 years if we simply had a congress (and President with moral authority) that would implement a Constitutionally allowed "Tarriff" on all oil imports. A properly structured Oil Tarriff would:

a. stabilize US prices so that fracturing and other tertiary recovery methods would remain viable.
b. stop the outflow of US capital to foreign governments (particularly Islamic states)
c. stabilize "good" US middle class jobs associated with US energy industries
d. remove US vulnerability (and political risk) to reliance on "Global Oil Resources" particularly OPEC producers
e. Tarriff's collected from imported oil could be used to reduce the national debt (not subsidize the politicians deficit spending)
f. As the middle class recovers, and less dollars flow to OPEC states, the US Treasury revenues would dramatically increase even with current or lower tax rates.

For those who believe we will "Use up our Oil"; I have heard this all of my 6 decades of life. I remember at the age of 3 or 4 asking an "Oil Man" what would happen when we used up all of the "Dinosaur Oil". He said "Sonny, we will close oil wells, reopen them, close them, and reopen them again, over and over again as technology changes and prices go up over the next 500 years." He's long gone now, but his wisdom and insight are being proven with the current "Fracking" boom. (By the way, Fracking isn't new, it was developed in 1947. Americans ignorance causes them to think it's a new revolution of this century).

Saudi Arabia does want to destroy the US resurgence in oil production; but they can not keep it up once they have depleted their many hundreds of Billions/Trillions in dollar reserves - for then there will be revolution and blood in their streets.

[MaryB]

We should be stocking the strategic reserves with cheap Saudi oil, even expand them for the day the muslim countries decide they don't need the USA as a buyer anymore. Even with the backward thinking of Islam the standard of living is rising in a lot of mideast countries. Wipe ISIS out and get things settled down there and we could see them start to use more of their own oil and exporting less to us. So we are going to need our reserves in the future. Of course there are always the threat of new advances in electric car batteries with graphene being the new player promising smaller batteries with larger energy densities.

No new taxes, lower prices are making it easier for the lower middle class and poor to maybe get ahead again instead of living paycheck to paycheck. Of course for congress that is not a good thing, dems for sure like us under their thumb being controlled! Hopefully this will hold into next year and bring food prices back down. So lower prices are good and bad depending on which side of the game you are on!

[starmac]

Low oil prices sounds great, until the economy follows it. What I want to know is why am I still paying 3.59 a gallon for diesel as of today? LOL

What sucks is our fuel surcharge is based of the national (lower 48) average, and we NEVER get to within a dollar of those prices.

[MUSTANG]

Low oil prices sounds great, until the economy follows it. What I want to know is why am I still paying 3.59 a gallon for diesel as of today? LOL

What sucks is our fuel surcharge is based of the national (lower 48) average, and we NEVER get to within a dollar of those prices.


Diesel prices are problematic because:

1. The fleet of American trucks (North & Central & South America) were predominantly Gas powered up to 1970, and rapidly began to be replaced with diesel (much cheaper at that time than gas) during and after the OPEC oil embargo in the 1970's. This conversion coupled with the massive increase in numbers of trucks from the 1970's to now has created a situation where each gallon of diesel is in high demand.

2. In the refining process diesel and heating oil are in the same region of the refinery stack. The expanding population from the OPEC oil embargo to now (particularly in the US North East and North Central regions) has resulted in an expanding requirement for Heating Oil (despite migration to other fuels such as Natural Gas).

This keeps the availability of Diesel as a limited commodity during the cold part of the year when gas usually drops in price. In the warmer parts of the year, there is an increase of Truck traffic so we do not see a drop in Diesel prices as requirements for Heating Oil drop.

[smokeywolf]

Why do politicians give our tax money away to foreign countries and foreign criminals? Because they can.

Why did the Zero force the ACA on the American citizen? Because he can.

Why does the Federal gov't. choose not to enforce immigration laws? Because they can.

Why do politicians violate their oath of office? Because they can.

Why are the oil companies keeping the price of diesel high? Because they can.

smokeywolf

[CLAYPOOL]

Excuse me, I don't care how low it goes. No one cares about us and how much we have to spend on any thing. If it gets cheap enough I can go back to South Dakota and shoot Prairie dogs again. Went in 98 and 2000. We were coming home at 2:00 am and the last gas stop was $ 1.79 . It has all ways rose since then.. Up, Up, and away...

[starmac]

Lots of manufacturers and all kinds of industries goes down with the oil industry right down to mom and pop businesses. It sounds good for the price of a tank of gas to be about the same as a couple packs of cigarettes, until you notice that nobody can afford that cheap gas. lol

[snowwolfe]

The one thing that has never made sense to me is why does the size of the supply of oil make the price go lower or higher? Small, medium, or large suppy, when was the last time any of us pulled up to a pump and been told they were out of gas?

[MUSTANG]

Lots of manufacturers and all kinds of industries goes down with the oil industry right down to mom and pop businesses. It sounds good for the price of a tank of gas to be about the same as a couple packs of cigarettes, until you notice that nobody can afford that cheap gas. lol



Lets see. I don't smoke, but a pack of cigarettes is about $0.35 plus the Local/State/Federal Taxes hidden in the price is about $5.00 for a total price of ~$5.35 a pack. Yeah, let's do that to the price of gas too as they are now floating the balloon for since cost of gas is down for a short while.

[Petrol & Powder]

Mustang, I didn't say we would "use up our oil", I said it is good policy to use theirs up first.
It is good policy to buy oil cheaper than you can produce it and maintain your own reserves in the ground while you do it. That is good economic policy and good long term national security strategy.
If OPEC is going to make money selling their oil, I'd rather they be influenced by us than other powers. And I believe that the "government control" (whatever that is) over oil isn't nearly as strong as the private sectors' control over oil. That market is huge and there's only so much that national policy can influence.

[rockrat]

I have heard that 60% of jobs will be lost in the Bakken if oil stays under about $60/barrel. Same way with the SCOOP area in Oklahoma, which costs a bit more to drill than the Bakken. You lose so many high paying jobs in the oil patch, its going to affect other parts of the economy. The numbers on the economy have been running off of the oil patch good paying jobs. Then you have the gross production tax going to states, which is reduced, and royalty monies going to the feds from the gov't lands, it has been cut in half too. My Daughters boyfriend works in the Bakken. For how long, I don't know.

It costs Saudi about $10 for each barrel, so they can keep it up for quite awhile @$60/barrel. They will still make alot of money. Not near as much as they were, but alot better than companies here.

Been in the oil patch for about 40 years now, and have seen plenty of busts/booms. If we stop drilling like we are now, we will pay for it later. Enjoy your cheap gas.

I know I have had a bunch of people calling wanting donations, but with what is going on, I have had to just about shut the wallet, with all this uncertainty. As said, low prices not only affect jobs, but all the money that is spent with other companies and businesses and especially this time of year, charities. Still give to food bank and the troops, but many others, sorry. I don't like it, but what can you do. When I have "extra" money, I try to help others. If I don't, I can't.

[starmac]

The price of oil being so low, will likely strain the green energy companies to the point of bankruptcy too, oh wait they went belly up with oil at an all time high. lol

[smokeywolf]

Enjoy your cheap gas.
As said, low prices not only affect jobs, but all the money that is spent with other companies and businesses and especially this time of year, charities.

Maybe it's because I live in California, but what cheap gas and low prices are you talking about?

Even at today's prices, gas has gone up by 150% in the last 15 years and wages have pretty much stayed where they were.

smokeywolf

[Lloyd Smale]

plot by the government. Make it real cheap, add more taxes and because its so cheap nobody will bitch and as soon as the tax is implemented the price will shoot right up again even higher then it was before.

[JSnover]

http://watchdog.org/187175/an-opec-crack-up/?utm_source=hoot&utm_medium=facebook&utm_campaign=ss
We can compete. In fact, we are competing. The market is not what it was in the 60s.

[tomme boy]

We have a large company here that makes the pipe used to drill. They have already been told that there may not be anyone working by Feb. And they are owned by a Russian company.

[tygar]

Industry figures point out that production in the Bakken and the Permian Basin will remain profitable at $40.00 a barrel.
The Suadis are willing to "lose" billions of dollars to destroy US competition; as long as the Commerce Department refuses to allow sales of US produced crude overseas their tactics have a chance of working.
Both the Russians and ISIS are losing economic ground rapidly due to the falling price of crude oil in the world market.
This is reminiscent of the "gas wars" that I used to see when I was a youngster, when ARCO, Texaco and Mobil would cut prices trying to cut each others throats.
I pumped gas at a Texaco station in New Orleans in 1960 that sold for 35 cents a gallon!

I remember gas in the .20s & sometimes in the teens in the early 60s. I could keep my 55 Ford running by collecting pop bottles from the side of the road & my $5 allowance.

[dtknowles]

We don't export a lot of crude because we have a fairly high demand for it here. I could be wrong but I don't think that's government policy, just a fact of demand for oil.

Can you quote some source for that alleged regulation? I'll be happy to admit that I'm wrong if you can?

I have not read these laws but I have for the last few years seen many references in various news sources about the need revise these laws that restrict the export of U.S. Crude and Natural Gas. This is a quote from an article from the Brookings Institute "The ban on the export of U.S. crude oil stems from the 1920 Mineral Leasing Act (authorizing the federal government to manage exploration and exploitation of minerals on public lands), the 1975 Energy Policy Conservation Act and the 1979 Export Administration Act (the latter two further limiting crude oil exports as a direct response to the 1973 oil crisis). The Export Administration Regulations spell out the details of the “short-supply” controls." It is not a total ban but U.S. Crude Exports are tightly controlled to the point that many consider it a ban.

Tim

[dtknowles]

Just as a knowledge exercise I used an online inflation calculator to see what 25 cent gas in 1965 would cost today if the price was adjusted for inflation. The calculator indicated $1.65, it you add in the tax increases it would seem that gas prices have come down to what could be considered a normal value.

Tim

[dtknowles]

We Americans can't see the Forrest for the trees. We have no ability to look forward and see what cause the current problems.

Yes in 1955 gas was 18-25 cents per gallon in NW Florida, for years....yes we did not think it was going to change.

Yes when WWII was over , we put our heads into our butt again, what happens ? Korea. Again we were not ready 5 years later to go back into a 3 year war .And again and again the cycle goes on. We are reluctant to change. Or are we this stupid?? Yes there are several drivers behind for the lower cost fuel over night...and our enemies are gaing strength and closing ranks...while our "Leaders do everything in their power to help cripple the USA...united we stand---divided we will fail.[smilie=1:

I need a little clarity on "our enemies are gaing strength and closing ranks". Do you mean the Democrats or Terrorist or Foreign countries. Could you please name the enemies?

Tim

[dtknowles]

Lets see. I don't smoke, but a pack of cigarettes is about $0.35 plus the Local/State/Federal Taxes hidden in the price is about $5.00 for a total price of ~$5.35 a pack. Yeah, let's do that to the price of gas too as they are now floating the balloon for since cost of gas is down for a short while.

Cigarettes here are $4.10 a pack including the normal 9% sales tax, so I guess we don't have $5.00 in taxes a pack.

Tim

[runfiverun]

Tim, this ain't the pit...

[JSnover]

The federal gas tax has been $.184 per gallon since 1993. If they really wanted to screw us they'd change it to a percentage of the cost.

[starmac]

That tax, is part of what we pay, the percentage of cost is what the oil companies, pipeline co's, refineries, gas stations, etc pay. Then there are the state and local taxes. lol

[r6487]

understand the war being fought over energy that our media are not telling publicly.

http://www.informationclearinghouse.info/article40162.htm

[Petrol & Powder]

I have not read these laws but I have for the last few years seen many references in various news sources about the need revise these laws that restrict the export of U.S. Crude and Natural Gas. This is a quote from an article from the Brookings Institute "The ban on the export of U.S. crude oil stems from the 1920 Mineral Leasing Act (authorizing the federal government to manage exploration and exploitation of minerals on public lands), the 1975 Energy Policy Conservation Act and the 1979 Export Administration Act (the latter two further limiting crude oil exports as a direct response to the 1973 oil crisis). The Export Administration Regulations spell out the details of the “short-supply” controls." It is not a total ban but U.S. Crude Exports are tightly controlled to the point that many consider it a ban.

Tim
Thank you for educating me.
It does appear that the 1975 Energy Policy and Conservation Act [EPCA] limits the export of US sourced crude oil. There appear to be some exceptions, particularly for Alaska but for the most part US crude goes to US refineries.
Now, the refineries are free to sell their refined products (gasoline, diesel, etc.) wherever they want. They can draw from domestic OR foreign crude oil sources to make those products.
With US crude currently being more expensive than foreign supplied crude, I don't know what foreign country would buy US oil today, however that could change overnight.

[dtknowles]

Thank you for educating me.
It does appear that the 1975 Energy Policy and Conservation Act [EPCA] limits the export of US sourced crude oil. There appear to be some exceptions, particularly for Alaska but for the most part US crude goes to US refineries.
Now, the refineries are free to sell their refined products (gasoline, diesel, etc.) wherever they want. They can draw from domestic OR foreign crude oil sources to make those products.
With US crude currently being more expensive than foreign supplied crude, I don't know what foreign country would buy US oil today, however that could change overnight.

What you just describe is consistent with my understanding.

Tim

[dtknowles]

understand the war being fought over energy that our media are not telling publicly.

http://www.informationclearinghouse.info/article40162.htm

I read that and some of the linked articles but beside the mention of the Qatari royals, Saudi royals, and Obama it does not name the people pulling the strings the say are being pulled. Who actually are the U.S. Aristocrats behind the plots. In a linked article it talks about Multibillion dollar tax fraud by companies with the IRS in cahoots but they don't name the companies involved. If they can't name names it damages the stories credibility.

Tim

[dakotashooter2]

I'd actually like to see the fracking slowed down a bit. This state has gone nuts because of it and it needs to slow down so we can take a step back and look at the long term picture. There was a lot of pressure to spend, spend, spend all the tax money this state was getting from oil but some had the foresight to demand that some of that money be stashed away and for the state NOT to be dependent on it. That may prove to be more insightful than most had thought..

[shooter93]

We seemed long ago to get away from a steady economy. It's always been boom or bust but not to this extreme or as constant I don't think. Cheap oil will cost jobs in some fields and be a boom in others. I'm a builder so more money people have to spend and low interest rates is good for me. It's all in where you are in the job market.....bad for some....good for others.

[Down South]

I didn't read all of the responses. The lowest gas price that I saw on my road trip from Houston to Louisiana yesterday was $2.19 per gallon.
I work in the Oil Industry, have for over 31 yrs now. Drilling is what will be affected the most at first because the profit margin is getting down to nothing. Once drilling has dropped to about nothing, all the support companies slow down or shut down. People get laid off which affects all the businesses the jobless people used to spend money at. I guess you can see where I'm going...
We have cancelled most of our drilling projects for 2015. That means drilling rigs put on hold, work boats, support compaines won't get those jobs. The list goes on.

[runfiverun]

the list goes on to Mc Donalds, taco time, Wal-mart, the local gas station where we get our food for the day, the restaurants, coffee shops....

if North Dakota would have taken the time to put some infrastructure in place like the Indians are doing on the Mandan res. they would be in a much better place.
the truck traffic would be cut down, the flairing off of the natural gas would be near ZERO, their profits would be much higher and the risks of moving the oil would be much, much lower.
they also wouldn't be cutting off the farmers from moving their grain, sunflower seeds, and soy beans to market...

[GhostHawk]

Runfiverun Could not agree with you any more, you pinned it right on target.

The only good news I've heard is talk of a refinery outside of Devil's Lake that could open as soon as 2016 if votes all go as expected.

[dakotashooter2]

Maybe it's because I live in California, but what cheap gas and low prices are you talking about?

Even at today's prices, gas has gone up by 150% in the last 15 years and wages have pretty much stayed where they were.

smokeywolf

You have to remember that Cali is probably the most regulated state in the whole US. Cali's carrying capacity for population was exceeded long ago and now everyone there is paying for it. Unless the state wants to turn into a wasteland it has to regulate every aspect of life, which is only achieved at extra cost.

[dakotashooter2]

Runfiverun Could not agree with you any more, you pinned it right on target.

The only good news I've heard is talk of a refinery outside of Devil's Lake that could open as soon as 2016 if votes all go as expected.

And if the votes don't go as expected I suggest moving it to the reservation to avoid the federal red tape..........

[runfiverun]

the res just got some new leadership and they are all over speeding up building their refinery and a separator to pull natural gas from the crude oil.
it's gonna look like a small industrial complex over there pretty soon.
the state could really take a clue from them.


now if they could just get that boat out of dry-dock and into the lake..

[mold maker]

Because of the gas prices a while back, I had cut my driving to less than 6000 a year. I'm not going to increase it just because the gas price is down. The extra jingle in my pocket is really welcome, no mater the reason.

[smokeywolf]

You have to remember that Cali is probably the most regulated state in the whole US. Cali's carrying capacity for population was exceeded long ago and now everyone there is paying for it. Unless the state wants to turn into a wasteland it has to regulate every aspect of life, which is only achieved at extra cost.

Actually, the overspending will be the cause of Kali becoming a wasteland.
Politicians wasting my earnings and the earnings of other taxpayers on a plethora of worthless causes; welfare for criminal aliens and funding for "high speed rail systems", 2 of the biggest and most worthless wastes, are driving revenue generators like me out of the state. As taxpayers like me leave and tax suckers like criminal aliens increase, the state moves closer to bankruptcy.
Then, you also have the regulations and taxes that the politicians are are punishing farmers with. The business regulations and restrictions that take so much money away from small business that they can't charge enough for their products or services to make it worthwhile to put in the 70 and 80 hour workweeks required to start and grow a business.

As the wage earners/taxpayers flee the continued theft of their earnings, the politicians increase the taxes and fees on those who remain.

Eventually Kali will become like the big Wall Street banking/investment companies (too big to fail) and the Fed. Gov't will confiscate tax money from all Americans and give it to the Kali politicians to support the illegal aliens and all the other worthless criminals and pork barrel projects that justify bigger liberal government and bigger profits for friends and relatives like FineSwine's husband.

smokeywolf

[MtGun44]

Yep, pretty sad. Born in CA wouldn't live there for anything, now.

Just drove from KC to south GA, never paid over $2 for gas. Now in FL will
be $2.39 or so.

Bill

[snowwolfe]

Hate to see any company or person lose their source of income. That being said, I love these lower prices! Last summer it cost me $235 to fill up my RV and now it costs $120. Makes one hell of a different to my wallet on a long trip. Keep it coming:)

[Duckiller]

Saudies hate Russians and they are going to keep producing oil until Putin is truly out of office. Anyone that gets in the way may get hurt.

[starmac]

I have an idea that the Saudis are mostly after some middle east countries and their friends, which includes russia. I also have an idea our fearless leader is right in bed with them.

[Lloyd Smale]

over 7 bucks a pack around here
Cigarettes here are $4.10 a pack including the normal 9% sales tax, so I guess we don't have $5.00 in taxes a pack.

Tim

[MT Gianni]

Financial advisor says 50% of the jobs created in the last two years are energy related. It could have a big influence on the economy. Gas jumped from $2.28 Sunday to $2.59 this morning. Sign error, they dropped to $2.24.

[Down South]

Financial advisor says 50% of the jobs created in the last two years are energy related. It could have a big influence on the economy. Gas jumped from $2.28 Sunday to $2.59 this morning.
From what I'm hearing, the price of oil will continue to decline for a while. No one knows how long but we have been down this road before. Some of these energy related jobs are being lost back to the unemployment ranks.
I agree that we do not need $100 per barrel of oil. If we could hit the middle of the road around $70-75 per barrel, it would keep the energy companies going plus give consumers a bit of a break on fuel prices.

[runfiverun]

somewhere in the 75 area is a good number...... really.
low enough to benefit everybody, and high enough to make new production worthwhile.
this burst of oil prices is kind of a portend to what's gonna happen to the stock market unless a QE-4 happens.
if it don't there will be a correction that will rival 2008.

if it does I'm not gonna make much on my 401-as it's all in bonds.:lol:

[smokeywolf]

somewhere in the 75 area is a good number...... really.
low enough to benefit everybody, and high enough to make new production worthwhile.
this burst of oil prices is kind of a portend to what's gonna happen to the stock market unless a QE-4 happens.
if it don't there will be a correction that will rival 2008.

if it does I'm not gonna make much on my 401-as it's all in bonds.:lol:

In December of 2001 oil was $26.00/barrel. I'm not so sure that a tripling of the price of oil in just 13 years is all that beneficial to folks other than those working in or for the oil industry or oil services industry.

smokeywolf

[waksupi]

I do hope gas prices stay down for awhile. I haven't seen my family in quite a few years, and would like to be able to afford to go visit this next spring.

[runfiverun]

with the amount of money the fed printed in the last few years 75.00 a barrel is really not 75.00 in 2001 money.
oil is traded in American dollars throughout the world, it's starting to swing into other denominations because the dollar is over valued. [and there are too many of them that's how a loaf of bread ends up costing $1,000]
it has to be stabilized in an actual real dollar amount until the American dollar can be propped back up in world currency value again.

this is just another affect this administrations actions have had to break down the country.

[Down South]

In December of 2001 oil was $26.00/barrel. I'm not so sure that a tripling of the price of oil in just 13 years is all that beneficial to folks other than those working in or for the oil industry or oil services industry.

smokeywolf
These days, it takes about $50 per bbl just to break even for many companies. You forget about BP Macondo. That disaster caused all kinds of new regs that costs us more that you would believe to implement. It appears that BP is gradually getting out of the GOM and will be leaving us holding the bag from their screw up.

[MtGun44]

I have to agree that $75 sounds too high to me. At this point, there needs to be a
period of adjustment. Prices went way too high, the oil producers, God Bless them,
responded and developed new methods and new fields. Now there is possibly too much
production relative to the current demand. As the price drops, the demand will rebound
and production will slacken, and new fields may not be developed. After a few oscillations,
too low, then back too high, it should settle down a bit to the "new medium term oil price"
and we will see where that will be. People forget that the end users adjust to prices and
producers also adjust to prices, it takes a bit for these forces to stabilize since there are
time delays in all of this back and forth.

IMO, we will see oil at about $30 a barrel for a while and it will then slide up to perhaps
$45 or so for a while. After a year or two, new forces that we cannot fully predict or perhaps
even imagine, will start driving it from that - the question is -- UP or DOWN?

Nobody ever claimed that the free market was anything but messy and fluid, but it does
tend to find the real value of commodities over time. Short term effects cause bobbles in
commodities (weather for crops, are an example) but long term effects (more people eating
those crops and more productive farming methods, are examples) set the overall long term
trend line.

Free markets are messy, but the best thing that has ever come along.

Putin is pretty screwed for quite a while.

Bill

[smokeywolf]

Although I realize that it costs the oil companies more to extract oil, it also costs the consumer more to live, and unlike the oil companies profits over the last 20+ years, consumer income has increased little, if at all.

It's very difficult for consumers (myself included) to buy into 200-300% increases in oil prices, when so many new records have been set for quarterly profits by the oil companies while consumer income has remained largely stagnant.

Profits Gush At Exxon And Conocohttp://www.forbes.com/sites/maggiemcgrath/2014/07/31/exxon-mobil-and-conocophillips-in-negative-stock-territory-despite-profit-growth/

I'm sure this quarter's profit statement will be less rosy.

smokeywolf

[shooter93]

It all depends where you are in the food change....some do better with higher fuels and others do better when it's low. Every business fluctuates and this may be the slow down of the oil boom for awhile.

[MtGun44]

I expect that they will lose money for a while, but we need to realize who actually
owns "the big oil companies".

From an article on taxation of oil companies, the author points out "oil and gas companies, like
most large American corporations, are not owned by a few wealthy individuals. Instead, they
are owned by millions of ordinary Americans and foreigners, often through their retirement
savings. Contrary to popular belief, only about one percent of the shares of the five major
oil companies are held by officers and directors of these companies. The rest is held by
institutional investors and individual Americans, mostly in retirement accounts."

So, if you have an IRA or a pension plan through a union, it is likely to be a significant
holder of oil stocks and beneficiary of their profits. All US investors will be hurt if they
make less money with lower crude prices.

Bill

[smokeywolf]

True enough Bill, but I have to look at more than just how much I might make on the little bit of energy holdings in my pension folder. Six months ago I was paying $1.40 more for a gallon of gasoline. For me, that translates into about $600.00 per year. Highly unlikely that the minimal oil company holdings in my retirement portfolio will, after taxes, yield more than that, and more than likely less. Also, those returns will be realized in later years when the dollar has further depreciated. Plus, that little bit of additional income per month will more than likely be spent at the gas pump on those higher gas prices and on the higher prices of everything that is influenced by higher fuel prices; which is pretty much everything.

No, I don't think the additional returns from higher oil company stocks resulting from higher oil and fuel prices are going to be much of a boon in my retirement.

Think I'd rather have lower fuel prices and invest the savings in an alternate stock or commodity.

smokeywolf

[MaryB]

Farming is going to see a drop in prices if we have a good summer next year. Oil is a big part of their input costs and if it drops crop prices will drop hurting the farmers but benefiting consumers. I hope corn is under $3 bushel next fall, I will put 10k pounds into storage!

[runfiverun]

3$ would be what? $1.65 or so drop from current prices iirc from the report I last heard.
now if the price of cows and pigs would drop, that would make a huge dent in some household expenses they are at the highest price ever.

[smokeywolf]

3$ would be what? $1.65 or so drop from current prices iirc from the report I last heard.
now if the price of cows and pigs would drop, that would make a huge dent in some household expenses they are at the highest price ever.

Most of the essentials of everyday life have gone up with and because of fuel prices. The question is, will those who raised their prices due to higher fuel costs, lower them now that fuel has come back down or will they gouge the consumer and pocket the profits.

smokeywolf

[runfiverun]

they won't change, they already paid up to this point.
everything affected would have to cycle through to the price point of the oil for the prices to drop.
delivery, fertilizer, wages [damn fed again]

[starmac]

Does this mean we will be seeing bricks of 22 ammo on sale for 8.99 a brick. HMMMM
I honestly do not expect to see a drop in many consumer products.
Our power plant is fueled by diesel, and I doubt seriously if we even see a break on our electric bills.
What I do expect to see if the price stays down as much as a year, is some Alaska property values dropping.

[MtGun44]

The break on your electric bill will be likely in the form of a "fuel surcharge"
reduction or elimination. If your AK corporation commission works like ours
they keep an eye on the costs to produce electricity and the rates we end
users pay, making sure that they differential isn't screwing us too bad or
threatening to run the utility out of business. If fuel prices drop there is
rapid pressure to pass that on to the consumer. In many situations, fuel cost
increase are rolled into a "fuel surcharge" with the intent of removing it when
fuel costs drop back down. If it stays long enough it migrates into the base
rate, but I have no idea how that works.

As far as .22 ammo - the hoarders will eventually have their basements full so
will have to stop. I hope.

Actually - this new copper mine deal that is in the works with a land swap has the
possibility to provide 25% of US copper for the next 40 years. They call it one of
the world's largest undeveloped copper deposit. Same pressures working here as
for oil. Shortage, largely due to China electrifying their country, develops and prices
increase. High prices attract investors to make a new copper mine - $6 BILLION
dollars worth, and now there will be a bunch more copper produced for many decades.
Prices for copper will drop once this source comes on line, or at least be a lower increase
than if it had not been started, depending on the demand. Should help brass prices and
then ammo prices.

Bill

[starmac]

Alaska is pretty good about worrying what utilities cost down at los Anchorage, not so much in the interior. We get the , We'll look into it deal. lol
The states economy runs on oil, soooo if the price stays in the range enough to hurt the politicians play money, it might take a little clout away from the greenies that steadily block the mining, and developing of other recources, but that will take a while.

[gandydancer]

After the witnits in DC asks for and gets a new tax hike on gas"because gas price's are so low and the tax payers(us) can afford a new tax & opec gets their way. gas will go back up to $5.00 a gallon and the gas tax will remain. Because DC & Opec & Oil companies know we are all stupid in the USA. Obumer has said so. many times. Mike Too.

[starmac]

I read today that the state has already cut out over 100 million bucks of projects for 2015 because of the drop in oil price. lol

[Hickory]

I hope that the number of terrorist acts decline.
The Islamic states who prop up terrorist with petro-dollars will fall short on profits.