Is The "Era of Cheap Oil Prices" Ending Soon?
Posted: Friday, January 09, 2009
by Gary W. Halsey Sr.
All Season Karaoke and D.J.
Okay...I know that I am not living in 1963 anymore, and I know that I am not really good at adjusting to this century, however did something happen to the quality of our gasoline recently that I didn't know about? I live in Arizona, and in the last 4 days, I have seen gas go from 1.459 per gallon, to 1.529 per gallon! What changed? I looked for "golden nozzles" to pump the gas with, didn't find any, then I sat in my truck for 15 minutes thinking that someone was rushing out to pump it for me, and check the air in my tires, then my oil level and water, even wash my windows...(maybe that is the reason for the price hike), but no one came? What gives? What happened to the price of gas of four days ago to cause it to go up in price? Definitely not the service!! Heck, I didn't even get triple the Blue Chip stamps, or free glasses, what's up with that?
I'm not sure what you think, but I found that quite disturbing! TRIPLE DIGITS? This is the same oil that I bought just 4 days ago, and it's up .07 to .08 cents a gallon in just 4 days!! I have been reading the local newspapers whenever I go to lunch, and I didn't see any headlines in the paper, that indicated we were out of a recession! Did it end? Seems to me that this is one of the reasons why we are in a recession in the first place!
I also read, (in the same newsletter) that some of the reasons why the oil prices are going up is because of the following reasons and I quote;
- The "easy" oil has already been found.
- The world's largest fields are declining - from the Persian Gulf, to the North Sea, to the Gulf of Mexico, to Alaska.
- Two major oil exporters - Indonesia and China - have begun importing oil.
- New growth in Asia is demanding nearly 10 billion barrels every year
- There's hasn't been an "elephant oil field" discovery (one that yields at least 1 billion barrels) in 40 years.
"Enjoy oil prices now while they're cheap, because a cadre of analysts is calling for oil to rise as much as 113% in 2009".
"Among the many reasons oil producers, importers and exporters are bracing for a serious oil price hike".
Unfortunately, we are at the mercy of the "powers in charge" OPEC and other organizations, for these price hikes, and the old adage of, "Price and demand" seems to ring loud and clear! I'm not sure about you, but with what I make, I cannot afford another struggle of $5.00 per gallon or more, at my retirement salary. We don't need a stimulus; we need a permanent wage increase or controls in governing gas prices. Every time there is a hike in prices, there should be the same hike in our income, even if you are retired! Orwe can all stay at home for a month, don't buy any gas at all, and let these money mongers feel the pain of no income!! That would be idealistic, although, not realistic, after all, a family has got to eat! I for one will write to my Governor, and ask her to petition these outrages price hikes!!
Something has got to give. Folks will again not spend money to travel, it will be too expensive, both locally and abroad, businesses will suffer, jobs will suffer, and our food will rise in price to the level of "out of control"! We can't keep doing this in this country. If the sources for gas and fuel are going to gouge us, then I suggest we gouge them in wheat, food, raw materials, and whatever they depend on us for. ENOUGH IS ENOUGH! I am sure that some of our politicians have their hands in the pot as well, and they need to be exposed! I am not sure what the answers are, but as we all know, it needs to be both remedied, and addressed!
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Top-level comments on this article: (3 total)I think we should let Saudi Arabia see what life would be like without our troops to keep their enemies away.I totally agree Ken. That would be very interesting to see what they would do without our troops!!! Thanks for reading this.
I don't understand why North America buys so much oil from Saudi Arabia. Have the oil companies not looked around their own neighbourhoods? I'm sure there must be lots of oil left in the USA. I know that Canada is loaded with oil. The Oil Sands of Alberta alone is a huge oil resource. Northern British Columbia and Alberta is full of oil, and now geologists are finding that the wheat fields of Saskatchewan are hiding huge oil reserves under their soil. Then there is Mexico and Venezuela. It's time to start buying locally and let the Saudis go back to riding camels in the desert.I totally agree with you David. I think our dependency on foreign oil is way to great.I for one would like to see us tap our resources and be done with the money hungry Saudis! The have gouged us enough, and its about to happen again. I have heard rumor that the oil from the Alaskan pipeline is being sold to another country??? Whats up with that? I really appreciate you reading my article...hope you found it informative.
There's no end in sight for cheap oil and I for one am glad. OPEC is a paper tiger -- powerless to do anything about it. The recent mini-spike was due to the fighting in Gaza. As of today, oil has already dropped back below $40 a barrel. Yea!!!Thanks Terry for your comments our gas just went up to 1.70 now here in Arizona, I do not see any decline in the oil prices....just go to the website that I reference and it will let you see the anticipated rise in oil. Thanks again for your time to read the article.
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