Gas Prices, Your Camaro, Your Limit?

[detamble13]

The current situation should increase pressure to revitalize the Keystone XL pipeline. I'm not saying it will but any dependence on Russia should be replaced by another source.

[MSgt O]

@detamble13 Yeah, no. The Keystone deal was HORRIBLE! I work for the Forest Service and just please for the love of Dog, no. Please read below:
Pipelines moving tar sands oil in Midwestern states spilled three times more per mile than the U.S. national average for pipelines carrying conventional crude. Since it first went into operation in 2010, TC Energy’s original Keystone Pipeline System has leaked more than a dozen times; one incident in North Dakota sent a 60-foot, 21,000-gallon geyser of tar sands oil spewing into the air. Less than two years before the project was finally pulled, the Keystone tar sands pipeline was temporarily shut down after a spill in North Dakota of reportedly more than 383,000 gallons in late October 2019.

[Moto-Mojo]

Originally Posted by detamble13

The current situation should increase pressure to revitalize the Keystone XL pipeline. I'm not saying it will but any dependence on Russia should be replaced by another source.

There is some talk this morning of increasing domestic production. But that requires a very delicate dance if you’re the current sitter in the White House. You wouldn’t want to be accused of upsetting any ‘initiatives.’ But it is the right thing to do.

[CamaroCracka]

Originally Posted by MSgt O

@detamble13 Yeah, no. The Keystone deal was HORRIBLE! I work for the Forest Service and just please for the love of Dog, no. Please read below:
Pipelines moving tar sands oil in Midwestern states spilled three times more per mile than the U.S. national average for pipelines carrying conventional crude. Since it first went into operation in 2010, TC Energy’s original Keystone Pipeline System has leaked more than a dozen times; one incident in North Dakota sent a 60-foot, 21,000-gallon geyser of tar sands oil spewing into the air. Less than two years before the project was finally pulled, the Keystone tar sands pipeline was temporarily shut down after a spill in North Dakota of reportedly more than 383,000 gallons in late October 2019.

And the trains they haul the stuff on now never spill anything?

Not sure it's apples to apples to compare a new pipeline's safety record with existing, well established equipment, but I'll wait for the oil guys to chime in.

FYI, Rudolf Diesel nearly killed himself with his first engine versions.

[detamble13]

Originally Posted by MSgt O

@detamble13 Yeah, no. The Keystone deal was HORRIBLE! I work for the Forest Service and just please for the love of Dog, no. Please read below:
Pipelines moving tar sands oil in Midwestern states spilled three times more per mile than the U.S. national average for pipelines carrying conventional crude. Since it first went into operation in 2010, TC Energy’s original Keystone Pipeline System has leaked more than a dozen times; one incident in North Dakota sent a 60-foot, 21,000-gallon geyser of tar sands oil spewing into the air. Less than two years before the project was finally pulled, the Keystone tar sands pipeline was temporarily shut down after a spill in North Dakota of reportedly more than 383,000 gallons in late October 2019.

Is moving that oil by rail a better form of transportation? The realization of the matter is that it does get moved so finding the safest way seems like a good idea.

The overwhelming majority of Americans and Canadians currently rely on gas to power their vehicles. Not addressing the large increase in energy costs, leaders are once again displaying how out of touch they are with the average person. I'm not against electric cars but we're not there in terms of large scale adoption and most people are being affected.

Russia is a problem and the scale of which will be determined over time. If the US in any way needs to become involved militarily god help us all. But they won't be looking towards the development of electric tanks. Increased domestic production will be vital.

[MSgt O]

Totally agree on we have to do something domestically, but Tar Sand crude is more corrosive and if it gets into water, it sinks wrecking everything in its path forever. It doesnt go away. Thats why so many people were against it. There is actually already a Keystone pipeline, this would have been an extension to it adding volume through some very pristine lands. The quick solution, get Venezeula to a stable place, and stop the embargo on their oil. Alone, they could make up more than 300% in the loss from Russia and we would never have to buy from that POS ever again.
And yep, someday, we all will be driving EVs...like it or not...

[BehindBlueI's]

Originally Posted by detamble13

The current situation should increase pressure to revitalize the Keystone XL pipeline. I'm not saying it will but any dependence on Russia should be replaced by another source.

Keystone XL won't help US gas prices. Note how much oil we import from Canada. Now note how much refined product we export to Canada. The US is a net exporter of petroleum products but a net importer of crude oil. Basically, we buy oil from other countries when it's cheaper to buy then it is to extract. We then make that oil into more valuable products and sell them.

Keystone XL would not increase domestic gasoline supply and would not create many permanent jobs in the US. It would actually put downward pressure on existing domestic oil production and would potentially cost us jobs. It is a much better deal for Canada than it is for the US. They get the permanent jobs and get to export much of the risk. Ask yourself this: If it's such a good deal, why doesn't Canada refine it there instead of pumping it half a continent a way...and then buying the refined products?


We are not dependent on Russian Oil. We can be self sufficient by simply not exporting refined products or by buying more from other sources. As oil prices go up, it becomes economical to exploit more of our own reserves, as sales price must be above extraction cost to turn a profit. Europe can't, even if they could get the oil out of the ground for free. They just don't have the reserves in Western Europe to exploit even if they sucked every bit of oil they have discovered out of the ground it wouldn't match a single year of Saudi's output. They *have* to import, and geography says the Middle East or Eastern Europe/Asia is where they'll get the majority of it.

[Aqua Blue RS/SS]

If they lifted the drilling bans on federal lands alone it would help revitalize interest in new drilling in a lot of places throughout different parts of the country. The higher prices are not only based largely on supply and demand but also speculation. If investors are skeptical and don’t want to invest in new drilling, production will reflect it. We are slammed as hell right now pumping all the oil we can out of the ground and smashing (natural) gas and kicking ass as we say, as much as possible. We are balls to the wall getting every last MCF of natural gas and every last drop of oil we can right now, most producers are the same.
BLM and the NM OCD have both been weaponized against produces way more than most of you well ever understand. This can make it harder on smaller producers to survive.
I’ve proudly been in the production side of the industry for several years working largely in gas compression and currently serve as a supervisor over several guys packaging wellhead and pipeline compression packages as well as pumping unit engine packages.

The long story short is if we rolled back the executive orders of 1/20/21 we would make pretty good progress domestically at ramping production back up and nocking prices down. The proof is in the pudding of 2017-early 2021. It would take a little time to get stuff rolling but we still are fully capable of being the worlds number 1 producer again.

Just for kicks and giggles here’s a package we recently finished that is headed to the field tomorrow, with a different truck hauling it out… my Sierra is slightly under powered and under weight for this one!

[BehindBlueI's]

Originally Posted by Aqua Blue RS/SS

If they lifted the drilling bans on federal lands alone it would help revitalize interest in new drilling in a lot of places throughout different parts of the country.

They did, the ban was very temporary. They continue to issue thousands of new permits a year. As I'm sure you're aware but many readers won't be, extraction prices vary greatly from area to area and a given patch is only profitable at $X/barrel for whatever oil is being extracted. If the market price is under $X that patch isn't economically viable. Supply lags, though, and with reduced demand from the pandemic there wasn't much incentive to tap into those reserves. Oil prices are going up, more patches will be viable.



Refining capacity has been a bottleneck for years, regardless of oil price. I don't see that flip-flopping anytime soon.

[ssonic2013]

Live in Texas so bought it to drive it. retired so don't put as many miles on it I once did. I believe gas will get crazy this summer all the way through the mid-terms. Mine's not for sale unless I come across a very nice c7.

[Camaro fanboy]

10 USD a gallon here now. camaro is going knowhere. it's purely a toy so even if it was 30 usd i'de still own it.

[DavidH]

Ohio fuel prices are rapidly jumping from 3.29(87) to 3.59/3.69. premium is going to start approaching $5/gal soon. I won't sell mine, but it may be a weekend only car.

Might explore the option of an e85 tune. It was barely over $3/gal last I looked.

[Royal Tiger]

E85 here is HALF the price of 93 so she’ll still get driven. Going to be weird filling the Camaro for less $$$ then the CR-V which is my daily.

[detamble13]

Thanks for all the info guys.

Originally Posted by BehindBlueI's

Keystone XL won't help US gas prices. Note how much oil we import from Canada. Now note how much refined product we export to Canada. The US is a net exporter of petroleum products but a net importer of crude oil. Basically, we buy oil from other countries when it's cheaper to buy then it is to extract. We then make that oil into more valuable products and sell them.

Keystone XL would not increase domestic gasoline supply and would not create many permanent jobs in the US. It would actually put downward pressure on existing domestic oil production and would potentially cost us jobs. It is a much better deal for Canada than it is for the US. They get the permanent jobs and get to export much of the risk. Ask yourself this: If it's such a good deal, why doesn't Canada refine it there instead of pumping it half a continent a way...and then buying the refined products?

I'm Canadian (and American but live in Canada) so I am a little biased. I don't see any refineries being built here anytime soon.