How to revive the U.S. oil industry overnight

originally posted by: Lumenari
a reply to: Scapegrace

SoOo...

To revive the American oil industry, your solution is to...

Decrease the demand for oil?

Don't know if you are aware, but the US military is the largest institutional consumer of oil in the world.

Like roughly 100 million barrels a year.

Parking everything stateside isn't going to help the oil industry at all.

Sorry.

The USA was consuming 20 million barrels per day before the pandemic and the Saudis and Russians made everything worse. So you’re saying the U.S. armed forces consume five days worth of total U.S. consumption over the course of a year. But even if we withdrew from the Gulf there are plenty of other areas of interest, like East Asia. It’s not like our resources are limitless. Additional assets for confronting China would be welcome.

a reply to: Scapegrace

To be honest, I don't know how much we actually export. I do know exporting oil was illegal until Obama changed that. Honestly, I don't know if that helped or hurt us more.

Don't feel bad. I work in the oilfield and have for some many years. I know what goes on to an extent. I worked in a refinery (conoco) as well before I got into the field so I learned a lot about the different processes and productions. I never knew there was a black soot that was a byproduct called Coke until I saw huge piles of it and trucks endlessly transporting it, one truck after another, back to back. Even crazier, they use that stuff in foods, cookies and all sorts of products.

I picked up a bit over the years but I like to forget as much as possible because life in the oil industry isn't the best of jobs. It pays great, for a reason. Bad reasons... lol If I'm sitting too long, I go from ape to man in the few seconds it takes me to get up. A slow upright bend. Working in the office now isn't all that wonderful either because all of that angst that comes from the field bleeds over. S#!t doesn't always roll down in the oilfield. It often rolls up just as well.

I'm just waiting now... any day now... I don't give the industry much of a chance of resuscitation. Guess it's time to seriously think about moving over to another career while I still can.

originally posted by: Scapegrace

originally posted by: Lumenari
a reply to: Scapegrace

SoOo...

To revive the American oil industry, your solution is to...

Decrease the demand for oil?

Don't know if you are aware, but the US military is the largest institutional consumer of oil in the world.

Like roughly 100 million barrels a year.

Parking everything stateside isn't going to help the oil industry at all.

Sorry.

The USA was consuming 20 million barrels per day before the pandemic and the Saudis and Russians made everything worse. So you’re saying the U.S. armed forces consume five days worth of total U.S. consumption over the course of a year. But even if we withdrew from the Gulf there are plenty of other areas of interest, like East Asia. It’s not like our resources are limitless. Additional assets for confronting China would be welcome.

You are missing the "demand" part of the equation.

As far as limitless, the Bakken alone is good for 2 million barrels a day for about the next 600 years without any more infrastructure being built.

That's just North Dakota.

Not that it matters if it takes $34 a barrel to get to market and it is selling for under that.

Parking all of our military resources in East Asia wouldn't matter if they were not doing anything.

Now don't get me wrong... I'm a military Vet who would like America to be non-interventional.

Bring EVERYTHING back, secure the border, TDY personnel to our actual borders, respond to emergencies, work on infrastructure when they are not doing anything else.

I'm just pointing out that the premise of your OP has a rather fatal flaw.

originally posted by: Lumenari

originally posted by: Scapegrace

originally posted by: Lumenari
a reply to: Scapegrace

SoOo...

To revive the American oil industry, your solution is to...

Decrease the demand for oil?

Don't know if you are aware, but the US military is the largest institutional consumer of oil in the world.

Like roughly 100 million barrels a year.

Parking everything stateside isn't going to help the oil industry at all.

Sorry.

The USA was consuming 20 million barrels per day before the pandemic and the Saudis and Russians made everything worse. So you’re saying the U.S. armed forces consume five days worth of total U.S. consumption over the course of a year. But even if we withdrew from the Gulf there are plenty of other areas of interest, like East Asia. It’s not like our resources are limitless. Additional assets for confronting China would be welcome.

You are missing the "demand" part of the equation.

As far as limitless, the Bakken alone is good for 2 million barrels a day for about the next 600 years without any more infrastructure being built.

That's just North Dakota.

Not that it matters if it takes $34 a barrel to get to market and it is selling for under that.

Parking all of our military resources in East Asia wouldn't matter if they were not doing anything.

Now don't get me wrong... I'm a military Vet who would like America to be non-interventional.

Bring EVERYTHING back, secure the border, TDY personnel to our actual borders, respond to emergencies, work on infrastructure when they are not doing anything else.

I'm just pointing out that the premise of your OP has a rather fatal flaw.

I’m just an armchair geopolitical strategist no one listens to. But do you really think the price of oil wouldn’t shoot up if we announced we were no longer protecting either the sources of Persian Gulf oil or the tankers transporting it? The price went up when Trump ordered our ships to sink Iranian vessels if they harassed them. But there’s a huge glut of oil on the world market now and every producer seems to be slashing output. So maybe it wouldn’t have the slightest effect at this moment. However, if the global economy starts picking up again, I would think it would have an effect.

I hope the crash culls some of the speculators from the oil industry. I don't particular understand the value that middle men like oil commodity traders bring to the market. They never even see or touch the barrels of oil, yet can introduce major price fluctuations.

I guess they do help flesh out prices and set the market to some degree, maybe in a more efficient & expedient way than the oil drilling firms and oil refineries would do on their own.

It just never made sense to me that there could be market participants that trade oil but are neither producers or consumers of it. There probably is some esoteric economic purpose, but it seems a bit odd to me.

a reply to: Edumakated

Respectfully, the middle East is not fighting over Israel. They're fighting over each other.

Then there's the siege of civilians that Israel are accountable for. I'm not picking sides btw because for 1 there's too many and 2 they're all as bad as each other but mostly because England is on the other side of Europe.

Being a strong believer in human rights though I do say they all need to sort it out. I also fully believe (my nation at least) shouldn't work with any of them until they can act like civilized people. That goes for SA, Israel, Syria, other nations, factions and ideologies and anyone who's generally a bit sick.

originally posted by: RAY1990
a reply to: Edumakated

Respectfully, the middle East is not fighting over Israel. They're fighting over each other.

Then there's the siege of civilians that Israel are accountable for. I'm not picking sides btw because for 1 there's too many and 2 they're all as bad as each other but mostly because England is on the other side of Europe.

Being a strong believer in human rights though I do say they all need to sort it out. I also fully believe (my nation at least) shouldn't work with any of them until they can act like civilized people. That goes for SA, Israel, Syria, other nations, factions and ideologies and anyone who's generally a bit sick.

I have to agree with you. Best not to have anything to do with any of them, although I like and admire Israel and would not object to the USA going to its rescue if it were in danger of destruction. But frankly, I don’t want to give any more U.S. taxpayer dollars (currently $3 billion per year!) to Israel, which is a rich nation. And I doubt Israel could be destroyed by any combination of Arab nations or Iran and its proxies. Not unless they use nukes, that is, and that would likely result in 100-200 of the biggest Muslim cities being annihilated in a day or two.

a reply to: Scapegrace

If we can work with North Korea on nuclear de-escalation I'm sure we can work with Iran or any other nation rumoured to be seeking such weaponry.

Israel's a democracy, they're friends and allies and the average Joe on the street their is a good guy, just like anywhere really. The average Jimmy in the west has always supported freedom and liberty. History isn't black and white and neither is the present. The British don't hate freedoms and liberty for instance and Napoleon wasn't exactly hated by all Brits. The old days of constitutions and liberalism were complex but today we all share the same colour on our flags..

We all want the same things in reality.

But we're always told by leaders to work with this group, hate that group and definitely pay for our group because this is what you want. It's the same story everywhere with varying human rights abuses and sheer negligence. It's on us to change things, it's on us what company we keep at home and abroad.

I know our collective moral compass isn't broke, it isn't even broke for most individuals. It's just there's always some sicko with a magnet pulling your compass one way or another.

Nobody wants nuclear wars really do they?

a reply to: Edumakated

They're far from perfect, we're far from perfect and I think it's crazy to think they need to duke it out like some mythological prophecy.

It's just giving all the crazies ammo to justify their madness. Thinking Israel can roll through the whole ME, parts of Europe and Africa is as equally mad as a nuclear scenario. Nations aren't the enemy anyways, the enemy is ideology.

The enemy is desperation and manipulation. I don't think it's killed with a bullet...

originally posted by: RAY1990
a reply to: Scapegrace

If we can work with North Korea on nuclear de-escalation I'm sure we can work with Iran or any other nation rumoured to be seeking such weaponry.

Israel's a democracy, they're friends and allies and the average Joe on the street their is a good guy, just like anywhere really. The average Jimmy in the west has always supported freedom and liberty. History isn't black and white and neither is the present. The British don't hate freedoms and liberty for instance and Napoleon wasn't exactly hated by all Brits. The old days of constitutions and liberalism were complex but today we all share the same colour on our flags..

We all want the same things in reality.

But we're always told by leaders to work with this group, hate that group and definitely pay for our group because this is what you want. It's the same story everywhere with varying human rights abuses and sheer negligence. It's on us to change things, it's on us what company we keep at home and abroad.

I know our collective moral compass isn't broke, it isn't even broke for most individuals. It's just there's always some sicko with a magnet pulling your compass one way or another.

Nobody wants nuclear wars really do they?

Trump offered to meet with Rouhani with no preconditions. I honestly don’t think he wants a Adt with Iran, just as he doesn’t want one with North Korea and would like to work out a peace deal between the Palestinians and Israelis. Trump is a businessman more than a politician. He prides himself on negotiating deals that are win-wins for all parties. I doubt he sees any advantage in waging a full-scale war against Iran, because we have almost no national
interests remaining in the Gulf at this point. America doesn’t need its oil. China, India, Japan, Australia and South Korea each get one-half to three-fourths of their oil from the Gulf. Europe is less dependent now because it gets much of its imported oil from Russia.

a reply to: Scapegrace

Trump scuppered an international initiative with Iran that aimed at full disclosure and transparency in regards to their nuclear ambitions and goals.

Then basically says I'll happily deal with him?

I'd personally tell him to take a long walk off a short pier to be frank, let's not forget the US is still trying to tank their economy. Nothing Trump's done illustrates a win-win for all parties in regards to Iran.