I seem to recall that in Feb-March of 2020, the price of oil was already in freefall. Even before the Covid pandemic hit.
The Orange Shitstain was begging (like a dog) for Saudi Arabia and Russia to cut production because US American oil companies were hemorrhaging money.
That was enough to convince some economic analysts to predict a global recession was on the way. By the end of March, nobody was taking about oil prices anymore
More fun and games in the oil biz. The status of PEMEX (the third largest source of US oil imports) changed last October to a "public company" (from a "productive public enterprise") which isn't semantic but means PEMEX isn't in the business of selling oil, but in managing it a natural resources for the benefit of the state (or people). To that end, in the best interests of the people, it just isn't selling it abroad, but using what it needs at home (while transitioning to alternative energy sources) , or for producing more needed non-fuel products like fertilizer. Whether the international price goes up or down isn't going to have much effect on us. On the US, though...?
Oh, the ironyβs so thick you could frack it. Trump, this bloviating fossil fart in a human skin suit, somehow managed to own the libs by setting his own oil barons on fire. Weβre watching a man light the global economy on fire with one hand while jacking off to 1930s protectionist fantasies with the other, and Big Oilβs the latest sacrificial goat.
He promised drill-baby-drill and delivered tariff-baby-die. Steel pipe costs are soaring, oil prices are tanking, gas exports are in freefall, and OPEC is laughing in Arabic while Wall Street cries in spreadsheets. Turns out capitalism doesnβt take MAGA IOUs.
Trumpβs economic genius is so toxic, itβs making the Green New Deal look like a GOP PAC. And that little stunt where the IEA warned about βwhatever insane shit Trump pulls nextββ½ Thatβs not a quote; itβs policy now.
Hereβs your fossil-fueled forecast: oil bros screwed, gas bros ghosted, and Trump spinning it all as 4D chess while the rest of us brace for a supply-chain implosion that makes COVID look like a mild hiccup.
Someone tell Donnie you canβt bring back the 1950s by shoving tariffs up a pipeline. But heyβyay accidental climate progressβ½β½
Two other factors from up north here that will hurt the US oil and gas industry.
Since the price of oil has fallen, the breakeven number here is Canada has also altered. Enough so that production is being shut in. Which lowers the amount of crude we have available to sell to US refineries. [A big portion of the refining triangle in NA is that we drill it here, ship the crude to the US, who refines it into all the various goodies that oil gets broken down into, and is then sold, both domestically and to foreign buyers]
So the cost of the locally available stock - the stock that has pipelines built up around getting it from point A to point B - is going up because there is a shrinking supply of crude available at "point A".
And you can't just pivot on a dime to get that stock from elsewhere when your refinery is nowhere near a major shipping port.
AND, because Trump is a megalomaniacal douche canoe who keeps prattling on about "the 51st state" a major LNG terminal that has been stuck in environmental review for years finally got the green light to double its capacity. So we're going to be in position to ship more of our own LNG directly to foreign buyer's without having to cut the US in on the deal. So we'll get a better price for it here ... which will then attract more investment into that shipping facility.
In New York City, 32-year-old Soso Ramishvili died in NYPD custody last month after being arrested for allegedly stealing $213 in merchandise from Home Depot. A week later, a 43-year-old man died in police custody after he was arrested for holding open subway gates and panhandling, and was later charged with drug possession.
Should have committed a rape, 34 felonies, and swindled banks out of $500MM, instead.
I don't understand why all our states aren't yelling through huge big band microphones about heat pumps. They cost about 20% of your air conditioning and heating bills, especially for states that get too hot, or slightly too cold, or both...
The trump recession will be great for the environment - people not affording electricity, food, travel, housing and stuff in general will lead to a lot less pollution.
Hey, at least the government will be there to help us all when times get rough.
You know who's really, really going to be pissed if oil prices drop further? Donnie's Daddy, Vladimir Putin, is who. Donnie will get new instructions before the month is out.
30% cost increase after a 25% tariff? Thatβs some hinky shit, even for business. In theory any price increases should be LESS than the tariff percentage.
- Formerly $100 wholesale widget now costs $125.
- The importing business used to charge $150 retail for it, with $50 profit.
- If they added the actual tariff cost ($25) to the retail price while keeping profit the same the widget would cost $175; an effective price increase of only 16.6%.
- Instead they add the tariff 25% onto the retail price, then add 5% because-we-can-get-away-with-it surcharge, for a new total retail price of $195.
After Chump got in, people started stocking up on necessary goods before the prices went up. The stores noticed that people were starting to stock up on necessary goods before the prices went up and raised their prices to take advantage of that.
I seem to recall that in Feb-March of 2020, the price of oil was already in freefall. Even before the Covid pandemic hit.
The Orange Shitstain was begging (like a dog) for Saudi Arabia and Russia to cut production because US American oil companies were hemorrhaging money.
That was enough to convince some economic analysts to predict a global recession was on the way. By the end of March, nobody was taking about oil prices anymore
More fun and games in the oil biz. The status of PEMEX (the third largest source of US oil imports) changed last October to a "public company" (from a "productive public enterprise") which isn't semantic but means PEMEX isn't in the business of selling oil, but in managing it a natural resources for the benefit of the state (or people). To that end, in the best interests of the people, it just isn't selling it abroad, but using what it needs at home (while transitioning to alternative energy sources) , or for producing more needed non-fuel products like fertilizer. Whether the international price goes up or down isn't going to have much effect on us. On the US, though...?
ππππππππππππππππ
Heβs so fucking stupid..
We are in deep shit, aren't we?
President Combover has once again stepped on his own saggy nutsack.
A 12 year old with a basic understanding of Capitalism could see that his "energy plan" is 100% unworkable.
If oil companies DRILL MORE, the price goes DOWN! (That is his brain storm)
But- when prices go DOWN, oil companies will DRILL less. (Ooopsie)
Of course, this has surely been pointed out to him, but he just crossed his arms and put his hands over his ears.
Fuckhead
Irish babies are the solution to EVERYTHING!
(I say this as a bona fide 79-year-old Irish baby)
Oh, the ironyβs so thick you could frack it. Trump, this bloviating fossil fart in a human skin suit, somehow managed to own the libs by setting his own oil barons on fire. Weβre watching a man light the global economy on fire with one hand while jacking off to 1930s protectionist fantasies with the other, and Big Oilβs the latest sacrificial goat.
He promised drill-baby-drill and delivered tariff-baby-die. Steel pipe costs are soaring, oil prices are tanking, gas exports are in freefall, and OPEC is laughing in Arabic while Wall Street cries in spreadsheets. Turns out capitalism doesnβt take MAGA IOUs.
Trumpβs economic genius is so toxic, itβs making the Green New Deal look like a GOP PAC. And that little stunt where the IEA warned about βwhatever insane shit Trump pulls nextββ½ Thatβs not a quote; itβs policy now.
Hereβs your fossil-fueled forecast: oil bros screwed, gas bros ghosted, and Trump spinning it all as 4D chess while the rest of us brace for a supply-chain implosion that makes COVID look like a mild hiccup.
Someone tell Donnie you canβt bring back the 1950s by shoving tariffs up a pipeline. But heyβyay accidental climate progressβ½β½
Two other factors from up north here that will hurt the US oil and gas industry.
Since the price of oil has fallen, the breakeven number here is Canada has also altered. Enough so that production is being shut in. Which lowers the amount of crude we have available to sell to US refineries. [A big portion of the refining triangle in NA is that we drill it here, ship the crude to the US, who refines it into all the various goodies that oil gets broken down into, and is then sold, both domestically and to foreign buyers]
So the cost of the locally available stock - the stock that has pipelines built up around getting it from point A to point B - is going up because there is a shrinking supply of crude available at "point A".
And you can't just pivot on a dime to get that stock from elsewhere when your refinery is nowhere near a major shipping port.
AND, because Trump is a megalomaniacal douche canoe who keeps prattling on about "the 51st state" a major LNG terminal that has been stuck in environmental review for years finally got the green light to double its capacity. So we're going to be in position to ship more of our own LNG directly to foreign buyer's without having to cut the US in on the deal. So we'll get a better price for it here ... which will then attract more investment into that shipping facility.
In New York City, 32-year-old Soso Ramishvili died in NYPD custody last month after being arrested for allegedly stealing $213 in merchandise from Home Depot. A week later, a 43-year-old man died in police custody after he was arrested for holding open subway gates and panhandling, and was later charged with drug possession.
Should have committed a rape, 34 felonies, and swindled banks out of $500MM, instead.
I don't understand why all our states aren't yelling through huge big band microphones about heat pumps. They cost about 20% of your air conditioning and heating bills, especially for states that get too hot, or slightly too cold, or both...
The trump recession will be great for the environment - people not affording electricity, food, travel, housing and stuff in general will lead to a lot less pollution.
Hey, at least the government will be there to help us all when times get rough.
You can get a sub-minimum wage job hauling suitcases of cash to Elon's place.
Trump sucks at EVERYTHING.
Except scamming, grifting and frauding. He's really, really good at that.
Stormy told us he sucks at βdrilling.β
"Higher gas exports would drive domestic gas prices much higher, which would be delightful for the industry, but shitty for US consumers"
"Shitty for US consumers" is one of Trump's favorite things!
( I do *not* want to hear him attempt to sing that song from The Sound of Music. )
"trouble with a capital T and that rhymes with P"
The rapist is wreaking revenge on America because he didn't win the election ENOUGH
You know who's really, really going to be pissed if oil prices drop further? Donnie's Daddy, Vladimir Putin, is who. Donnie will get new instructions before the month is out.
Isn't Donnie's Daddy sitting on some oil deposits himself? He has a dog in this fight.
30% cost increase after a 25% tariff? Thatβs some hinky shit, even for business. In theory any price increases should be LESS than the tariff percentage.
- Formerly $100 wholesale widget now costs $125.
- The importing business used to charge $150 retail for it, with $50 profit.
- If they added the actual tariff cost ($25) to the retail price while keeping profit the same the widget would cost $175; an effective price increase of only 16.6%.
- Instead they add the tariff 25% onto the retail price, then add 5% because-we-can-get-away-with-it surcharge, for a new total retail price of $195.
- Total profit now $70! So much winning!!
After Chump got in, people started stocking up on necessary goods before the prices went up. The stores noticed that people were starting to stock up on necessary goods before the prices went up and raised their prices to take advantage of that.
Still trying to figure out how all this replaces taxes, like SchitzenfΓΌhrer claims.
It helps if you hit yourself in the head repeatedly with a brick.
And if you pay someone to hit you, you're a JOB CREATOR!