If we could it get that much by drilling it would increase the world supply by over 10% which i s enough to lower prices for a few years but increased demand from china would drive it up again. However one of our big problems is the loss of value of the dollar which is caused by the trade deficit and inported oil is a major factor in this.If the United States produced enough crude oil to be self-sustaining would it bring down the price of our fuel
If it were possible it would probably drop the price of a barrel of oil to under $10. But it's not possible. But just the announcement that the US is going to allow drilling in coastal waters and Alaska would rapidly drop the price of a barrel to under $100. A big part of the run-up in the price of oil is the fact that the US has no energy policy at all. Other then a moronic ethanol mandate. If the speculators were given some sense that the US is actually going to do something to curb our reliance on foreign oil, it would have an immediate and profound effect on the price of oil. The price of a barrel of oil is not based on what it costs to produce. It is based upon how much people are willing to pay. If it became apparent that the US was no longer willing to pay $100 for a barrel of oil, and that we were actually going to do something about it, besides just complain, it would have an immediate effect upon the price of oil. Ideally, we not only need to start drilling for oil wherever feasible, but we need a realistic alternative fuels policy. That means wind, solar, and nuclear. The oil crisis could be a thing of the past within 25 years. All that we need is an administration that is committed to an aggressive energy policy.
EDIT: Silly Person, the reason that the price of oil is at $145 a barrel is because the global demand for oil continues to increase, while the global supply appears to have peaked. But if you reversed those two factors, and instituted a two prong energy policy in the US, whereby you intend to increase the supply, and at the same time reduce demand, the effect upon the price of oil would be immediate and profound.
I bought millions and millions of barrels of oil when they cost $60--$100 a barrel. I expect to make a kill when I sell. But right now it’s only over $140 a barrel. So here is my difficulty :
I have requested my agents spin the media, like: “Oil future looks high, expecting to be in the range of $200 a barrel soon” But it does not work price up fast enough.
I have paid the mainstream media, the Think Tanks, and the major PR talking heads, to spin China and India (supply and demand) responsible for price hike, to deflect American public anger. But that does not go far enough.
Right now, I am extremely nervous and worried. I urgently need a prey to buy those “paper barrels” on my hording. So I can profit. But where can I find my prey ?
ADD:
Airline industry has requested and demanded Congress stop oil speculation. I have my lobby on Capitol Hill work the Senators and Congressmen around the clock. But I do not how long they can hold.
Airlines urge Congress to curb oil speculation
http://www.boston.com/business/articles/…
Not by much. U.S. oil production peaked in 1970...
No because peak oil has been reached oil is a finite resource and its running out time to face up to that, the price of oil we never be low again.
I've heard a lot of people call for drilling in our nation, especially in the Gulf Coast area. And I see why they would want us to drill there- its totally understandable with high gas prices and so much foreign oil that we use. However, it would not be a good idea to drill in our own country. Not only are there enviornmental effects, but there isn't going to be a very high amount of oil to be produced in the Gulf Oil for a while...as for drilling in Alaska, we wouldn't produce a significant amount of oil for a while either. and when we do produce that amount, likely near 2030, it won't affect oil prices by much (maybe $1.44/barrel reduction according to a report by the White House Energy Information Administration) (And that may even be offset by OPEC).
Report by Energy Information Administration on offshore drilling-
http://www.eia.doe.gov/oiaf/aeo/otherana…
It states we won't have a significant amount of oil offshore (produced) until 2030.
Same group's report on Drilling in Alaska. As I mentioned earlier their findings state that we won't lwoer oil prices by much from oil in Alaska
http://www.eia.doe.gov/oiaf/servicerpt/a…
This is a White House organization saying this- not an environmental group. I think we should not be investing in domestic oil production. Rather we should be using clean alternate energy. It reduces pollution, and more importantly, lasts longer (more permanent than oil)-- even if it takes a while to make, we should be more dependent on alternate energy, within the next 20 years to say the least, than with oil. We've already started looking into it and we should increase our funding and incentives in it.
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