Weblog Commenting and Trackback by HaloScan.com The Barnyard: Bush Drops OCS Ban And Oil Prices Drop

Tuesday, July 15, 2008

Bush Drops OCS Ban And Oil Prices Drop

Just as I have written many times the laws of supply and demand work and just the prospect of future supplies caused the futures market to drop the price on a barrel of oil $9.25 almost immediately. Futures traders bet on a dwindling supply with increased demand to buy future commodities like oil at today's prices in the hope those prices will continue to rise so they can sell their shares for a profit. Larry Kudlow has more here and echos the call to drill, drill, drill.
Meanwhile Newt Gingrich delivered the Drill Here, Drill Now petition to Congress today with over 1.3 million signatures that want our domestic resources developed and used for the benefit of the American people now. When I signed it there were less than 5,000 so I am thrilled to see so many jumping on the wagon, plus poll after poll shows a vast majority of people want to exploit our domestic resources in an environmentally responsible way.
My contact at the American Petroleum Institute confirmed that the Gulf oil rigs did not have any spills despite Cat 5 hurricanes Rita and Katrina passing right over them. In fact there is greater risk of catastrophic spills from massive oil tankers transporting oil from overseas than from offshore oil rigs and that more oil contamination comes from natural seepage than from commercial exploitation or usage.
The GOP has a winning platform to run on and win and they should take full advantage of it, do it all. We need to develope an alternative to oil but untill we can we need to drill here and now and not trust in some miracle cure coming anytime soon, its not and oil and coal remain our cheapest most efficient means of delivering energy into our economy in a currently viable way.
The environmentalists love the idea of electric cars but they fail to take into account what goes into making the batteries that run those cars. The other alternative is the hydrogen fuel cell which has promise but is still decades away from being viable considering the infrastructure to support it is now nonexistant and biofuels is the dumbest idea of all. I know I would rather roast my corn on the BBQ and eat it than feed it to my truck.


suek said...

None of this is going to help unless something is done to stop the multiple environmental lawsuits that are directed towards preventing drilling. Fox had a report on this yesterday am - there are lawsuits on at least 50% of potential drilling sites, both on shore and off. Someone somewhere commented that they wondered where the money to pursue the multiple lawsuits was coming from. I don't even know who all the organizations are...started a search, and found a page for the Sierra Club (sierra club/lawsuits), but there was one report on the offshore wells in Alaska which reported "Two environmental organizations filed suit..." and then only reported the name of one. I read several articles theoretically from different sources, and all said the same thing...Two groups...but mentioned the name of only one. The search terms I used may have been to blame - some of the suits were for water or soil contamination rather than to prevent drilling. Need to use different terms, I think.

Ron Simpson said...

one question that the electric car weenies need to answer is: Where does the power to charge their car's batteries come from? From the domestic power grid. Which means it is generated how? Coal? Nuclear? Natural gas? You can bet it ain't "green" power.
Plus, the power grid is almost maxed out as it is. CA would have huge brown outs if everybody had an electric car.

Gayle said...

The environuts aren't called that for nothing!