Gas Prices Could Rise to $5 Per Gallon

[Quicksilver]

Locally we have been watching prices rise headed to $4.00 a gallon.
What will happen if the entire region decides they want to rise up and
be free?

Gas Prices Could Rise to $5 Per Gallon Due To Middle East Protests In Libya

[Krimson X]

Short term problem, (possible) long term gain.

[Quicksilver]

Maybe, maybe not. The oil situation and the region can't possibly
continue business as usual.

[Krimson X]

Originally Posted by Quicksilver

Maybe, maybe not. The oil situation and the region can't possibly
continue business as usual.

Take the power away from the few that control all of the resources, slap down the dictators... I think we will see things ease a bit. Democracy is catching on like wildfire in that part of the world, while we seem less democratic here in the U.S lately. It happened very quietly in Southern Sudan last month when the citizens voted for independence from the Republic of Sudan to create the World's newest country, which went relatively unreported by the media. I am curious to see what happens in Libya. In the meantime, oil will be high for a while; however, it was already trending up before the crisis began in the middle east (Africa).

Did everyone in the media flunk geography and world history? When did Libya and Egypt annex itself from Africa and become part of the middle east? Just curious...

[TheGodfather]

Originally Posted by Krimson X

Did everyone in the media flunk geography and world history? When did Libya and Egypt annex itself from Africa and become part of the middle east? Just curious...

Haha, that mentality is a product of post 9/11 public awareness. Lots of vague coverage on countries and issues that no one cared about until a small minority of people decided to declare a war on western ideals.

Now Muslim is middle east, and middle east is bad. After further reading, I have learned that Northern Africa is considered to be part of the "Middle East"


Speaking about the price of oil, recently a report revealed (I think from wikileaks) that Saudi Arabia has been overstating its reserves and production capacity for years.

The recent and more accurate information leads us to believe they may in fact be on the cusp of peak production, and it daily production capacity will be on the decline shortly. This is all contrary to what the Aramco would want us to believe.

CTV News | Wikileaks reveals imminent Saudi oil peak

[JCL]

I paid $1.37 per litre yesterday, equates to $6.22 per gallon, $5.18 for the smaller US gallon (dollar is at par).

Don't think we will see it drop back down to $5 per gallon anytime soon. Forecast is for over $6 per US gallon here in the next two months. Hard to understand why the US is still cheaper, given that Canada is your largest supplier of oil. Time to raise those taxes.

[wallyx5]

Originally Posted by JCL

I paid $1.37 per litre yesterday, equates to $6.22 per gallon, $5.18 for the smaller US gallon (dollar is at par).

Don't think we will see it drop back down to $5 per gallon anytime soon. Forecast is for over $6 per US gallon here in the next two months. Hard to understand why the US is still cheaper, given that Canada is your largest supplier of oil. Time to raise those taxes.

Isn't that crazy. Most people don't know that we get so much oil from you guys. It's a quite fact that Canada sells us so much oil. I never understood why your gas is so expensive up there since you have so much oil. I always make sure I fill up down here before I head up there for the day to work.

Cheers,

[AzX5]

Originally Posted by JCL

Hard to understand why the US is still cheaper, given that Canada is your largest supplier of oil. Time to raise those taxes.

Could it have something to do with Universal Healthcare, or lack thereof in our case?

[X5rolls]

Originally Posted by JCL

I paid $1.37 per litre yesterday, equates to $6.22 per gallon, $5.18 for the smaller US gallon (dollar is at par).

Don't think we will see it drop back down to $5 per gallon anytime soon. Forecast is for over $6 per US gallon here in the next two months. Hard to understand why the US is still cheaper, given that Canada is your largest supplier of oil. Time to raise those taxes.

I understand the economic argument for raising taxes on gas to lower consumption. It is a reasonable position in terms of cause and effect.

However, for many in the US, not all of course, the thought of raising taxes is just not justified. We are sitting on a significant amount of untapped oil in the US. It amazes me that we are not using our own resources more.

Ultimately, we will be forced to drill as the global supply dwindles but why wait? The new uncertainty in Africa and the Middle East will not do much to depress oil prices obviously. The volatility in oil prices and ultimately availability short and mid term will play havoc on our markets and the economy.

It is politically difficult to allow more drilling and increase refining capabilities. So what. It is called leadership, doing the things that are hard to do and being successful at it. That is what all politicians say they are about. They either all lie or do not have the guts to do what they say they will do.

Many countries do not know why we do not have higher gas prices and higher taxes.

Does not mean we should though.

The future isn't oil but we should limit our exposure to these increasing supply and market risks.

[JCL]

Originally Posted by Krimson X

Take the power away from the few that control all of the resources, slap down the dictators... I think we will see things ease a bit. Democracy is catching on like wildfire in that part of the world...

I read a good article today about how it isn't democracy that is catching on, but rather regime change. When the military decide to stop backing one dicatator, and get ready to put the next one in, that isn't democracy. And when the military can't agree on a course of action, and it degenerates into tribal warfare, it is civil war instead of democracy.

Regardless, fuel prices will keep rising for awhile.