Crude oil prices still too low say Iranians

[9mmRifle]

TEHRAN (AFP) — Iran, OPEC's number-two exporter, hit out Saturday at the recent hike in oil prices, saying real prices were far lower than the 90-dollar-a-barrel level of last week.
"Oil is still cheap," acting Oil Minister Gholam Hossein Nozari said in an interview with the Iran newspaper.
"The sweet taste of oil is not tangible because it is very far from the range that is expected by us (Iran and OPEC)," Nozari said.

http://afp.google.com/article/ALeqM5iD1GxTGziOt6xjvg9vwOaWrc6rkw

Nozari argued that calculations based on current inflation rates and depreciation of the dollar's value as well as high costs of oil and gas projects puts oil's true price at less than 50 dollars a barrel.
"Today's prices even at the level of 90 dollars a barrel (in the market) are not effective because the real price of oil is currently about 47 dollars per barrel (as profit)," he said.
Nozari also said political issues were casting a "shadow of threat" on the flow of investment into the oil-producing countries, especially Iraq, Nigeria and Venezuela.
"If the owners of financial sources do not make a meaningful investment in the oil-rich countries, oil prices will be uncontrollable in the near future," he warned.
Oil prices ended lower Friday after striking a record high above 90 dollars in New York amid global supply jitters and lingering tensions between Turkey and crude producer Iraq.
New York's key oil futures contract, light sweet crude for delivery in November, closed down 87 cents at 88.60 dollars a barrel. But the contract had earlier surged to a record 90.07 dollars. That beat the previous high of 90.02 dollars set late Thursday.
In London, Brent North Sea crude for December delivery settled 81 cents lower at 83.79 dollars after hitting a record 84.88 dollars on Thursday.

[Satellite Weapon]

read about peak oil

[Shellshock1918]

read about peak oil
Its a load of bs.

Who benefits from the idea of peak oil?

Oil companies. They can legitimately raise oil prices if they perpetuate the myth that oil is drying up.

[futurepilot2004]

Oil companies. They can legitimately raise oil prices if they perpetuate the myth that oil is drying up.
They don`t even need to say that. Theres massive demand for oil and they know people will buy it even if the price is sky high.

[donnymac]

Its a load of bs.

Who benefits from the idea of peak oil?

Oil companies. They can legitimately raise oil prices if they perpetuate the myth that oil is drying up.


Buy and read Twilight in the Desert. It plainly explains declining global oil supplies. For decades, oil companies have preached this day was coming. No one would listen.

It is no myth.

[Ordie]

If the Iranians complian about the low cost of oil, why are they subsidizing the cost of gas for domestic consumption?

[Shellshock1918]

Buy and read Twilight in the Desert. It plainly explains declining global oil supplies. For decades, oil companies have preached this day was coming. No one would listen.

It is no myth.
I believe about 50 years ago their was a guy who worked for BP that estimated that the Earth only had enough oil to last till 2006.


Whoops!

[hank]

Buy and read Twilight in the Desert. It plainly explains declining global oil supplies. For decades, oil companies have preached this day was coming. No one would listen.

It is no myth.


T Boone Pickens has been saying that for years as well (did he write that book)? He was on NPR the other day and said that the ability to supply and refine oil would not increase - meaning that we are at peak production right now and it will never get higher. Add to that supply/demand problem the fact that it will become increasingly harder to get to the available oil as we've taken all the easy to find and obtain oil and the future for oil prices is very scary indeed.

hank

[donnymac]

T Boone Pickens has been saying that for years as well (did he write that book)? He was on NPR the other day and said that the ability to supply and refine oil would not increase - meaning that we are at peak production right now and it will never get higher. Add to that supply/demand problem the fact that it will become increasingly harder to get to the available oil as we've taken all the easy to find and obtain oil and the future for oil prices is very scary indeed.

hank

Twilight in the Desert written by Mat Simmons. It tells the story best.

Barnes&Noble has it.

Donny

[Sharp]

I believe about 50 years ago their was a guy who worked for BP that estimated that the Earth only had enough oil to last till 2006.


Whoops!

yes but in 50 years they improved their manners to rafinate the oil and they improved the use of oil in the cars so ...

all in all, such decisions by iran or whoever would just be the greatest idea to speed up our governments to develop green engines and green oils.

[dava]

The oil crisis of '73 also plays a part in the lag.

You don't have to believe in peak oil, but you sure have to recognize that oil supplies aren't infinite. Demand is rising more than supplies so prices increase. And noone can't blame Iran enjoying it and perhaps doing its fair part of the game of upping the prices some more. Whatever hurts US or the West must bring joy to Ahmadinejad

[donnymac]

2 basic verifiable facts:

1. Global production is peaking or has peaked. The small production differential is insignificant volume. Once global production starts to decline, and it will, there will be no reversing that trend because reversing defies all known engineering principles.

2. Global demand is stedilly increasing driven by lesser developed nations' socio-economic emergence. Short of China type recessions, which could happen, crude oil demand will at variable rates continue growing.

It will be a mess the day demand exceeds supply.

[seraosha]

http://peakoildebunked.blogspot.com

Have fun, there is a lot of data.

[9mmRifle]

Buy and read Twilight in the Desert. It plainly explains declining global oil supplies. For decades, oil companies have preached this day was coming. No one would listen.



But what is the answer. Ron Paul voted 'NO' on implementing the new Bush-Cheney bill on our national energy policy.

[Shellshock1918]

But what is the answer. Ron Paul voted 'NO' on implementing the new Bush-Cheney bill on our national energy policy.
Because he believes the free market what is the best alternative energy plan, not the government. We've spent countless dollars on ethanol production and it has produced little. We should allow for nuclear power, responsible drilling , bio fuels, wind farms, solar power, etc.

[donnymac]

But what is the answer. Ron Paul voted 'NO' on implementing the new Bush-Cheney bill on our national energy policy.


nuclear is the solution

[manilaboy]

nuclear is the solution

nuclear energy, develop it even further so that less waste matter is created. and then send the waste matter into other planets like jupiter.

[CG51]

nuclear energy, develop it even further so that less waste matter is created. and then send the waste matter into other planets like jupiter.

We are a long way away from being able to do that safely. It was brought up many years ago, the problem being the cost but even more the danger. If the rocket fails and crashes back to Earth with tons of nuclear waste, we have a major problem.

Pretty good read here (http://www.thespacereview.com/article/437/1)

[tipsovr]

I wonder how much our own environmental laws cost us yearly. The U.S. has huge oil deposits (ANWAR anyone) under its own soil but can't touch it b/c a caribou or polar bear might be disturbed. Uh, last time I checked, humans were the top carnivores on this globe. What good are polar bears, etc if we are sacrificing our own livelihoods to make sure they aren't disturbed? (yes, i have a rather blunt mentality)

If we could get some of the insane environmental laws reversed or tweaked, we could be in a better overall situation. Our current environmental laws make furthering refineries or nuclear energy so cost prohibitive.

Or we could always raise the price of a bushel of wheat or corn to equal that of a barrel of oil. Mmmm, sand sandwich anyone?

[Flamming_Python]

2 basic verifiable facts:

1. Global production is peaking or has peaked. The small production differential is insignificant volume. Once global production starts to decline, and it will, there will be no reversing that trend because reversing defies all known engineering principles.

2. Global demand is stedilly increasing driven by lesser developed nations' socio-economic emergence. Short of China type recessions, which could happen, crude oil demand will at variable rates continue growing.

It will be a mess the day demand exceeds supply.

Rubbish. Russia and Canada have humongous reserves of Oil and Gas.

[donnymac]

nuclear energy, develop it even further so that less waste matter is created. and then send the waste matter into other planets like jupiter.

I vote arial distribution over Iran.

[9mmRifle]

Oil continued near all-time record highs touched above 92 usd

http://money.cnn.com/news/newsfeeds/articles/newstex/AFX-0013-20525295.htm

Prices are also supported by weakness in the dollar, and expectations of a further rate cut by the US Federal Reserve.

[number nine]

Well, they sell. What else you can expect from a seller?