Strictly: Drilling and oil-field services Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Strictly: Drilling and oil-field services

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Olaf Koch who started this subject	9/7/2000 6:49:57 PM
From: Rob Shilling	Read Replies (3) of 95453

Since the topic of the day seems to be whether or not $35 crude is bubble or not, I will throw my two cents in: If world-wide production is indeed peaking right now (some think it is peaking or it will be peaking soon), then using historical numbers for oil prices won't make sense. Why can't $30 oil be a "normal" price going forward, just like $17-21 used to be "normal". Even at $30 a barrel, oil is a really cheap energy source on a cost/unit power comparison. It is going to be tough for new technologies to beat that. Also, I see the latest call by Saudia Arabia for consuming nations to reduce gasoline taxes as signficant. I see that statement as meaning "we are tired of the countries that don't own the oil, pocketing money from the oil". If taxes are reduced, oil can trade at higher levels, and prices of gasoline at the pumps will still be at levels that won't reduce demand.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next