Silicon Investor (SI) -- The First Internet Community

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 : Gold Price Monitor -- Ignore unavailable to you. Want to Upgrade?

To: goldsnow who wrote (50305)	3/12/2000 11:41:00 PM
From: Hawkmoon	Read Replies (4) \| Respond to of 116759

There is no infrastructure to replace oil based economy...You know that and OPEC knows that...So the major effort of OIL companies is to find more oil/gas, rather than replace it... Hmmm... don't you think it best to rethink/restate what you are posulating above? It seems to me that you are stating that, since there is no infrastructure for alternative fuel, the high price of oil won't encourage companies to invest and build that infrastructure. In fact, that is the very reason that change occurs..., a newer and more competitive energy source present itself (or one with more indirect benefits such as reducing security risk) and is exploited. It will require time, and possibly subsidization until it becomes self-supportive, but it isn't just the cost of oil that would justify it, but also the costs in military terms as these troublesome and unstable govts hold the industrialized nations hostage. As a comparison, in Brazil the high price of gasoline during the oil embargo, as well as their terrible economy during the '70s caused them to heavily utilize alcohol in their vehicles (subsidized of course). It reduced their balance of payments debt and kept money in the pockets of their farmers. They considered it a matter of national and economic security. Let's not forget that this oil economy was heavily subsidized by the public sector (cheap land grants.... favorable exploration rights, a military security umbrella... etc). All it requires is the same willpower and national effort to alter the course and move to alternative fuel infrastructure. Certainly during a time period like today when it seems we have the available resources to dedicate to such an effort. Btw, show the oil companies how they can make a buck on alternative fuels and they will go for it. That's all that matters for them.. making money off of providing energy. Besides, do you think they enjoy the constant exposure to political and business risk such as they are enduring in Azerbijian and the Caspian region now?? That's a lot of capital to have at risk when there are alternatives. It just requires a change of attitude. Regards, Ron