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.

Strategies & Market Trends : Booms, Busts, and Recoveries -- Ignore unavailable to you. Want to Upgrade?

To: Tommaso who wrote (54893)	10/26/2004 1:43:13 PM
From: RealMuLan	Respond to of 74559

>>Sometimes it is hard to tell a clown suit from a clown.<< LOL. I will remember this line<g>

To: Tommaso who wrote (54893)	10/26/2004 3:11:34 PM
From: Snowshoe	Respond to of 74559

>>I have put so much time into researching the tar sands projects<< Tommaso, I've put very little time into this. Probably about 2 hours in the last 2 years. Enough to know that I'm not interested in the tar sands as a long-term investment. The problem is the risk associated with global warming, the Kyoto Treaty, and it's likely successor. Today's Wall Street Journal has an article about U.S. multinational corporations gearing up to implement Kyoto, which they are required to do if they want to remain multinational corporations. And depending on political developments, the U.S. itself may potentially implement Kyoto or it's successor at some future date. Next year Kyoto will implement a hugely complicated international bean-counting exercise to trade carbon credits. If I understand this correctly, Kyoto will in effect create a "price spread" based on the carbon content of fuels. I assume these calculations will include the carbon expended to produce the fuel, so that the fuel from tar sands will have a higher carbon basis because of the extra processing required. (Note: I think it should also consider the fossil fuel carbon inputs to corn-based ethanol.) Initially, this may not hurt the tar sand business too badly. But if global warming symptoms get seriously worse later on, then the spread between low and high carbon fuels could widen considerably. This would sink the value of coal and tar sands, relative to the cleaner fuels. Of course you may argue that the Kyoto concept is just bullsh*t that will be permanently ignored by the U.S. You are entitled to take that risk. -Snow