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Gold/Mining/Energy : Big Dog's Boom Boom Room -- Ignore unavailable to you. Want to Upgrade?

To: Big Dog who wrote (136063)	6/24/2010 9:47:40 AM
From: Tommaso	1 Recommendation Read Replies (3) \| Respond to of 206326

Anything that takes any oil off the international markets can easily push the price of crude up, and do it fast, as has repeatedly happened over the last 40 years. This Gulf disaster seems likely to slow down exploration and production at a time when the demand for, and production of automobiles, is rising very rapidly in China, India, and elsewhere. Sales of gasoline in the United States would probably decline only slightly if it cost $5.00 a gallon. Gasoline at that price would support an oil price of over $120 a barrel (with taxes and costs of about $2.00 a gallon out of the $5.00 just mentioned). At $120 a barrel, the profits of the Syncrude project might almost triple from what they currently are. Fantasy? We already have seen crude at $140 a barrel. I won't repeat all the other arguments for owning Canadian Oil Sands Trust. The only thing I see against it could be political risk. And even if the Canadian government expropriated the entire tar sands deposit, previous owners would get some kind of payment.