Feeling the pain — Statewide: Oil firms boosting local production

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  • Alfred James
    Aug. 16, 2008 9:48 a.m.

    BLM has deferred many thousands of acres for oil & gas leasing in the hingeline area because of "endangered sage grouse". Yet the state of Utah has an annual hunting season for sage grouse. This is ridiculous and should be publicized widely. Our nation and your state are not served by this kind of irrational extremism. I have protested to BLM, and urge the state of Utah to, also.

  • Brother Chuck Schroeder
    May 31, 2008 10:32 p.m.

    Ever ask yourself in Utah, why the gas prices are lower there than anywhere else on this Earth, it's because they hoard it, and won't share with the rest of the country. Wentworth Energy Inc. plans to buy a major land position in a project in Utah's Unita Basin.The Fort Worth-based oil and gas exploration and development company plans to buy an initial 600-acre lease in the project area and then add several large land plots to its holdings.There are about 100 million to 500 million barrels a day of recoverable oil on the project, according to historical geological reports.

  • Peak oil
    May 31, 2008 6:53 p.m.

    Peak oil isnt a theory, its a proven equation. It happens in EVERY field. It happened in the US in the 70s. It will happen (already has) in the world. Nothing you can do will stop it. Looks at Hubberts law. Oil is finite. This latest rise in oil is just the beginning due to lack of supply. Go see your broker and buy some oil and gas stocks.

  • Peak Oil
    May 31, 2008 6:42 p.m.

    Why dont you give some facts to support your belief that oil didnt peak in 06? Look at the EIA numbers and strip out the NGLs and oil peaked. Who in there right mind wouldn't be producing oil at 130 if they had it? What are the supply and demand numbers worlwide? We wont produce over 87 barrels of oil per day. One question for you. Name the four largest oil fields that supply 25% of the worlds supply. Three out of the four have peaked and are depleting at a minimum of 4-5%. Where is the supply to overcome that depletion going to come from? I dare you to find a three fields in the last 30 years that will overcome this depletion. When Ghawar hits peak (some say it already has) there is no way we will ever overcome the loss in supply. Give me some numbers, or go back to your third grade econ class.

  • "Become educated"
    May 31, 2008 6:16 p.m.

    and his cronies are nuts. Peak oil doesn't exist, and peak oil extremists have to change their peak oil dates every year. Why? Because as oil companies invest profits to find more oil, reserves continue to go up. For example, the peak oilers last expected "peak oil" to hit in July 2006. Yet the world's oil supply continues to increase, according to the International OIl Market report.
    The price of oil is cyclical. When the price is low, companies don't spend much on exploration. Demand increases, the price rises, and it becomes profitable to explore. Supply catches up with demand, and the price drops. Look at the stats, or call your broker and talk to the oil investment guy. It's about a 10 to 12 year cycle. We're at the top end of the cycle right now. The thing that's hurting oil prices as much as anything is the weak U.S. dollar. It's not big oil and it's not the government. It's simple, 3rd grade economics.

  • California Driver
    May 31, 2008 5:24 p.m.

    The last time I was ABLE to buy gasoline for $3.999
    was last Friday evening, May 23rd at a Valero station in California's Central Valley. Tuesday at an ARCO (know as the cheapest station around) it was $4.029. Wednesday (same ARCO it was $4.079. Thursday night (same station) > $4.119. Last night,
    May 30, (same ARCO) it was $4.159!! Today, May 31, another ARCO (known to be the lowest in its town) it's now $4.199. That is an increase of $0.20 in
    ONE WEEK!!!

    If this TREND does not stop it will TANK the whole American economy. Higher prices and fewer consumers equals mass layoffs and this current Recession will
    develop into Another GREAT DEPRESSION!! Big Time!!

    The man at the top is usually the one blamed for BAD Things. The old saying is applied, "The Buck Stops
    Hear/There".

    If this TREND doesn't stop soon, the name George W. Bush will mostly likely (in future U.S. History
    Books) be in the same basic place as that of the late President Herbert Hoover (early 1930's).

    I HOPE this doesn't happen. I'm registed as a
    Republican, but I'm still NOT sure who will get my vote in November.

    God Bless.

  • Anonymous
    May 31, 2008 5:02 p.m.

    This story is a crock. I live out here in oil country and know that the oil refineries cannot keep up with the crude being hauled out of here. There are a lot of times they don't know what to do with it.

  • to becomeducated
    May 31, 2008 4:57 p.m.

    So far, only becomeducated is close to correct on why oil prices are high. It really is a supply/demand issue, and its a world traded commodity. It isn't big oil, OPEC, speculation, or whatever conspiracy theory many of you seem to want to believe. Look at the facts please. The world oil supply is peaking (not that we have used up half of the reserves, but we cannot produce any more than currently). The US peaked production in the 70's, and now the world is peaking. Its called Hubberts theory. It is simple Econ 101 in oil now. We must conserve and try to find as much alternative fuel as possible. If you think oil is high now, just wait. Stop blaming others and read about peak oil and learn the FACTS.

  • The Giving Tree (Earth)
    May 31, 2008 3:39 p.m.

    I don't know if anyone has read "The Giving Tree" by Shel Silverstein but I think it has an important message about how the earth is here to provide for us, wants to provide for us, and at the same time we need to respect it and protect it.

    It's absurd for the liberals to think we would put an oil well on the top of Half Dome in Yosemite if we found oil there, just as it is absurd for us to think that if liberals had there way they would take us back to the times of "Little House On the Prarie".

    Just as Unions were a good thing to help stop horrendous labor practices, Environmentalism has helped us to watch what we do a little more with our aluminum cans, plastic bottles, littering, etc. But I think that we need to realize that we can be conservationists and be willing to tap every resourse our earth has to offer us at the same time. It'll take some rational minds to come up with the plan however.

    We all need to becomse less hardline and see the full picture of our purpose and the earths purpose.

  • To: AH @ 12:58
    May 31, 2008 3:28 p.m.

    Nice try sallying up to the ole neocon spiel and American big oil lies.

    OPEC still sells at a benchmark 1/2 that of the futures traded oil prices!

    The environmentalism fall-back doesn't hold up anymore and hasn't since the year after Bush was first elected.

    Why's the prices high?

    1st, because the crude oil is being traded like pork bellies for the benefit of go-between capitalist pigs who contribute nothing to the economy except driving prices up through their greed an non-productive profit taking.

    2nd, because big oil (and Utah's refineries) have not had a shortage of crude, but have instead backed off on refinery output, thereby artifically creating a shortage of fuel in the marketplace, that in turn artifically drives prices at the pump up... which accounts for the quarter-after-quarter record profits of the oil companies... all due to monopolistic price gouging and all.

    Mr. AH, get a life and quit be a dupe for the very companies that don't give a flying rats arse for how you blindly support them, all the while taking advantage of weakened government oversight and even less responsibility to a 'real' free market economy.

    Time to treat oil/fuel as a public utility.

  • L
    May 31, 2008 1:31 p.m.

    To AH @ 12:58

    You must have been in the same place for 45 years if you have not seen any discontinued oil operations dumps.

  • Stewart
    May 31, 2008 1:17 p.m.

    "Production from an oil well declines naturally over time," said Tom Chidsey, petroleum section chief for the Utah Geological Survey. How can this be won't there always be as much oil as we need? Isn't it really a conspiracy between the Bush Administration and the oil companies? There are always these rumors about capped wells that are capped in order to raise prices. This may be true, but how many of you out there have held on to a piece of property or stock waiting for the price to rise? Why didn't you sell it below what you had paid for it in order to please the buyer? Besides those who claim to know of capped wells are nothing but rumor mongers. This information is more highly classified in oil companies than are our highest military secrets. Always it comes from someone whose friend or relative who knows someone that works for the oil company. There is much more rumor and misinformation on this subject than almost anything, especially in a tight oil market. An example of this are the opinions above.

  • AH
    May 31, 2008 12:58 p.m.

    look up saudiaramco and learn who the biggest and most profitable company is! let us not forget we are at the mercy of OPEC and the environmentalist (who in my opinion are the biggest wasters of fossil fuels to get to where they need to go to complain and make a radical show)! And by the way the big trucks wont ruin nine mile canyon they have been traveling those roads as long as I can remember and I am 45 Years old! its the hands of so called disrespectful humans that cause places like nine mile to be ruined! most oilwells that are dry are usually P&A'd before the drilling rig leaves location and the locations that i have been around have not turned into dump yards and I have seen alot!

  • Anonymous
    May 31, 2008 12:07 p.m.

    WHAT! Oil fields producing less than half of what they did 40 years ago? Isn't that as telling as ever could be?

    I live out here in the oil patch and am not easily put off or deceived by the manner and way in which oil production statistics are explained to throw the consumer and government regulators off track.

    Note, the operating word here is 'producing,' when the word should be 'reserves,' meaning oil that's been tapped and simply needs to be pumped. Fact is, there is more oil that's been tapped into and accessed than 40 years ago, it's just not being pumped according to supply & demand needs, but is being held back to trick the pricing upwards.

    Also, Utah's crude oil is very waxy and sulfurous, making it difficult to refine, which the local refiners will say is the reason refining is down... but it's not true as Utah's refineries are built to handle this specific type of oil.

    Fact is, Utah refineries are as deep in with the oil companies at large in their manipulating supply to drive up prices to unprecedented highs.

    Maybe it's time to treat oil-fuel as a 'public utility' regulated policy.

  • TO: we tried towarm you
    May 31, 2008 11:46 a.m.

    That is why our gas is still cheaper than many places?

  • We tried to warn you ...
    May 31, 2008 11:35 a.m.

    George W. Bush has direct ties to oil.
    Dick Cheney has ties to energy people.
    Condoleeza Rice has an oil tanker named after her.

    We tried desperately to warn you ...
    but you voted for Bush/Cheney anyway.

  • Environmentalists
    May 31, 2008 11:31 a.m.

    Really no one cares that Nine Mile Canyon will be wiped out--come on Jeff. It's not the drilling that kills everything, but rather the amount of truck traffic.

    The other issue is you apparently haven't lived in a community where once an oil well dries up, the companies just leave the site to turn into a dump yard. If the companies would clean up after the drilling is done and give back to the community, it could all work. Too bad their are those extremists on both sides like Jeff. Yes you need to drill, but the multi-million dollar grossing companies could spare a bit to clean up after themselves.

  • Becomeducated
    May 31, 2008 11:07 a.m.

    Reading most of the naive comments already posted about oil is depressing. Most of you really need to learn about Peak oil. Stop blaming everyone else. Its about peak oil and supply. Instead of taking the easy way out and blaming everyone, including "Big Oil", do something about it. Invest in oil and gas companies. CONSERVE. Learn about the real issues. Support alternative energy. The greatest issue we will face in the next decade is Peak Oil. Pull your heads out of the sand and learn the facts. How much oil does the US use each day?...Over 20 million barrels!! All of ANWAR would only supply the US for about a year. We are in trouble as a nation, and Peak Oil is what its about.

  • Re: Rich get Richer
    May 31, 2008 10:50 a.m.

    What you are seeing is the supply and demand curve in action. Companies that make big screen t.v.'s have learned that they can force more demand by pricing t.v.'s lower thereby making more profit by selling to more people. The oil companies on the other hand, have discovered that American's demand for oil stays the same regardless of the price charged. We are an oil hungry nation. By slowly raising the cost, they can continue to increase their profits. The only solution is to create extra supply (which the oil companies won't do), or lower our demand.

  • dyc
    May 31, 2008 10:38 a.m.

    There's plenty of blame to go around. As long as Congress and the legislators around the country bow down to the environmentalists, we will continue to have this problem. Wasn't it Kansas that was supposed to build a refinery and the governor vetoed it? Here in Utah, the refineries don't want to refine the high wax content crude from the Uintah Basin. It's cheaper and easier for them to get their crude from Canada, so they ARE capping wells in Utah. I wish someone with big pockets and the guts to take on SUWA and the Sierra Club would build a new refinery in Utah, but prices would go down if we did that so the local oil companies aren't interested. Give me a good hybrid, but oh, I forgot, they don't sell them in Utah! You have to go out of state and buy one in California.

  • Chris
    May 31, 2008 10:32 a.m.

    The environmentalists are the ones to blame, not the lack of oil. They are the ones who have blocked all new development and exploration of oil drilling stations both on land and in the ocean. Let them pay higher prices, and let us normal folks with real jobs pay normal prices.

  • Re: Jeff
    May 31, 2008 10:07 a.m.

    The question I have is when WE are going to stop letting the environmentalists control our lives and our country. We are giving them free reign to destroy our economy and our way of life and there is little or no backlash against them. Someone needs to organize a revolt to take our country back from them.

  • To Jeff
    May 31, 2008 9:38 a.m.

    And those same environmentalists then protest the wind turbines for shredding the birds that fly into them and the footprint of land that solar power stations require. You can't win with environmentalists.

  • TheCrow
    May 31, 2008 8:12 a.m.

    I won't matter if we do find more oil. The slimy oil companies will still continue to charge an arm and a leg (and make record porfits) for any new oil.

  • Just wondering
    May 31, 2008 7:51 a.m.

    I wonder how much higher prices have to go before the environmentalists get over-ruled? I guess I see the potential for an improved trade deficit, reduction of national debt, strengthened dollar and ultimately an international increase in production and decrease in price to try to discourage, again, our own production.

    What's wrong with that picture?

  • Jeff
    May 31, 2008 6:46 a.m.

    Ask the Wilderness Society, SUWA, NRDC or Sierra Club this question: Where should we drill for oil? There head-in-the-sand answer will be that we shouldn't, we should only focus in conservation, wind and solar power. Fill your tank up with that unreasonable nonsense!

  • Brother Chuck Schroeder
    May 31, 2008 6:12 a.m.

    The factors contributing to the current gasoline prices, that Republicans have been a strong supporter of initiatives to develop and adopt new technologies, demanding to build more "moon-shine-stills, where researchers described the potential for cellulosic ethanol production and industry leaders reported on their plans to build more alternative fuel station in Florida and throughout the United States", but the question of "double talk" still remains, WHY DON'T THEY WRITE UP THE PROPER WORDING IN A BILL, and DEMAND THAT BIG OIL INVEST THEIR HUGE QUARTERLY PROFIT'S or 2/3 of it INTO REFINERIES to REFINE the stock piles of crude we have laying around in our OWN barrels here in America per se, from the LARGEST OIL STRIKE IN UTAH, as well as other States to, and turn it into gas for our cars now with the added 10% per gal moonshine?. This was NOT DONE in the past 30 years. WHY?.

  • Rich get Richer
    May 31, 2008 3:53 a.m.

    Does it seem that every news article, or story about the cost of oil and the price we pay at the pump just makes excuses for the rising prices?

    In an age where I'm now paying a quarter of what I did for my first computer and flat screen TV's have dropped from $10,000 to under $2000 in the past 5 years, shouldn't I be getting a better or the same price on my gas as I did 5 years ago?

    I know I'm a bit naive about the whole thing but I thought that the advancement of technology is for the betterment of society in both making us more comfortable and doing it at a lower cost?

    Someone's getting fat rich off of these oil prices, and I know that we're getting stabbed at the pump while someone is sitting back on their 123ft floating uberliner somewhere off the south of France! I would like to thank whomever that is for making me changing my family vacation from Disneyland to Lagoon!

  • Mayfield
    May 31, 2008 1:08 a.m.

    It has been rumored that a new well discovered by wolverine in Mayfield which is capable of producing on par with the sigurd well