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Energy independence won’t guarantee low prices

Fuel Fix -- On the presidential campaign trail, both Mitt Romney and Barack Obama have vowed to break the United States free of foreign oil, offering a pledge of at least North American “energy independence.”

In some ways, that’s an easy promise to make. No matter who resides in the White House for the next four years, the United States is already on a trajectory to derive much of its oil and all of its natural gas from within its own borders, thanks to technologies allowing energy companies to harvest the fossil fuels from dense rock formations.

Tied to global market

But abundant domestic supplies don’t guarantee a drop in the cost of energy. Oil prices are set on a world market, subject to a complex mix of factors outside the United States’ control. And even if net U.S. or North American oil impo


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Submitted Sep 25, 2012 By: skb69sa
Category: Daily News Article Discussions > Topics Add to favorite topics  
Author Topic: Energy independence won’t guarantee low prices Back to Topics
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honda0105
Champion Author Tallahassee

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Message Posted: Sep 26, 2012 11:04:24 PM

how do you figure cheap gas, LG2011? Pig Oil would still sell you a drop of oil / petroleum products for amounts that warrant the term "liquid or black gold."
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LiquidGold2011
Sophomore Author California

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Message Posted: Sep 26, 2012 9:26:01 PM

That's correct. OTOH, if the world economy stays in the crapper, cheap gas for all!
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sparky808
Champion Author Honolulu

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Message Posted: Sep 26, 2012 12:35:17 PM

Thank you for posting.
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myambro
Champion Author Sacramento

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Message Posted: Sep 26, 2012 11:52:56 AM

I agree with "mikesr100."
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mikesr100
Champion Author Sacramento

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Message Posted: Sep 26, 2012 10:31:44 AM

It's the lack of refineries. Obummer and the EPA again!
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remay
Champion Author Houston

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Message Posted: Sep 26, 2012 7:49:26 AM

It sure couldn't hurt to try, though.
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jrs4125
Champion Author Indiana

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Message Posted: Sep 26, 2012 5:46:06 AM

ok
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tomok
Champion Author Portland

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Message Posted: Sep 26, 2012 3:53:33 AM

Energy independence won’t guarantee low prices, not when Big Oil exports fuel to other countries that will pay more for it. People are driving less and using more fuel efficient vehicles and less fuel is being consumed domestically. Higher fuel prices at the pump makes those EV's and Inbreds look much better don't they!
The US ‘oil and natural gas resources’ belong to the citizens of this country and are to be used by those same citizens! Speculators, manipulators and the banks continue to unfairly and unjustly make the driving public pay higher prices at the pump for their personal benefit.
The price at the pump needs to go down to $2/gallon, $3, $3.50/gallon or $4.00 is Not the new low!
Whatever the size or shape of the vehicle, Produce and ‘Drive’ vehicles with high MPG, are very safe, reliable, has a ‘reasonable’ cost and a good ‘value’ for the money.
The price of fuel at the pump is too high!
12/22/2012!
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tidalwave3
Champion Author Tallahassee

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Message Posted: Sep 26, 2012 2:35:03 AM

suzmar is correct ..."It sure wont hurt! It is a supply and demand problem, if there is more supply, it makes sense that prices will not be as volatile, not to mention we won't be sending our money to finance foreign extremist governments."
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Tomeboy
Champion Author Twin Cities

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Message Posted: Sep 25, 2012 11:37:21 PM


Energy analysts say the optimistic forecasts ignore the "RAPID DECLINE" rates from hydraulically fractured wells.

“You almost always find the biggest and best stuff in the beginning. The longer you are in the basin, the smaller the fields and the "MORE EXPENSIVE" it gets to produce,” said Art Berman, a Sugar Land energy consultant. “People are forgetting that.”

Wells in the Bakken and Eagle Ford formations generally produce a lot of oil initially, but that starts "DROPPING FAST".

Estimated decline rates... about 40 percent – which means just keeping production flat requires drilling hundreds of new wells each year. (That's why we are hearing the mantra... Drill Baby Drill)

Berman suggests that the question isn’t whether the U.S. has enough oil to become energy independent, "BUT AT WHAT PRICE". (Drill Baby Drill = Consumer Will Pay Baby Pay)

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PrinceLH
Champion Author Ontario

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Message Posted: Sep 25, 2012 11:28:49 PM

Of course not. Whatever happened to the idea of supply and demand? It's manipulate and screw!
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dancygreen
Champion Author Twin Cities

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Message Posted: Sep 25, 2012 11:28:08 PM

complex mix of factors my big white butt! the only factors are the greed and power addictions of policticians and corporations
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jrsva
Champion Author Virginia

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Message Posted: Sep 25, 2012 11:21:46 PM

“Our current leader is all mouth and no action.”

And the proposed replacement is better? Romney says he will lower income taxes by closing loopholes and removing deductions. When asked (repeatedly) which deductions, he says just elect me and I will negotiate with Congress to get it done. That plan has worked so well in the past . . . color me skeptical.

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gaspumpin
Champion Author Indiana

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Message Posted: Sep 25, 2012 11:14:03 PM

Maybe energy independence won't create low prices, but it sure will help create JOBS!
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rahcat
Champion Author Grand Rapids

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Message Posted: Sep 25, 2012 11:13:48 PM

I would rather not be held hostage by some Middle East Sheik.
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suzmar
Champion Author Texas

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Message Posted: Sep 25, 2012 11:06:07 PM

Well, it sure wont hurt! It is a supply and demand problem, if there is more supply, it makes sense that prices will not be as volatile, not to mention we won't be sending our money to finance foreign extremist governments.
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Bud122CA
Champion Author California

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Message Posted: Sep 25, 2012 11:04:49 PM

Our current leader is all mouth and no action. He has proven this. Lets try some "CHANGE" and see if there is some improvement?
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drewsworld
Sophomore Author Los Angeles

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Message Posted: Sep 25, 2012 11:03:57 PM

Just saw on the news today how california has passed a law on autonomous vehicles. Its pretty cool they are driver less vehicles. I was riding next to one the other day. It will save us from vehicle accidents and speeding which will save money. They are designed by Google here in the Bay Area....
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frostyWV
Champion Author West Virginia

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Message Posted: Sep 25, 2012 11:00:41 PM

not with speculation jacking prices up and refineries playing games to keep their wallets fat.
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carpenter4u
Champion Author Virginia

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Message Posted: Sep 25, 2012 11:00:11 PM

Obama and Romney have totally different ways of doing this.... I say Drill Here Drill now
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car15
Veteran Author Fort Worth

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Message Posted: Sep 25, 2012 10:52:25 PM

Ok
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OGW
Champion Author London

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Message Posted: Sep 25, 2012 10:48:44 PM

The price will be driven by world oil prices regardless where the oil comes from.
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abcdMA
Champion Author Worcester

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Message Posted: Sep 25, 2012 10:45:32 PM

we need to be independent
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kcboy
Champion Author Utah

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Message Posted: Sep 25, 2012 10:45:30 PM

ok
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Aviator_Rob
Champion Author New York

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Message Posted: Sep 25, 2012 10:44:21 PM

hper said, "Just take US oil off the world market."

Big Oil says, "No."

Now, how do you intend to persuade them?
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Aviator_Rob
Champion Author New York

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Message Posted: Sep 25, 2012 10:42:45 PM

No guarantee that Romney will be good with the doing, either, @hank1326.

Mitt still hasn't leveled with the American people about how he intends to fix America. He's long on platitudes but very short on specifics.
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rasprout
Champion Author Tacoma

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Message Posted: Sep 25, 2012 10:42:39 PM

Should this surprise anyone?
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zantor
Veteran Author San Bernardino

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Message Posted: Sep 25, 2012 10:41:45 PM

oh
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Aviator_Rob
Champion Author New York

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Message Posted: Sep 25, 2012 10:40:42 PM

You may get your wish sooner than you think, @DEG. Brent crude from the North Sea is drying up at an alarming rate. Great Britain stopped being a net oil exporter years ago and Norway will follow them soon.
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Holly123
Champion Author Charlotte

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Message Posted: Sep 25, 2012 10:40:28 PM

No, but it may help.
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DriverofRed
Champion Author Calgary

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Message Posted: Sep 25, 2012 10:39:55 PM

k
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Aviator_Rob
Champion Author New York

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Message Posted: Sep 25, 2012 10:38:18 PM

I hear what you're saying, @mstearno, but Big Oil doesn't drill when prices are low. They only produce when they can make the most profit. Overproduction may guarantee supply but it also drives down the price of oil, since a glut of supply will outstrip demand.
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ty58
Veteran Author Akron

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Message Posted: Sep 25, 2012 10:38:07 PM

so we stop paying them for the oil and we start paying somebody else here in the us but that doesn't mean it will cost us less to drive
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Chas58
Champion Author Detroit

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Message Posted: Sep 25, 2012 10:36:56 PM

k
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bonzoonfmb
Champion Author Florida

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Message Posted: Sep 25, 2012 10:36:12 PM

The supply always goes to the highest bidder. There will always be large swings in prices because that is how speculators make money.
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Aviator_Rob
Champion Author New York

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Message Posted: Sep 25, 2012 10:34:47 PM

Thank you, @defiancegasman, for making that statement perfectly. Our energy resorces should be solely for domestic use, not to fatten up Big Oil's bottom line. If they want to sell oil on the open market, they can drill for that oil outside the U.S.

Domestic production should only be for domestic consumption.
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Blue48
Champion Author Illinois

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Message Posted: Sep 25, 2012 10:34:44 PM

WE SHALL SEE!
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gd83goldwinger
Champion Author South Bend

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Message Posted: Sep 25, 2012 10:34:02 PM

Ya, but it would help in not having big swings in costs to consumers.
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mstearno
Champion Author Dayton

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Message Posted: Sep 25, 2012 10:31:07 PM

deela is correct but more energy stops huge swings when nuts like Iran pound their fist...they become less signifcant
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wayoung56
Champion Author Alabama

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Message Posted: Sep 25, 2012 10:30:55 PM

Hmmmmmm...
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Double_Golden
Champion Author San Francisco

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Message Posted: Sep 25, 2012 10:29:28 PM

can we said now that our gov't is greed...
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DeeLA
Champion Author Los Angeles

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Message Posted: Sep 25, 2012 10:27:46 PM

As long as our forms of energy are produced and marketed by private enterprise, "the sale goes to the highest bidder". If the natural resource is purchased at a high price, the end product will be also be high to the consumer.
Econ. 101
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joeschmo12
Champion Author New York

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Message Posted: Sep 25, 2012 10:27:14 PM

True that to the fat cats
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drz614
Champion Author Harrisburg

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Message Posted: Sep 25, 2012 10:26:52 PM

ok
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radiorumor
Champion Author Texas

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Message Posted: Sep 25, 2012 10:25:54 PM

When you are campaigning you can promise anything. Getting it done is a different world.
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Beaveronparade
Champion Author Hartford

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Message Posted: Sep 25, 2012 10:25:47 PM

There are no guarantees in life but I think everyone would agree that Independance is a step in the right direction.
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Blue48
Champion Author Illinois

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Message Posted: Sep 25, 2012 10:22:44 PM

WE SHALL SEE!
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SavALot
Champion Author Virginia Beach

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Message Posted: Sep 25, 2012 10:18:56 PM

Nothing ever guarantees low prices; that's common knowledge
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defiancegasman
Champion Author Ohio

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Message Posted: Sep 25, 2012 10:17:25 PM

US produced OIL is a NATIONAL RESOURCE and should be used by the USA, for the USA, just like all the OTHER OIL PRODUCING NATIONS DO!!

Profits from US OIL should go to the US, NOT to GIANT OIL COMPANIES. They should be forced to BUY the oil from the USA at MARKET PRICES, NOT JUST PAY A ROYALTY SOME OF THE TIME!!!

All the money from the US OIL should be used to help ALL US CITIZENS by either lowering the cost of ALL ENERGY in the USA or be used to LOWER THE NATIONAL DEBT!!
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skyking19
Champion Author Little Rock

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Message Posted: Sep 25, 2012 10:15:01 PM

Global economy will have an impact as well.
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