Willing To Pay More For Gas By Not Buying Russian Oil?

To help the people of Ukraine, we have no choice.
I feel stop buying oil from Russia.
All proceeds fund the Russia war.
Stop buying merchandise from China.
Open ANWAR (offshore drilling) and the keystone Xl pipeline.
The WORLD must do whatever we can to help the Ukraine people!
 

Chet said:
I won't like it but I am. It's $4.09 nearby but I'll pay more if I have to put the squeeze on Putin.
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How high are you willing to go? $7, $9? But that is just for gas.

It's not just the US/Russia economies. It's actually a global economy where reduced production or shortages due to sanctions will reverberate. Many products are made from oil. Here in the US housing prices are already on steroids. Sanctions on Russian oil will push things like roofs for new housing and repairs on existing ones up and up.
 
Harry Le Hermit said:
Still is.
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Not so .... and like the "Electric" car guy, Elon Musk sezs ... start the oil fields pumping again.

"Hate to say it, but we need to increase oil & gas output immediately. Extraordinary times demand extraordinary measures," Musk tweeted on Friday.
"Obviously, this would negatively affect Tesla, but sustainable energy solutions simply cannot react instantaneously to make up for Russian oil & gas exports," he added.

https://sports.yahoo.com/elon-musk-us-needs-increase-144301173.html
 
It is not in the oil companies' best interest to ramp up production. Their investors don't want that. Production is still at 2019 levels and they like it that way. More revenue and more profit!

“Oil and gas companies do not want to drill more,” said Pavel Molchanov, an analyst at Raymond James. “They are under pressure from the financial community to pay more dividends, to do more share buybacks instead of the proverbial ‘drill baby drill,’ which is the way they would have done things 10 years ago. Corporate strategy has fundamentally changed.”

https://www.cnn.com/2022/03/02/energy/us-oil-production/index.html
 
Bonnie said:
Not so
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https://www.eia.gov/energyexplained/oil-and-petroleum-products/where-our-oil-comes-from.php

The United States is one of the largest crude oil producers

The United States became the world’s top crude oil producer in 2018 and maintained the lead position in 2019 and 2020. U.S. oil refineries obtain crude oil produced in the United States and in other countries. Different types of companies supply crude oil to the world market.
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The official tally for 2021 is not out, but should indicate the U.S. with a 1MBPD lead over Russia and Saudi Arabia.
 
Nosy Bee-54 said:
It is not in the oil companies' best interest to ramp up production. Their investors don't want that. Production is still at 2019 levels and they like it that way. More revenue and more profit!

“Oil and gas companies do not want to drill more,” said Pavel Molchanov, an analyst at Raymond James. “They are under pressure from the financial community to pay more dividends, to do more share buybacks instead of the proverbial ‘drill baby drill,’ which is the way they would have done things 10 years ago. Corporate strategy has fundamentally changed.”

https://www.cnn.com/2022/03/02/energy/us-oil-production/index.html
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That was talked, but US drilling was already increasing prior to the invasion per a commodities analysis dated eight days ago.

https://www.reuters.com/markets/commodities/us-oil-drilling-rises-response-higher-prices-2022-02-25/
 
I don't know where the gasoline comes from here actually. So I can't say anything about that. I haven't bought it since before this war started by Putin.
 
Gas prices will likely continue to go up, until this Russian/Ukraine conflict is settled. Europe, especially will see the largest impact, unless there is a sizeable increase in availability from the Middle East.

In the U.S., prices may become the highest since hurricane Katrina hit the Gulf Coast in 2005. The national average is already approaching $4/gal, and may go up to $5/gal. High tax States, like California, may see 7 or 8 dollars/gal.

Workers who live in the suburbs, and have to drive to/from work daily will be impacted the most.

Everyone, however, will feel the effects of rising costs on nearly everything....as delivery charges, etc., will increase.

Bottom line....this will be a good "reminder" to our leaders that this nation needs to take more steps towards making us less reliant on foreign imports. There is No reason why the U.S. needs to import fuels.
 
This won't sit well with everyone, but yes, we are willing to pay higher gas prices because we have two small, 4-cylinder vehicles that are relatively fuel efficient. If there were cars available at a decent price right now I would drive an electric car.

We live in an area where Soccer Moms with 2 kids drive huge SUVs that require $100 a pop to fill them up. They are feeling the pinch more than anyone, and I doubt they are happy.
 
Here in the UK, you can double the value of a car by filling the tank with fuel. Fuel costs in the UK are probably about the highest in the western world. There are vast reserves of oil under the North sea, but the 'tree huggers' want all the oil extraction stopped. Scotland is nearly self sufficient in 'renewable' electricity generation, but has a relatively small population. On the other hand, there is a high reliance on private transport and it will be years before adequate electric vehicle charging is installed. Best to keep oil production going till there's a viable alternative.
 
I just did the calculation converting $A to $US and litres to gallons and it seems we are paying about $6.50 per gallon for E10 petrol. If Americans are paying $4/gal you are very lucky.
 
I am willing to pay the price to put the squeeze on Russia, but the U.S. needs to stop buying Russian oil and not by Iranian oil, either. If our government wasn't so ignorant, we could produce enough to supply our own needs.

My main concern is not to have gas lines again. I will pay the high price, but I want gas to be readily available.
 
Chet said:
Willing To Pay More For Gas By Not Buying Russian Oil?
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A little, but not much. And we should not have too.

I am skeptical that our oil embargos will have much real effect on Russia's exports, not longer term anyway. The Chinese buy lots of oil from Russia and will be happy to buy more. Oil is a very fungible product, if China buys more from Russia they will buy less from other sources. Result will be a bit of jockeying of the markets, but no big impact. Just my non-expert opinion.

So short-term our prices may go up due to the "jockeying" and speculators, but long term probably not much. And the impact on Russia will not be great.
 
These fuel prices will contribute, substantially, to a rising Inflation number. Last year, the "official" rate was about 7.5%, but I expect 2022 to show a rate of at least 10%...possibly more. Higher fuel costs will cause price increases on virtually Every consumer product/purchase. Grocery prices on many items have gone up between 10% and 30% over the past year, and they are probably going to increase that much, or more, this year.

These rising fuel costs, coupled with ongoing shortages of many consumer items....new vehicles, etc., and soaring real estate/rental prices, etc., will likely result in many of us taking another substantial "pay cut" in 2022.
 
The Permian Basin (Texas- New Mexico border region) is the source of 40% of the United States production.
The 2022 chart below shows the figure through January for permits issued .....
Production start-up takes time.

Fact: Thousands in Texas were displaced from their jobs the end of 2019 - 20
Everyone was going to 'Go Green' ... and drive electric cars .... So this is where we are.



drilling-permits.pdf
 

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