Forget that “below $3/gal gas for 30 days” prediction from Tom Kloza. The combination of world events has changed all that.
He does not expect 2008 to be an average year, sees gasoline prices peaking between $3.25-$3.75/gal.
Top 10 stories of the year from Platts, The Barrel. #1 is a gimme: Oil reaches close to $100/barrel for WTI.
It’s the energy prices, not the ethanol that’s making food more expensive.
The case against Peak Oil. A kind of convoluted supply and demand market correction.
Contango and backwardation. Would you like to dance?
Looks like $3/gal gas might be the tipping point for driver conservation.
Tom Kloza of Speaking of Oil submits that, “Financial investment & speculation are to oil prices as steroids and human growth hormone are to baseball statistics.”
The cost of ethanol. Growing all that corn means using a lot of nitrogen fertilizer, which goes into the Mississippi which goes into the Gulf. And it’s growing a ‘dead zone’ where fish, shrimp and crabs suffocate.
Hunters read the signs of global warming.
AAA Michigan says statewide ave. gas prices are down $0.13/gal. to $2.94/gal. If you live in the Detroit area, you might only be paying $2.90/gal.
Gas prices in New England have fallen a little bit to $3.06/gal.
Ohio gas prices down $0.12/gal. Statewide ave. is now $2.91/gal. of regular.
Light, sweet crude down to $87.86/barrel. Nation ave. gas price is $3.003/gallon per AAA.
Yes, their long-range predictions have been wrong for the past three years, but that doesn’t mean they don’t know what they are talking about. These experts are followed by energy and commodity markets, and disaster relief professionals
The noted Colorado State University hurricane research team predicts that 2008 will see 13 tropical storms developing in the Atlantic. 7 of them will turn into hurricanes.
The team said 3 of those hurricanes will be the wicked Category 3 variety.
Tom Kloza of Speaking of Oil suspects “that we’ll see average U.S. prices dip below $3.00 gal by Monday.” You can track this prediction at the website OPIS put together for AAA at www.fuelgaugereport.com .
Gail, the Actuary, writes about the US Electricity Supply Vulnerabilities. “The likelihood of widespread electrical outages in next five to ten years is uncomfortably high.”
Cleantech blog talks about California’s new low-carbon fuel diet.
Don’t hold your breath, OPEC will not be raising its production (or so they say now).
Looking out our own back door
All things considered, there is simply no better place on earth to go for oil and gas than Alaska’s North Slope.
Huge Energy Bill passed in the House. But probably DOA in Senate and White House.
Zman spells out happenings in the oil/gas market
Just a sample
Crude Oil: Fell $0.83 to close at $87.49. Somewhat confusing since OPEC ministers barely got out of their limos long enough to say Cartel output is sufficient and U.S. saw their biggest drop in recent memory.