More great news for US

RubberFrog · Jul 27, 2006

I'm sure someone can tell me why this is really good news for the economy: Exxon Mobil profit surges on high oil prices- Second largest quarterly profit ever recorded by public U.S. company
http://msnbc.msn.com/id/14056592/
I sure am glad that "the market" is forcing the price of gas up.

LFK · Jul 27, 2006

Re: More great news for US

All of the oil companies are making huge profits right now.

For example, Shell is up 40% for the quarter....even more than Exxon.

RubberFrog · Jul 27, 2006

Re: More great news for US

So why is that good?

rodbolt · Jul 27, 2006

Re: More great news for US

its great news, means the oil execs will have more bones to toss and the more they toss the more trickles down, any dummy knows that.

LFK · Jul 27, 2006

Re: More great news for US

RubberFrog said:
So why is that good?

Someone who drank the party punch will have to answer that for you.

Other than the obvious benefits for the oil industry execs and their stock holders I'm at a loss.

KaGee · Jul 27, 2006

Re: More great news for US

Citgo's must be up too. I see His Majesty El-Presidente' has ordered more fighter jets and weapons.

briannh1234 · Jul 27, 2006

Re: More great news for US

The oil companies have us right where they want us.

Let's look at what hurricane Katrina did for the oil industry that kicked off the record profits...

1) Katrina screwed up several refinerys

2) Katrina screwed up several piplines

3) Katrina screwed up several offshore rigs

The end result - the oil industry ships LESS product ...

AND MAKES MORE MONEY THEN EVER....

It's win-win for them, and their shareholders.

And - what's the incentive to fix the refineries? Whats the incentive to fix the oil platforms? Whats the incentive to fix the pipe lines?

Whats the incentive to build a new refinery - less profit?

Get used to the high oil prices. They are not going anywhere.

- Brian

technostingray · Jul 27, 2006

Re: More great news for US

"I guess their just making the best of a bad situation, reckon I'd do the same if it was me" (Bobby Russel, 1970) back to top

RPJS · Jul 27, 2006

Re: More great news for US

I don't mind paying over $7.00 gallon for petrol now I know that I'm going to get a few "bones" from an Exxon director.
:'(

QC · Jul 27, 2006

Re: More great news for US

Well there is the naive possibility that more demand (China and India) and reduced supply (caused by Katrina, which was caused by Global Warming which is Bush's fault) will cause additional investment in exploration and production due to competitive threats. This would insure future availability and potentially lower prices when adjusted for inflation . . .

Naaaahhh, it'll never happen. Most competing companies look the other way when they see record profits, and the oil companies are just one big Bush controlled monopoly anyway. That kind of fantasy only happens with other, less selfish, businesses like uhhhhh Walmart. Wait, wait, they sell fuel, hmmmmmmmmm.

RubberFrog · Jul 27, 2006

Re: More great news for US

Q, wally world sells fuel, they don't manufacture/refine it.

As far as the "competitive threat" theory you present, there is no real competition among the big oil companies. There are only a small handful of serious players in the oil oligopoly. Each one knows that if they move first and are successful, the others will follow suit and eat into the profit. This removes the benefit of investment. Why risk it when they are all experiencing record profits?

QC · Jul 27, 2006

Re: More great news for US

Well of course my comments were toungue in cheek (you don't recognise your own medicine?), but there are more in the exploraition and drilling side than just the big guys . . . No?

Edit: BTW, I still submit that high margins attract competition just like flies . . . I don't agree that they all will sit on their hands.

CalicoKid · Jul 27, 2006

Re: More great news for US

BP is currently clearing $55,000 in profit per minute!

JB · Jul 27, 2006

Re: More great news for US

What percentage of revenue is that?
What percentage of capitalization is that?

Is it evil if the biggest corporation in the world makes the biggest profit?

treedancer · Jul 27, 2006

Re: More great news for US

The last refinery built in the US was in Garyville, Louisiana, and it started up in 1976.

I wonder if they will build a new refinery now? Naaa that would but a crimp on the in the profits ,cant have that.

rodbolt · Jul 28, 2006

Re: More great news for US

I have a friend that makes good money rebuilding7expanding refineries around the gulf coast and midwest.
dont confuse no NEW one with modernized and expanded ones. thats a part of the story they wont talk about on the tee wee but I know a lot of them that have tripled in size since the 70´s.
I dont think the chevron plant in grand bay AL was brought online till about 1979 and its 4 times larger today than the day it first started refining.
the katrina thing is whookum. pure blather. if ya believe katrina affected world energy then come on over to kitty hawk and buy some swamp from me.
its funny how big oil has a built in monopoly yet no one says anything. maybe the next crop of crooks will help us. in the meantime I gotta go pay 15cents a gallon for 95 octane premium unleaded that was refined in houston Tx so I can go from caracas to Rio chico and do a bit of tapon fishing in the morning.
oh, malboros here are 1.50 a pack with tax. and thats per pack at the convenience store, why are they over 4.5 a pack in the states plus sales tax .

CalicoKid · Jul 28, 2006

Re: More great news for US

Maybe the oil companies should be paying the US for military protection. Seems they're the ones benefiting from our kids dying in the desert. Oh wait they are paying.. in the form of lobbyists.

RubberFrog · Jul 28, 2006

Re: More great news for US

JB said:
What percentage of revenue is that?
What percentage of capitalization is that?

Is it evil if the biggest corporation in the world makes the biggest profit?

Gee, I sure wish life looked that simple to me. We're human beings, not percentages and dollar signs.
These oil companies are hurting the American economy.

kenimpzoom · Jul 28, 2006

Re: More great news for US

JB said:
What percentage of revenue is that?
What percentage of capitalization is that?

Is it evil if the biggest corporation in the world makes the biggest profit?

If you want to judge evilness by the profit %, the banking industry leads the way. They make 25-30%. OIl companies are probably making 15% right now. Seven years ago they wre loseing their shorts, but no one remembers that.

Some people just enjoy feeling like victims. It couldnt possibly be because they drive huge gas guzzling SUV's, live in gigantic houses, and the world economy is booming right now. Nope, I really enjoy feeling like a victim.

Ken

RubberFrog · Jul 28, 2006

Re: More great news for US

kenimpzoom said:
JB said:

What percentage of revenue is that?
What percentage of capitalization is that?

Is it evil if the biggest corporation in the world makes the biggest profit?

Click to expand...

If you want to judge evilness by the profit %, the banking industry leads the way. They make 25-30%. OIl companies are probably making 15% right now. Seven years ago they wre loseing their shorts, but no one remembers that.

Some people just enjoy feeling like victims. It couldnt possibly be because they drive huge gas guzzling SUV's, live in gigantic houses, and the world economy is booming right now. Nope, I really enjoy feeling like a victim.

Ken

The world economy? I'm a little more concerned about the US economy.
Why do you always throw out the "victim" word? That is such a loaded word with a very negative conotation.

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