Re: Oil And Gas Prices-Perceived Value

[Guest]

Re: Oil And Gas Prices-Perceived Value

If any of you can access the files of WorldNetDaily.com, an online newspaper service, check out May 25, 2004 an article by Chris Bennett titled, 'Sustainable Oil?'

It turns out that long abandoned oil wells have have been refilled, and not from side flow as one would imagine. Instead, petroleum is created from Methane gas rising through heated layers of the Earth's crust.

There never was, or ever will be a shortage of petroleum products.

 

[Guest]

Re: Oil And Gas Prices-Perceived Value

One other factor in this mess is that since the 80's when the bottom fell out of the "awl bidniz", the producers have become lean enough operators that they can make money with crude at $10/barrel. That means that at $55+/barrel they don't have much incentive to produce more at the moment. This may be changing now, however. A friend of mine's girlfriend comes from an old South Texas ranching family. Exxon has several leases on her land with capped wells. She says that in the last few weeks thay came in and uncapped them and are working them over so they can pump. Good for her; she gets the proceeds of every 8th barrel they pump from each well as royalties.