Gas for $1.99 a gallon around here.

People don't realize how much it's all based on supply and demand

 

Damned if I know. I'll ask the ol lady when I get home tonight. I'm pretty sure she calls them "units" which is where I got it from. Probably measures out to a pint though lol.

 

The closest simple metric number would be 500ml, but that's about 5% less than a pint.

Canuckians are getting hosed, eh!

 

I was filling my diesel excursion up for about $85. Now $75 gets me a half tank.

 

That’s the best explanation of this Yo-Yo pricing I’ve seen to date . Plus no animals were used in the explanation

 

Yo-yo pricing?


Seems pretty steady increase since....well.....you know when...






















And shit

 

OH … Yeah .. it had to be his fault

 

The oilfield is just now recovering from the longest recession in its history.

My dad tells me about the oilfield recession (aka “downturn”) in the mid 80’s. It was the worst ever until that point. But it only lasted about 3-4 years (IIRC).

The oilfield went into a downturn back in 2014. At one point oil had gotten to where you damn near couldn’t give it away.

It got back up into the $70’s or so last year (per bbl) and has been above $80 for a while now.

Not exactly an answer to your question. I was just saying the oilfield has been in a recession for a very long time.

Over the past 7 years or so, there has been “some” drilling. But not anything near normal (prior to 2014).

The price of oil started to come up and we started seeing the light at the end of the tunnel, then Covid hit and shut the world down.

Now it is coming back from that hit as things get back to normal.

To be honest, I hope it (drilling) doesn’t pick up more than it is now. At the current oil price and supply vs demand balance, rigs keep working, people keep jobs, Operators are making money, and things are stable.

But it never stays like that. Contractors will get greedy and start flooding the market with rigs again at some point.

….which will flood the market with oil. Which will drop the oil price, and here we go again…

 

You mean you forgot about 2008?
Gas was the same price then ( not adjusted for inflation, dollar value)

Or how about 2 years ago, when demand plummeted, and the barrel price went negative?

 

I remember that, too!

 

220-250-500ml she says. Depends on the product.

And yeah, we're getting hosed.....BUT we're saving the climate though, one tax at a time. It's all for the great good of humanity ya know

 

Ah yes, the healing power of perpetual apologies.

 

Yep.

Some of it is simply market reaction and projections. Rumors of an upcoming war, and a war could lead to supply issues…oil price goes up.

I can’t get into it here. But a lot of it is political.

The price of oil has gone up a lot over the last year, due to decisions made in Washington. When decisions are made that make it harder or more expensive to drill, produce, transport, etc…the oil price goes up.

And of course, a large part of the price of gas (not oil, gas at the pump) is taxes. When Federal and State taxes go up, so do gas prices.

That’s about all I can say without getting political.

Then OPEC has A LOT to do with it, along with production rates in Saudi and Russia.

So there are many variables in the equation of oil (and gas) prices. But the overwhelming factor is simply supply vs demand.

 

There was a “mini-downturn” in 2008, but it didn’t last long at all. I think it lasted about a year.

It was so short, that many rigs didn’t actually get affected by it because they were in long term contracts.

The price of oil dropped, but they were locked in contracts. By the time their contracts ran out, the price had came back up.

 

Also people keep comparing gas prices during 2020 when there was little to no demand and a surplus of oil to now when things are more like normal.
Plus other politics like you said

 

Akshully...

Oil futures went negative $38/bbl one night as I recall.

So, yeah. You couldn't even give it away.

 

A gallon of regular cost $1.31 in 1982. If it grew at the rate of inflation for forty years, it would cost $3.78, or almost exactly what it costs today.

 

If ifs and buts were fruits and nuts a frog wouldn't bump his ass every time he jumped.

 

$5 +/- in La Jolla.
I emigrated in 1989, everything was $0.99 per gallon.

 

Huh? Where you buying mr12 then?

In '96 I paid .78/gal for 87.