Gas Price Manipulation
And Gull Island Oil
By Joel Skousen
World Affairs Brief
It's well and good that Congress vote to stop filling the US Strategic Oil reserve because the US already
has billions of barrels in the ground in Alaska--entire oil fields capped and drilled, but kept off the
market. The filling of the Strategic Petroleum reserve is merely one more attempt to keep fuel in short supply.
I will be blunt. There is a conspiracy to raise fuel prices and it is pernicious. No one is targeting the
collusion we see daily between the oil companies.
Fred Cederholm in a Baltimore Blog noted these careful observations during the latest and suspicious
run up in gas prices too rapid and too well coordinated to be a result of natural market demands.
"It must have been some pricing strategy by all of the fuel retailers because the spike [of 13 cents
a gallon] occurred everywhere, regardless of the company or the brand, at almost the same moment [within 2
I had already been on-line checking world-wide news and developments when a friend and neighbor
stopped at the house to tell me I had better fill up immediately because a price jump was coming.
I logged off and topped off my gas supplies for all of my fuel thirsty vehicles and gizmos.
I then went back on-line to find out why the spike occurred. I found not one single development,
catastrophe, or explanation. I found nothing to justify the jump!" Later, the media will always
be fed some event used to justify the increase, just like their servile explanations that "the stock
market rose today due to some company performing better than expected." Nonsense.
PUBLIC NEEDS TO DEMAND OPENING OF THE GULL ISLAND OIL FIELD
I have long maintained that the US government is purposely keeping US oil discoveries off the market in order
to allow insider oil companies to drive up prices and save US supplies for the next war. Evidence continues
to confirm that charge. A massive oil/natural gas field exists under Gull Island, located in the waters of Prudhoe Bay in Alaska, according to Lindsay Williams. Williams was an Alaska oil field Chaplain who was so successful at boosting moral during the building of the Alaskan pipeline that he was given special access to many high level meetings at the Atlantic Richfield company. At one of those meetings, he witnessed, first hand, discussions confirming a successful find of a massive new oil field near Prudoe Bay in Alaska--at Gull Island the day before the meeting.
A few days later, the chief operating officer of Atlantic Richfield for Alaska, Ken Fromm, who had invited
Williams to the meeting, called him and told him he must never mention this new discovery--that the
US government had classified it and was ordering it capped. It is still being held off the market and
is not part of the environmental lock-down of oil in the Arctic National Wilderness. Williams was given
a British Petroleum memoranda [probably by Fromm] which related the statements of upper echelon oil
officials from Arco which said that Gull Island would be kept under wraps, limiting domestic supplies
so Americans would someday see prices hit up to $10 a gallon at the pump.
Lindsey Williams decided to violate that informal ban and publish a book, The Energy Non-Crisis, about
the scandal. Ken Fromm was finally fired by Atlantic Richfield for allowing Williams in on the meeting
and for helping correct technical details in Williams' book. He told Williams that the Powers
That Be were making sure his book would be suppressed and would not get any establishment media coverage.
"Gull Island just proved what the oil companies have believed for some time.
It authenticated the seismographic findings. Seismographic testing has indicated that there is as much
crude oil on the North Slope of Alaska as in Saudi Arabia. Since the Gull Island find proved to be
seismographically correct, then the other testings are correct also. There are many hundreds of
square miles of oil under the North Slope of Alaska.
"To clarify what I am about to say, let me first re-emphasize that the government permitted the
oil companies to drill and prove many sites (subsequently making them cap the wells and keep the
proof of the finds secret), but they do not allow them to produce from the wells. This is why
I have referred (below) to a number of wells having been drilled (after I left the North Slope).
The only production permitted is from the small area of the North Slope.
"Gull Island is located five miles off shore from Prudhoe Bay. It is in the Beaufort Sea.
The chemical structure of the oil at Gull Island is different from that of the oil in the
Prudhoe Bay field and the pressure of the field is different, proving that it is a totally
different pool of oil from that at Prudhoe Bay... Three wells have been drilled, proven,
and capped at Gull Island. The East Dock well also hit the Gull Island oil pool (you can
tell by the chemical structure). For forty miles to the east of Gull Island, there has not
been a single dry hole drilled, although many wells have been drilled. This shows the
immensity of the size of the field.
"Only recently, just west of Gull Island, the Kuparuk oil field has been drilled. Again,
this is a totally separate pool of oil from either the Prudhoe Bay field or the Gull Island field.
The chemical make up of the field and the pressure of the field is different from the others, proving it to be a totally separate pool of oil. In an entirely different area of the North Slope than the 100-square-mile area of the Prudhoe Bay field, the Kuparuk field is approximately 60 miles long by 30 miles wide and contains approximately the same amount of oil as the Prudhoe Bay field.
"From 1973 through 1980 we were being told continually that America was in the midst of a major energy crisis,
yet no oil production was allowed from the Kuparuk field. It wasn't until 1981 that permission was finally granted for production. Why the delay--if there really was a crisis? The reason Mr. X made the statement that there is as much crude oil on the North Slope of Alaska as in all of Saudi Arabia is because the oil companies have drilled all over the North Slope and have proven there is that much oil there, but still they are only allowed to produce from the small area."
"Americans will also be shocked to know that almost all Alaskan crude is shipped overseas
(most to Japan) while America has to import most of its oil. "Possibly you have heard
it stated that the Alaskan crude oil has such a high sulphur content that it cannot be
refined by most oil refineries in the U.S. We are being told that this is the reason why the
Alaskan oil is not helping to solve America's energy crisis. This is also the excuse that
is being used for shipping Alaskan crude oil to other countries. It has also been reported
that major power companies are even telling this to their customers, using it to justify
their need for rate increases....[However] An August 11, 1980, analysis of the Prudhoe
Bay crude oil, which is flowing in the Trans-Alaska Oil Pipeline, reads as follows:
Sulphur content - 0.9% The sulphur content of the Prudhoe Bay Alaskan oil is low in
comparison to oil from other sources in the U.S., as well as many foreign oils."
Black Gold Stranglehold
Americans thought $3.00 per gallon gasoline was absurd when Craig Smith predicted the price hike
in 2004. In October 2005, Americans are paying $3.00 and higher per gallon of gas, now Americans are paying $ 4.00 a gallon, with heating oil at $ 4.65 a gallon.
But the price hike
does not stop at the gas pump. Winter heating oil is expected to cost 50% more than it did last year.
As a result, Americans are asking “how high the price of gas and oil?” Jerome Corsi and Craig Smith
argue that these prices are unnecessary and the oil problems we face have reasonable and attainable
In their groundbreaking book Black Gold Stranglehold: The Myth of Scarcity and The Politics of Oil,
Corsi and Smith share their belief that the “U.S. has the opportunity to help give birth to a new
generation of oil politics and economics that will eclipse in greatness what we have already
There is no OIL shortage, on a plot to extort more money from the Citizens of the United States of America.
Look at this entire web site and you will be amazed at how America has been Raped!
Ask Congress about "GULL ISLAND"
They will never respond, except that they have set acts in motion, that will never be voted on, but they will never explain why GULL ISLAND has been capped.
Take the time to view this entire site.
It is well worth the effort.
July 1, 2012
Dakota Oil Boom Exposes Obama’s ‘Self-Serving Falsehood’
North Dakota is experiencing such a boom in revenues from oil production that voters actually considered a measure to abolish the state’s property taxes.
Although the measure was defeated in the June 12 vote, the fact that it was even considered points to the incredible economic opportunities enjoyed by North Dakota residents due to unfettered oil production.
“It turns out that, yes, we can drill our way out of our problems,”
Investor’s Business Daily (IBD) observes in an editorial.
“If you can see a pattern here, you're way ahead of President Obama. His argument is that we can't drill our way out of high energy prices let alone out of debt and the need for higher taxes. But it's about to be exposed once again as the self-serving falsehood it is.”
North Dakota in March pumped oil at the rate of 575,490 barrels per day, replacing California as the nation's No. 3 oil-producing state behind Texas and Alaska. At its current rate of production growth, North Dakota will likely surpass Alaska sometime this year.
Continental Resources, which operates 10 percent of the drilling rigs in North Dakota, estimates there are more than 900 billion barrels of oil in place.
Only 27 billion to 45 billion barrels are actually recoverable using today's technology, but that amount will grow as technology advances.
Thanks to the energy boom, North Dakota has the nation's lowest unemployment rate at just over 3 percent, and Williams County — at the center of the drilling boom — boasts the lowest jobless rate in the country at just 0.7 percent.
Oil revenues in the state generated some $840 million in fiscal 2011 and are expected to deliver more than $2 billion over the next two years. State per-capita income is $4,000 above the national average.
“The North Dakota oil boom has occurred on private and state lands, unfettered by federal edict that has placed out of reach much of the estimated 200-year supply of oil within our borders,” IBD stated, noting that 94 percent of federal onshore lands and 97 percent of federal offshore lands are off-limits to oil and gas drilling.
As the Insider Report disclosed earlier, the Green River Formation, a largely vacant area where Colorado, Utah, and Wyoming come together, contains about as much recoverable oil as all the rest of the world's proven reserves combined.
But most of the oil is beneath federal land overseen by the Department of the Interior's Bureau of Land Management, and the government has "locked up" development of the huge resource, critics charge.
“Critics will say North Dakota is a small state and its success couldn't be replicated nationwide,” IBD concludes. “Oh, yes it can.
“We can cut taxes, boost employment and jump-start economic growth if we tap into that 200-year supply of oil and back oil-extraction technology with as much enthusiasm as the Obama administration backs electric cars and high-speed rail.”
Oil Is NOT A Fossil
Fuel - It Is Abiotic
By Jerry Mazza
Online Journal Contributing Writer
It seems so easy to believe this idea. Oil contributes greatly to polluting the environment. The industrial age has intensified its use greatly. The more we use, the more we lose fresh air, even the ozone. And therefore it seems almost divine justice that we are about to exhaust this so-called "fossil fuel" within several decades and two hundred years, this cursed blessed hydrocarbon which took millions of years to produce.
And, therefore, it almost seems we get what we deserve: a petro-powered society in which once the oil supposedly runs out we will suffer mass annihilations of population, famine, war, total deceleration, a withdrawal into the caves. And, therefore, we should have our prophet From the Wilderness.com, Michael Ruppert, predict this on an ongoing basis. And his biblical tome, Crossing the Rubicon shall subhead the big idea: The Decline of the American Empire at the End of the Age of Oil. Well, no, not so, kimosabe, not by a long shot.
To begin with, oil is not a fossil fuel. This is a theory put forth by 18th century scientists. Within 50 years, Germany and France's scientists had attacked the theory of petroleum's biological roots. In fact, oil is abiotic, not the product of long decayed biological matter. And oil, for better or for worse, is not a non-renewable resource. It, like coal, and natural gas, replenishes from sources within the mantle of earth. This is the real and true science of oil. Read all about it.
In fact, working in the 1950s, Russian and Ukrainian scientists, cut off from the Western World's oil supply, applied their keen minds to the problem and, by the 1960s, had thoroughly demolished the idea of oil as a 'fossil fuel,' Is it any wonder then that Russia is one of if not the leading producers and exporters of oil. The isolation of the Cold War forced Russia to dig deeper, literally, to find oil deeper in the earth in some places, and to look in other places where no one had thought to look to reveal more. This while America feels incumbent upon itself, since it claims oil production and discovery has peaked and will fade to nothing in several decades, that America's feels it must make war to take other people's oil: Afghanistan, Iraq, Iran, the Caspian Basin, Sudan, etcetera.
And to others who have oil, it must either rattle its saber, as with Venezuela, threaten to kill its president who will not buckle and sell all his oil to America. And with the Saudis we will protect them from their own terrorists and any Saddam that comes along. And we will get in bed with them so long as we can have the lion's share of their oil, and the say-so as to who gets the rest. And therein lays the evil genius, secret and sham of the 'Peak Oil' put on.
If oil, as coal, and natural gas, restores itself by nature, if we will more likely run into it then out of it, how do we continue to make money on it? Certainly not by giving oil away at some reasonable price. After World War II, oil was about 25 cents a gallon at the pump. Even given the spiraling inflation since then-last week I paid $3.50 a gallon for it in New York City, 14 times that price. A week after the summer holiday season ended (the peak usage season), oil is down to $3 a gallon. I doubt if I'm the only one who notices oil's price shoot up every summer, then slither down a bit after, and then climb up in the middle of the winter when the heating bills waft in, and old and poor people who can't afford the hikes begin to freeze and die in their own homes.
Someone is shilling for the American petro-brokers, because 'Peak Oil' is a wonderful concept to use to go out and war for "the control" of oil resources. So that a barrel of crude can suddenly jump from $20 to $70 to $100 a barrel, or to two, three or four hundred dollars a barrel, therefore providing exponentially expanding profits for oil companies and oil suppliers who relish the idea of having an "inelastic demand" for their gasoline. 'Peak Oil,' as writer Dave McGowan points out in his priceless Newsletters, which you can find at Educate-Yourself.org, 'Peak Oil' will even drive oil companies like Shell, to attempt to shut down an incredibly profitable facility, like the one it owns in Bakersfield, California,.
This Bakersfield facility, like others in California, runs along the San Andreas fault line, which abounds along its route through the state with rich crude oil and natural gas fields, products of seepage from the earth's mantle, from the tectonic plates, as Dave would say, 'passing gas' and rumbling as they move. In fact, oil and the family of hydrocarbons are often found at volcanoes and fault lines, as they are in deserts, watery gulfs, and sea basins. Let's demystify it all.
The real reason a company like Shell Oil would close a facility like Bakersfield-to bulldoze it, stop it-is to halt the production, refining, and supply to drive up the price of oil. It's that goddamn simple and ugly. And we're doing the same thing today in Iraq, bulldozing a country, to control and reduce its oil supply. Never mind supplying a botched democracy that we can't even supply for ourselves in America.
Concurrently, we are also bringing apocalypse to its population, thinning it with more than 100,000 dead, tearing its infrastructure apart, water, sewage, power, media, hospitals, name it. We are decentralizing Iraq's cities, driving people out of them or out of the country, or bombing them back to the Stone Age as our generals are so found of saying. And Iraq, like Afghanistan, is the paradigm of the future, of how we will engulf and devour countries, cities, even our own, like New Orleans for instance, whose Gulf is a rich source of oil, and through whose ports pass a large percentage of our nation's supply.
The U.S. political henchmen are thinning the Iraq population to fatten the profits of the oil barons like David Rockefeller. In McGowan's own inimical words, from page three of another Newsletter:
THE ROCKEFELLER CORPORATE OIL MAJORS should be thrown into jail for selling fraudulently priced items as well as cheating on generations of their corporate taxes (due to tax write off 'depletion allowances,' which they knew were lies. This abiotic oil story is perhaps the largest underground ((no pun intended)) scam story of the past 200 years: an ongoing corporate success of pricing abiotic renewable oil to act out an artificial scarcity, combined with all the related ideologies required to sell that motif of artificial scarcity, and all the millions they have made and still make on the fraud, and all the tax dollars they have, stolen, etc."
In this concept of 'Peak Oil' you have the system's secret to hold the world hostage. Not that we shouldn't take care to not overuse oil, not that we should avoid conservation, or even to stop poking the planet, and actually seek purely organic ways in which to live. But now, now that we are here, and have billions of people to sustain, we must not let vast numbers of them be harmed, murdered, abused, because of feigned shortages, economies overturned by outrageous prices, everyday working people be bankrupted by same, to get to work, to warm their homes, to cook their families' food, to participate in an organized society. We must not make the beasts, the Bilderbergers, the elites, the oligarchs use the 'Peak Oil' lever to bend the backs of the world on its wrack.
Believing in 'Peak Oil' is not a price to pay to avoid the price of drilling for oil in new ways, for setting fair and unwavering commodity prices. The cost of blood and lives and the future of nations are too much to pay for the folly of 'Peak Oil.' In fact, realizing that oil is a self-renewing resource puts the neocon agenda into a new perspective. Instead of seeing 'Peak Oil' as the end days of technological civilization literally losing its power, see this idea as the further manipulation towards fascist power and subjugation that it is: still another way to scare the world into believing its resources are terminally finite, and that we must be led into another and another war that must be waged to survive.
If we do not accept the lie, the manipulation of 'Peak Oil," it is not to say we can't devise new systems to bring life and the world forward. It is only to put the petroleum barons on notice. It then gives us a chance to bring people together, to tear away the false scarcity, to share resources, to experience peace, to alleviate poverty with the abundance of renewable hydrocarbon resources, as with the abundance of the human imagination. Or else we end up with another Ruppert rubric, Sizing Up the Competition - Is China the Endgame?, another piece of priceless paranoia to peddle for perdition, another dark ops for a bright new generation of believers. More war, endless war it is, to enrich the already rich, to impoverish the already poor.
Do not let this happen, even in the short run. As reported by the Energy Information Administration, International Energy Agency, files: "THERE IS NO SHORTAGE OF OIL."
"Before hurricane Katrina reached the shores of the Gulf of Mexico, most oil companies had taken the precautionary measure of evacuating their 30,000 offshore employees and shuttering their platforms and oil rigs. Therefore, it was not a surprise that on Aug. 30, some 95% of the Gulf's production of 1.5 million barrels of oil per day was 'shut.' By Sept. 6, that figure had dropped to 58%, with close to half of the oil production capacity having been restored.
"On Sept. 2, the 26-nation International Energy Agency agreed to make Available to the U.S., 2 million barrels of oil per day, half petroleum and half gasoline. In other words, when the gasoline shipments start arriving from Europe in the next week or so, along with the 1 million barrels per day from the U.S. Strategic Petroleum Reserve, which are being released under IEA guidelines, the U.S. will be swimming in oil."
And then there's this from the LaRouche Executive Intelligence Report News Service: "When Sen. Byron Dorgan (ND-N.D.) introduced his Windfall Profits Act on Sept. 7, he estimated that the major oil companies were stealing $7 billion more per month in profits than they had been 18 months ago. There is no shortage of oil." Again from EIRNS:
"THE HOUSE OF WINDSOR-PIVOTED OIL CARTEL IS POISED TO CARRY ON ITS GLOBAL LOOTING OPERATION BY PUSHING THE PRICE OF OIL ON THROUGH $70 PER BARREL. Key to this is that the oil cartel controls all the critical facets of the industry, as a single integrated system: (1) in the U.S., the oil production system (aside from the imports); (2) the oil refinery network; (3) the oil distribution network; and (4) international, the oil derivatives market. It extracts a margin of $40 per barrel of petroleum in pure theft to try to bail out the bankrupt world financial-monetary system."
From the Observer, 9/11/05: THE OBSERVER OF
LONDON DESCRIBED KATRINA AS HALLIBURTON'S "PERFECT STORM." Halliburton stock has risen 10% since Katrina on expectation of "Iraq-style" contracts-no-bid, cost-plus bonanzas. The Observer notes that Rep. Henry Waxman (D-Calif.), who leads the fight against the massive corruption by Halliburtn and other Bush/Cheney cronies in Iraq, is 'keeping a very close eye' on the contracts now being put together for Katrina reconstruction.
The Observer also notes that Joe Allbaugh, Bush's first FEMA chief and now a lobbyist in D.C., with Halliburton's KBR as a client, is known as the "Karl Rove" of contracting."
And on and on it goes. And thanks to men of good will like Dave McGowan, Lyndon LaRouche, geologist Thomas J. Brown, and many others, for their knowledge, their courage, and their guiding light. Let us follow wherever it shines, far from the "Peak Oil' precipice to a level playing field for humanity. We have nothing to lose but our shortages.
Jerry Mazza is a freelance writer residing in New York. Reach him at email@example.com.
The views expressed herein are the writers' own and do not necessarily reflect those of Online Journal.
Economic despair reigns in America, as stagnation and mounting debt make our future look hopeless. Yet America is uniquely positioned to rebound and recover our economic preeminence. All that is necessary is a political decision to reverse our energy policy and stimulate domestic production of hydrocarbons. From that would flow a true economic stimulus that would mend many of our ills.
The United States is again, for the second time in less than three years, being reminded of its absurd dependence of foreign sources of energy, most notably, oil. The upheavals in the Middle East have driven up the cost of a barrel of oil into triple digits as it was in 2008. The increasing demands of countries such as China and India and the deliberate devaluation of the dollar by the Federal Reserve and the Obama administration are steadily pushing up oil prices in dollars.
The country's dependence of foreign sources has increased to 52% of the daily requirement as compared to 45% just 15 years ago. Over half of that amount comes from countries that are inherently unstable or ruled by despotic regimes whose interest it is to de-stabilize the United States.
Yet the United States is sitting on the world's largest untapped oil reserve. A natural resource that would not only mitigate the over $400 Billion sent overseas to other countries but could create untold millions of jobs and put the country on a sound financial footing.
The untapped reserves are estimated up to 2.3 Trillion barrels, nearly three times the reserves held by the OPEC countries and sufficient to meet 300 years of demand, at today's levels -- for auto, truck, aircraft, heating and industrial fuel, without importing a single barrel of oil.
The US could become the single largest exporter of oil and oil related products in the world, thus potentially eliminating its trade deficit, and increasing the national standard of living as well as making a massive dent in the national debt.
Here is a look at some of the largest untapped reserves:
The Bakken Fields in North and South Dakota. New drilling and oil recovery technology is making the capture of this oil feasible and some development is now underway. It is estimated that there is at least 200 Billion barrels of oil in this region. At a price of $100 per barrel the value of this find is $20 Trillion.
The Outer Continental shelf. It is estimated that around 90 billion barrels of oil sit beneath the ocean bed 50 to 100 miles off the shore of the Atlantic, Pacific and Gulf coasts. The value: $9 Trillion.
The Alaska National Wildlife Refuge. About 10 billion barrels are locked up here with a current value of $1 Trillion.
Tar Sands: Around 75 Billion barrels of oil could come from these areas which are similar to the Canadian tar sand fields and which now produce about 2 million barrels per day. The value: $7.5 Trillion
Oil Shale. This is the most massive area of potential oil production in the world with an estimated 1.5 Trillion barrel potential. The technology necessary to extract this oil is now in place and being operated on a pilot project basis. The value of this resource: $150 Trillion
There also the very real potential that further finds will be discovered as technology continues to improve.
In total the value of the potential oil reserves of the United States listed above exceeds $187 Trillion. The current national debt is $14.2 Trillion or less than 8%.
Despite the protestation of President Obama and the environmentalists the world and particularly the United States is not running out of oil. Their foolish tilting at windmills and solar will never produce energy sufficient to operate a $14Trillion and hopefully growing economy. It will be decades if not the rest of the 21st Century before any meaningful substitute for fossil fuels will be developed and additional time and investment will then be necessary to distribute the product.
Mankind's ingenuity has and will continue to develop technology to safely extract, process and market fossil fuels (which is a naturally occurring resource). But the United States must begin now to open the areas for exploration, and permit the construction of refineries and pipelines.
It is beyond absurd that a country sitting on so much natural wealth refuses to exploit it for the benefit of its citizens and instead deliberately puts the nation in the position of being subjected to the whims of others and face national insolvency. It almost appears to be deliberate.
February 27, 2011
There has been a lot of talk in the media regarding why crude oil prices will rise because of tension in Libya and elsewhere in the Middle East. The usual analysis will mention something about potential supply disruptions due to uncertainty about who is or who might be in charge, and what the future might hold for the region. The assumption is that, one way or the other, total supply is going to be curtailed, which will naturally lead to higher prices.
However, those who are reasoning in this manner have not considered the true implications of recent developments in that region. For decades, governments in the Middle East, especially those of major oil-producing nations, have been able to conspire to keep total output restricted, in order to ensure artificially high prices. There is no question that Middle Eastern countries could increase their production of crude oil, as is evidenced by the much higher daily production which existed when prices had peaked above 147 dollars per barrel in the summer of 2008. As long as governments are run by a tiny cadre of wealthy individuals, they are perfectly happy with low annual output. They don't need any more money for themselves, and by keeping oil prices high, they are ensuring continued outsized profit margins.
During the past several decades, oil producers worldwide consistently generated higher earnings than nearly all other equity sectors, because there were only brief periods in which prices were so low that they either caused actual losses from high-cost production facilities, or mandated shutdowns of unprofitable rigs.
During the past several months, the most intense and consistent selling of their own shares by top corporate insiders has been in energy subsectors including coal mining, oil production, natural gas, and related assets. It is clear that those who are most knowledgeable about the industry, including the situation in the Middle East, are expecting lower prices rather than higher ones. The more that you study the likely political implications, the more obvious becomes the likely denouement.
There is no way to know for sure whether or not there will be actual democratic governments in some countries like Egypt, Tunisia, and Libya, or whether one form of autocratic or oligarchic rule will simply be supplanted by another. One thing, however, is for certain: the masses have made their voices heard and will continue to demand actual governmental intervention. The simplest form of intervention is to set up or expand social programs of various kinds, along with extended public assistance and related projects. All of these require government funding, and the only way that a major oil-producing nation can generate such funding is by producing more oil.
The key to the balance of power is that in past years, the necessity to maintain an oil-price monopoly trumped concerns about social unrest. This equation has now become inverted. Going forward, maintaining social order will be more important than ensuring the highest living standards for the ruling elite. In order to maintain their hold on power, they will have to make some concessions, and they must pay for those concessions from increased crude oil production.
This article ("Saudi's 36 Billion-Dollar Bid to Beat Unrest") from Thursday's Financial Times shows that the Saudi royal family plans to spend 36 billion dollars on new social programs in the immediate future.
This recent Wall Street Journal article ("Iraqi Lawmakers Switch Funds to Social Programs") demonstrates that Iraq also is eager to quickly spend money on new social programs:
Even in Kyrgyzstan, which is not directly in the Middle East but which is an important oil producer, the government has pledged to give teachers and medical personnel a significant pay hike as a way of preemptively preventing social discord (see Kyrgyzstan Unrest; Pay Hikes Promised).
Any guesses as to where Saudi Arabia is going to get thirty-six billion dollars, or where Iraq will find similar billions, or where the money will come from to fund significant pay hikes in Kyrgyzstan? One way or another, they're going to have to massively produce more oil, since they have no alternative source of revenue which can be increased by a sufficient margin. Multiply this by a few dozen countries and multiply that again by a large factor for future social programs. It's only a matter of time before the market realizes this and we experience a dramatic decline in the price of crude.
Therefore, over a period of one or two years, we are likely to see a huge increase in oil production in those countries which are either directly threatened by political unrest, or who believe they may be threatened and choose to act preemptively to prevent discord. As the OPEC cartel crumbles under this new world order, the price of crude oil will plummet. There is constant chatter in the media about when regular unleaded gasoline will once again exceed four dollars per gallon, as it had done in the late spring and early summer of 2008. The exact opposite will occur: the price of gasoline in many parts of the United States will sell for less than two dollars per gallon, as it did near the end of 2008 and for the first several months of 2009.
The more popular and overcrowded is any trade in the financial markets, the more certain that it will fail. With everyone currently talking about how much higher crude oil prices will go, and how much recent events in the Middle East will add to the "risk premium", we are virtually certain to see the exact opposite scenario. The greatest certainty over high oil prices occurred in July 2008 when the only debate was about when crude oil would reach 200 dollars per barrel. The possibility that it could move lower wasn't even seriously considered by most observers; the end result was a plunge of more than 75% in less than a half year.
We are not likely to see such a dramatic plunge in the next year, since we didn't get as high in the first place. However, it is quite possible for crude oil to lose half of its value by 2012, thereby putting it close to 50 dollars per barrel. Especially with everyone looking up, a downside bet is almost certain to be highly profitable. It is like betting on a horse race in which the favorite has the longest odds.
The respected Market Vane survey, which has been in existence since 1964, recently showed 97% of traders who were bullish on crude oil. This level of extreme nearly always coincides with a historic price peak. Sentiment toward related products such as heating oil is also at 97%. The only commodity which is even close is silver, which has 96% of traders indicating a bullish bias. In recent days, many mainstream media outlets have begun their financial segments by mentioning the price of crude oil first, and the Dow Jones Industrial Average second. This inversion of the normal order has not happened since the early summer of 2008 when the oil price was on the verge of its collapse of more than 75%.
Of course there are other important factors outside of Middle East government policy. During the past several months, we have seen nearly vertical increases for many commodities, while the shares of most commodity producers have been less energetic and have experienced notable insider selling. The implied volatilities for listed options fell to their lowest levels since the summer of 2007, as measured by VIX. This indicates that there is almost no fear of a double-dip recession among today's investors.
Many emerging markets have been in notable downtrends since early November 2010. With about three fourths of the world's population living with housing bubbles, which have become truly extreme in part or all of dozens of countries including China, India, Brazil, Canada, and Australia, a collapse in housing prices is likely to lead to an unexpected drop in consumption of all nonessential goods. Commodities worldwide will suffer from unexpected GDP contractions in countries with slumping real-estate prices.
Another key feature of the financial markets is the delay between the decision to produce commodities like crude oil, and the actual execution of those plans. It takes several years for most commodity producers to go from initial production plans to full-scale output. Since the prices of many commodities did not begin to rise sharply until about five years ago, it is only now that many long-planned projects around the world are finally going full tilt. This will lead to a surge in output at the same time that there is political pressure to increase production further.
Even U.S. crude production, which most analysts had assumed would be in a "perpetual downtrend", is likely to increase substantially due to a combination of recent huge discoveries and the technology to exploit them (see New Drilling Method Opens Vast U.S. Oil Fields).
While no one knows for certain, it is also likely that many autocratic governments in the Middle East and elsewhere had been quietly stockpiling crude oil for potential use "as needed". The more urgently that threatened politicians need to placate their citizens, the more likely that oil will just as quietly be sold from these stockpiles so that governments can loudly declare that they are "listening and responding to the will of the people", and thereby enact new food assistance programs or higher wages for workers or low-cost housing or expanded pensions. Everything costs money, and there is only one logical, reliable source of that money in those places where the political risks are highest and the supply of crude oil is greatest.
One interesting question is the best way to profit from an anticipated decline in the price of crude oil. The most obvious way is to sell short a fund of futures such as USO, which because of its structure will lose roughly 2% monthly as time passes even if the spot price of crude oil remains unchanged. There are numerous funds of oil producers which have surged sharply since the summer of 2010, including XLE and OIH, which also make ideal short positions.
Technically, all three of these are not only fundamentally overvalued, but incredibly overbought technically regardless of which quantitative measures you prefer to use. All of these are highly liquid, with tiny bid-ask spreads, so you can trade millions of dollars without having even a slight impact on the price.
A viable alternative is to short SLV, a fund of silver futures, since the price of silver has increased even more than the price of crude oil since last summer, and will therefore almost surely fall by more than 50% and probably more than 60% from its recent 31-year high, whereas crude oil may end up dropping by "only" about half from its February 24, 2011 peak of 103.41 U.S. dollars per barrel.
It is possible that the current overhyped hysteria over higher oil prices will prove to be the correct outcome, but nearly all of the facts argue otherwise. As Damon Runyon wisely said a century ago, the race is not always to the swift, nor the battle to the strong, but that's the way to bet.
By Steven Jon Kaplan
February 17, 2011
ALAMO ENERGY -- UNITED STATES
OIL & GAS OPERATIONS:
Texas, USA: Alamo reports current oil and gas sales from its 75% working interest in the 110-acre Lozano Lease located in Frio County, Texas. This Western Gulf producing asset is located just 6 miles from the neighboring Bigfoot Oil-field -- which was discovered by Royal Dutch Shell and has around 300 wells and historic production of more than 29 Million barrels.
While Alamo's Lozano Lease is not yet of the HUGE discovery ilk, the property does provide important production and cash flow -- and the project is within the vicinity of some of the biggest oil-finds in the Texas Western Gulf region. As just one example demonstrating the abundant untapped reserves in the area, the giant Yates Field has produced over 1.4 Billion barrels and is expected to produce another 1 Billion barrels during its lifespan.
Alamo Energy has also secured a 20% working interest on the Hubbard 1-H well, located on the Jack D. Hubbard lease in Brown County, Texas. The well is currently producing from the Caddo Zone into a low pressure gathering system on the lease block and presents Alamo with a low-risk, high-yield reentry opportunity.
West Virginia, USA: Alamo Energy is participating with Allied Energy on the Dillon #1 well re-entry program in Pleasants County, West Virginia. The Dillon #1 well, which is located on approximately 200 acres, was originally drilled to approximately 3,600 feet with resulting production from the lower Huron Shale. The current re-entry program includes several candidate zones totaling over 300 feet of sands, which have been analyzed as potentially oil productive.
Alamo Energy believes that the cumulative production from the recompleted well may be as high as 20,000 barrels of oil. Alamo has also secured an option to participate with Allied Energy on the re-entry of additional wells -- with the opportunity to drill new wells on 25-acre spacing -- across 1,520 acres in West Virginia.
Additionally, Alamo reports that the Valentine #1 well, located on approximately 115 acres in Ritchie County, West Virginia, has been put into production. We are awaiting initial flow-rate data and will provide an update once additional information on the well is released.
Tennessee, USA: Alamo has entered into an agreement with Berry Resources, Inc., to purchase 6.5 units of the Berry Prospect #22-A, which includes two wells to be drilled in North Central, Pickett County, in exchange for the company's cash payment of $97,500. We will provide an update on this project as information becomes available.
Kentucky, USA: Alamo Energy has now completed the drilling phase of its initial 5-well program on its Taylor Lease with the wells encountering hydrocarbons in the Granville, Knox, and Murfreesboro formations.
Management is in the process of evaluating the wellbore data and expects to move onto the next phase of well-completion/production.
The company's Taylor Lease is situated in the middle of a large producing oil and gas trend within the prolific Gradyville Oil Field. The Gradyville Field, which has been producing for over 40 years via hundreds of wells, is the largest oil-field in south-central Kentucky. Based on current data, management has determined that successfully drilled and completed wells on its current leasehold will produce up to 285,000 barrels of oil per well -- making it a low-risk, high-yield opportunity. Initial drilling highlights include:
No. 2 well: Encountered strong indicators of oil and gas through a 25' interval in the Granville Formation.
No. 4 well: Drilled to target-depth through the Knox Formation with strong oil shows; video logging is currently underway.
February 16, 2011
Here's an astonishing read. Important and verifiable information :
About 6 months ago, the writer was watching a news program on oil and one of the Forbes Bros. was the guest. The host said to Forbes, "I am going to ask you a direct question and I would like a direct answer; how much oil does the U.S. have in the ground?" Forbes did not miss a beat, he said, "more than all the Middle East put together." Please read below.
The U. S. Geological Service issued a report in April 2008 that only scientists and oil men knew was coming, but man was it big. It was a revised report (hadn't been updated since 1995) on how much oil was in this area of the western 2/3 of North Dakota, western South Dakota, and extreme eastern Montana ..... check THIS out:
The Bakken is the largest domestic oil discovery since Alaska 's Prudhoe Bay , and has the potential to eliminate all American dependence on foreign oil. The Energy Information Administration (EIA) estimates it at 503 billion barrels. Even if just 10% of the oil is recoverable... at $107 a barrel, we're looking at a resource base worth more than $5...3 trillion.
"When I first briefed legislators on this, you could practically see their jaws hit the floor. They had no idea.." says Terry Johnson, the Montana Legislature's financial analyst.
"This sizable find is now the highest-producing onshore oil field found in the past 56 years," reportsThe Pittsburgh Post Gazette. It's a formation known as the Williston Basin , but is more commonly referred to as the 'Bakken.' It stretches from Northern Montana , through North Dakota and into Canada . For years, U. S. oil exploration has been considered a dead end. Even the 'Big Oil' companies gave up searching for major oil wells decades ago. However, a recent technological breakthrough has opened up the Bakken's massive reserves..... and we now have access of up to 500 billion barrels. And because this is light, sweet oil, those billions of barrels will cost Americans just $16 PER BARREL!
That's enough crude to fully fuel the American economy for 2041 years straight. And if THAT didn't throw you on the floor, then this next one should - because it's from 2006!
U.. S. Oil Discovery- Largest Reserve in the World
Stansberry Report Online - 4/20/2006
Hidden 1,000 feet beneath the surface of the Rocky Mountains lies the largest untapped oil reserve in the world. It is more than 2 TRILLION barrels. On August 8, 2005 President Bush mandated its extraction. In three and a half years of high oil prices none has been extracted. With this motherload of oil why are we still fighting over off-shore drilling?
They reported this stunning news: We have more oil inside our borders, than all the other proven reserves on earth.. Here are the official estimates:
- 8-times as much oil as Saudi Arabia
- 18-times as much oil as Iraq
- 21-times as much oil as Kuwait
- 22-times as much oil as Iran
- 500-times as much oil as Yemen
- and it's all right here in the Western United States .
HOW can this BE? HOW can we NOT BE extracting this? Because the environmentalists and others have blocked all efforts to help America become independent of foreign oil! Again, we are letting a small group of people dictate our lives and our economy.....WHY?
James Bartis, lead researcher with the study says we've got more oil in this very compact area than the entire Middle East -more than 2 TRILLION barrels untapped. That's more than all the proven oil reserves of crude oil in the world today, reports The Denver Post.
Don't think 'OPEC' will drop its price - even with this find? Think again! It's all about the competitive marketplace, - it has to. Think OPEC just might be funding the environmentalists?
Got your attention yet? Now, while you're thinking about it, do this:
By the way...this is all true. Check it out at the link below!!!
GOOGLE it, or follow this link. It will blow your mind.
July 22, 2010
Study: Cap and Trade Could Cost 1.9 Million Jobs
Wednesday, 21 Jul 2010 02:12 PM Article Font Size
The proposed Kerry-Lieberman cap-and-trade bill could cost 1.9 million jobs and slash the U.S. gross domestic product by up to $2.1 trillion, according to an analysis released today.
The proposal, known as the American Power Act and facing stiff Republican opposition, also would increase residential electricity prices up to 42 percent and gasoline prices up to 18 percent, according to the analysis released today by the American Council for Capital Formation and the Small Business and Entrepreneurship Council.
The study, which the Science Applications International Corp. did based on assumptions provided by the capital and small business groups, assesses the bill’s impact on manufacturing, jobs, energy prices, and the overall U.S. economy. The two groups released national data and plan to unveil state-specific analyses for all 50 U.S. states in the coming days, according to a news release.
The study results reflect a combination of the Kerry-Lieberman provisions and assumptions of the American Council for Capital Formation about future electricity generation technology.
Margo Thorning, senior vice president and chief economist for the capital formation council, said, "The analysis shows strong negative impacts from the American Power Act on economic and job growth and severe impacts on manufacturing given our assumptions about the potential deployment of future generation technology. This is exactly the wrong prescription to restore the vitality of the U.S. economy."
Karen Kerrigan, president and CEO of the small business group, said, "The report makes clear that Kerry-Lieberman would impose additional burdens and hardship on small business owners, who have suffered considerably during this recession. Come November, federal lawmakers will be hard pressed to explain their support for such a costly, economically damaging plan, especially to voters who are out of work or struggling to make ends meet. Small business owners cannot create more jobs when costly policies such as Kerry-Lieberman take more of their hard-earned resources."
In doing the study, researchers accounted for all present federal energy laws and regulations, as well as increased access to oil and natural gas supplies, new and extended tax credits for renewable generation technologies, increased world oil price profile, and permit allocations for industry and international offsets. They also included assumptions regarding the likely availability of domestic and international offsets — key factors influencing analysis of the cost of limiting greenhouse gas emissions.
July 22, 2010
How Congress Works
Now this is interesting....Gubmint and how Gubmint Works:
Once upon a time the government had a vast scrap yard in the middle of a desert. Congress said, "Someone may steal from it at night."
So they created a night watchman position and hired a person for the job.
Then Congress said, "How does the watchman do his job without instruction?" So they created a planning department and hired two people, one person to write the instructions, and one person to do time studies.
Then Congress said, "How will we know the night watchman is doing the tasks correctly?" So they created a Quality Control department and hired two people. One to do the studies and one to write the reports.
Then Congress said, "How are these people going to get paid?" So they created the following positions, a time keeper, and a payroll officer, then hired two people.
Then Congress said, "Who will be accountable for all of these people?" So they created an administrative section and hired three people, an Administrative Officer, Assistant Administrative Officer, and a Legal Secretary.
Then Congress said, "We have had this command in operation for one Year and we are $18,000 over budget, we must cutback overall cost." So they laid off the night watchman.
NOW slowly, let it sink in.
Quietly, we go like sheep to slaughter.
Does anybody remember the reason given for the establishment of the DEPARTMENT OF ENERGY..... during the Carter Administration?
Didn't think so!
Bottom line. We've spent several hundred billion dollars in support of an agency...the reason for which not one person who reads this can remember!
It was very simple...and at the time, everybody thought it very appropriate.
The Department of Energy was instituted on 8-04-1977, TO LESSEN OUR DEPENDENCE ON FOREIGN OIL.
Hey, pretty efficient, huh???
AND NOW IT'S 2010 -- 33 YEARS LATER -- AND THE BUDGET FOR THIS "NECESSARY" DEPARTMENT IS AT $24.2 BILLION A YEAR. THEY HAVE 16,000 FEDERAL EMPLOYEES AND APPROXIMATELY 100,000 CONTRACT EMPLOYEES; AND LOOK AT THE JOB THEY HAVE DONE! THIS IS WHERE YOU SLAP YOUR FOREHEAD AND SAY, "WHAT WAS I THINKING?"
33 years ago 30% of our oil consumption was foreign imports. Today 70% of our oil consumption is foreign imports.
Ah, yes -- good ole bureaucracy.
AND, NOW, WE ARE TURNING THE BANKING SYSTEM, HEALTH CARE, AND THE AUTO INDUSTRY OVER TO THE SAME GOVERNMENT?
July 21, 2010
US Oil Spill Could Destroy 100,000 Jobs: Experts
Wednesday, 21 Jul 2010 09:39 AM Article Font Size
The impact of the Gulf of Mexico oil spill was thrown into sharp relief Tuesday, as US data showed rising unemployment in Louisiana and experts warned the disaster could cost up to 100,000 jobs.
The US Department of Labor said Louisiana -- among the US states worst hit by the spill -- was one of only five states across the country to see a rise in unemployment last month, with the jobless rate up 0.2 points to seven percent.
While the bayou state's unemployment rate remains well below the national average of 9.5 percent, the data comes amid warnings that a worst-case scenario would see 100,000 jobs lost across the Gulf Coast.
Analysts at Moody's reported that the region could face billions of dollars in lost growth from the spill, depending on whether a recent cap halts the flow of crude.
"Moody's Analytics estimates that nearly 1.2 billion dollars in output and 17,000 jobs will be lost in the Gulf Coast states by the end of this year," the firm said in a report.
"Under a more pessimistic scenario in which the oil spill continues through December and President (Barack) Obama's moratorium on deepwater drilling is extended until year's end, 7.4 billion dollars in output and over 100,000 jobs would be lost."
BP crafted a new plan Tuesday hoping to seal for good the blown-out well that has disgorged oil onto hundreds of miles (kilometers) of coastline, ravaging thousands of livelihoods.
"The most direct impact thus far is being felt by the Gulf Coast's sizeable fishing and aquaculture industry, especially in Louisiana," Moody's said.
The oystermen, shrimpers and others affected by the spill stand to claim spill damages from BP, which has set aside 20 billion dollars in compensation.
"The largest economic impact of the oil spill will be at the local level.... Louisiana and Florida are likely to be hardest hit because of Louisiana's heavy dependence on fishing, aquaculture and oil extraction, and Florida's heavy dependence on tourism."
But Moody's warned that a larger economic impact may come from a decision by Obama's administration to freeze deep-sea oil drilling.
"The potential for even greater economic damage to Louisiana's economy stems from President Obama's six-month moratorium on new offshore drilling."
The order froze the work of 33 rigs, including 20 off the coast of Houma, Louisiana.
July 21, 2010
Gulf Oil Spill
New London, Connecticut (CNN)
-- It may be hard to fathom, but even with gallons of oil spewing every minute from BP's broken well head in the Gulf of Mexico, not all the oil pollution in the Gulf is BP's fault.
First, blame Mother Nature. And that's actually good news, but we'll get back to that.
Second blame many of the ships that criss-cross that area.
Right now, the Coast Guard's lone forensic evidence laboratory is working almost exclusively on the BP oil spill. Wayne Gronlund is the manager of Coast Guard Marine Safety Lab in New London, Connecticut. The name is a misnomer -- the lab focuses solely on oil spills and where they come from -- and the biggest oil spill in U.S. history is keeping the lab's scientists very busy.
"Ultimately there has to be a liability established for the cleanup and any penalties assessed so we are identifying the oil as it makes the shoreline to see if matches the Deepwater Horizon or not," Gronlund said.
The Coast Guard gave CNN exclusive access to Gronlund's lab, and watching its scientists at work is much like watching an episode of what could be the latest in CBS's franchise of forensics investigation shows -- "CSI: Gulf Oil Spill" (cue song by The Who -- maybe "Sea and Sand" from Tommy or "I Can See For Miles and Miles").
But even though many millions of gallons of crude oil have leaked into the Gulf, much of what is washing up on beaches near in and around the Gulf is not from the Deepwater Horizon spill.
"We've done a number of tarballs from Florida, Key West, Miami and so forth, none of which so far have matched the Deepwater Horizon," Gronlund said. "The tarballs that have been found on the beach in Florida are fuel oil."
Fuel oil -- that means the oil comes from ships, not crude oil from a broken deep sea oil well.
It's happened before. When the Exxon Valdez spilled 10 million gallons of crude oil into Alaska's Prince William Sound in 1989, the Coast Guard sent mobile oil analysis systems to the area. They found that half of samples they tested were oil that did not come from the Exxon Valdez.
Why might other ships spill oil? Coast Guard officials said some may have an undetected leak. Others, officials surmise, may be purposely spilling waste oil and dirty oil-laced bilge water into areas already fouled by a major spill hoping not to get caught. Dumping like that is cheaper than having tanks pumped out and cleaned properly according to government regulations when they get to shore. But if they are caught illegally dumping they could face fines above $1 million.
So far the Coast Guard doesn't know exactly where the oil in Florida came from, but Gronlund said foul play is a possibility.
"It would seem so. I am not sure we can prove that, but it would seem so," Gronlund said.
And the dishonest shippers do often get caught. Coast Guard inspectors will board ships when they come into port. They will obtain a sample of oil from the ship's tank, send it to Gronlund's lab where his scientists can compare the oil in the sample to the oil found on the shore. If they match, it doesn't matter why the oil leaked out -- accidentally or not. The ship's owners are responsible. Gronlund's chemists often have to testify in court about the oil they test.
That's one reason the Coast Guard is so busy gathering samples and analyzing them. After the Exxon Valdez spill, a court ruled Exxon was liable for more than $5.2 billion in damages. The company appealed three times, and the damages they had to pay were greatly reduced.
With solid scientific proof of where the oil in the Gulf is coming from, BP and the people who claim they suffered damages from the spill will have less to argue about in court.
Now back to Mother Nature.
Some of the oil in the Gulf is natural seepage from the sea floor. The Coast Guard's head of research and development, Capt. Matt Sisson, explained that in the Gulf and other oil-rich spots in the world, crude oil bubbles up through the sea floor and into the Gulf Waters.
And that should be good news, because for millennia, as long as oil's been naturally leaking into the Gulf, organisms have been evolving to deal with that oil. With microbes already feeding on crude oil in the Gulf of Mexico, that could be key to helping the Gulf make a long-term, permanent recovery.
Information being added each day as the News Breaks!
December 09, 2008
LONDON (Reuters) – Oil edged toward $44 a barrel on Tuesday, supported by mounting expectations that OPEC will announce further output cuts at its meeting next week.
U.S. crude was up 40 cents at $44.11 a barrel at 1506 GMT (10:06 a.m. EST), after sinking earlier to $42.89.
London Brent crude rose 15 cents to $43.57.
"Oil is on a count-down to OPEC now and everyone is expecting them to come up with something big -- probably a cut of 1-1.5 million bpd," said Rob Laughlin, senior oil analyst at brokers MF Global in London.
"If OPEC doesn't make a big cut, this market is in trouble."
Oil traders were awaiting the 1700 GMT (12 p.m. EST) release on Tuesday of the U.S. Energy Department's Short Term Energy Outlook, which was expected to show downgrades in 2009 oil demand estimates.
In a forecast issued last month, the Energy Department said total U.S. oil demand was projected to fall by an additional 250,000 bpd, or 1.3 percent next year, after dropping 1.1 million bpd, or 5.4 percent, in 2008.
Watch as OIL falls below $ 40.00, and gas falls to $ 1.50 or below.
Congress will be forced to quickly open up vast new areas for drilling, and forced to use the new clean coal, as a source of power.
Carbon credits are a joke and the "Greenies" will have lost their battle to turn the USA into a 3rd world country.
Also watch as the "Global Warming" croud start using the term "Climate Change", since Science now shows that the earth is actually COOLING.
Also watch as the term "Fosil Fuel" is replaced with a new one showing that crude does not come to "Dino".
October 26 2008
On October 06 this site stated that Crude Oil prices would fall, and today Crude is down close too $ 60.00.
Expect to see prices fall even lower, close to the $ 40.00 mark.
There is a glut of oil on the market, China has not purchased all the oil it contracted on.
OPEC will NOT stop the decline in the price.
The USA has more oil than all of OPEC.
The entire run up in oil price was nothing but a scam to screw the people of the world out of their hard earned money.
You can fool all the people some of the time, you can fool some of the people all the time, BUT YOU CAN NOT FOOL ALL THE PEOPLE ALL THE TIME.
October 06 2008
Crude Oil below $ 90.00
Expect to see it go lower!
Oil Demand is DOWN, and OIL imports to the USA are way down!
Congress lets off shore moratorium on drilling expire!
Now watch the price of crude oil and natural gas drop!
If Congress did this 20 years ago we would NOT HAVE $ 4.00 a gallon gas , and we would NOT be in the financial mess that THEY have put the United States Of America in.
The only reason Congress let the ban expire is because it is an ELECTION YEAR, and they wish to keep their phony baloney jobs.
Now the American Tax Payer is expected to foot a 700 BILLION DOLLAR bailout, that was on the horizon a year ago, and the top executives of these failed banks took multi million dollar pay check and gave themselves extra benefits, when they know their actions was and would cause the bottom to fall out of the market. Now the Secretary of the Treasury wants to give them a gift of 700 BILLION DOLLARS with no checks and balances.
You would think he was working for the International Bankers, but wait maybe he is!
Who pays the Secretary of The Treasury????????
A CRC request has been made to provide an official report on who pays the Secretary of The Treasury!
A study published in Science Magazine today presents new evidence supporting the abiotic theory for the origin of oil, which asserts oil is a natural product the Earth generates constantly rather than a "fossil fuel" derived from decaying ancient forests and dead dinosaurs.
The lead scientist on the study?
Giora Proskurowski of the School of Oceanography at the University of Washington in Seattle? says the hydrogen-rich fluids venting at the bottom of the Atlantic Ocean in the Lost City Hydrothermal Field were produced by the abiotic synthesis of hydrocarbons in the mantle of the earth.
The abiotic theory of the origin of oil directly challenges the conventional scientific theory that hydrocarbons are organic in nature, created by the deterioration of biological material deposited millions of years ago in sedimentary rock and converted to hydrocarbons under intense heat and pressure.
While organic theorists have posited that the material required to produce hydrocarbons in sedimentary rock came from dinosaurs and ancient forests, more recent argument have suggested living organisms as small as plankton may have been the origin.
The abiotic theory argues, in contrast, that hydrocarbons are naturally produced on a continual basis throughout the solar system, including within the mantle of the earth. The advocates believe the oil seeps up through bedrock cracks to deposit in sedimentary rock. Traditional petro-geologists, they say, have confused the rock as the originator rather than the depository of the hydrocarbons.
The Lost City is a hypothermal field some 2,100 feet below sea level that sits along the Mid-Atlantic Ridge at the center of the Atlantic Ocean, noted for strange 90 to 200 foot white towers on the sea bottom.
In 2003 and again in 2005, Proskurowski and his team descended in a scientific submarine to collect liquid bubbling up from Lost City sea vents.
Proskurowski found hydrocarbons containing carbon-13 isotopes that appeared to be formed from the mantle of the Earth, rather than from biological material settled on the ocean floor.
Carbon 13 is the carbon isotope scientists associate with abiotic origin, compared to Carbon 12 that scientists typically associate with biological origin.
Proskurowski argued that the hydrocarbons found in the natural hydrothermal fluids coming out of the Lost City sea vents is attributable to abiotic production by Fischer-Tropsch, or FTT, reactions.
The Fischer-Tropsch equations were first developed by Nazi scientists who created methodologies for producing synthetic oil from coal.
"Our findings illustrate that the abiotic synthesis of hydrocarbons in nature may occur in the presence of ultramafic rocks, water and moderate amounts of heat," Proskurowski wrote.
The study also confirmed a major argument of Cornell University physicist Thomas Gold, who argued in his book "The Deep Hot Biosphere: The Myth of Fossil Fuels" that micro-organisms found in oil might have come from the mantle of the earth where, absent photosynthesis, the micro-organisms feed on hydrocarbons arising from the earth's mantle in the dark depths of the ocean floors.
Affirming this point, Proskurowski concluded the article by noting, "Hydrocarbon production by FTT could be a common means for producing precursors of life-essential building blocks in ocean-floor environments or wherever warm ultramafic rocks are in contact with water."
Finding abiotic hydrocarbons in the Lost City sea vent fluids is the second discovery in recent years adding weight to the abiotic theory of the origin of oil.
As WND reported in 2005, a NASA probe to Titan, the giant moon of Saturn, discovered abundant Carbon-13 methane that the agency declared to be abiotic in origin.
• billions of energy dollars in North Dakota and Montana on the Bekken Formation
USGS’s April 2008 report..
Montana, the new Middle East
In 1999, Dr. Leigh Price, a United States Geological Survey (USGS) geochemist, wrote a draft of his survey of the Bekken Formation, which covers areas of Montana, North Dakota and stretches into Canada.
Unfortunately, a few months after he wrote his rough draft, Dr. Price passed away and his report was left alone. It never received a complete scientific peer review from the USGS.
The Bekken Formation takes up about 25,000 square miles, stretching from Montana to Canada. Oil was discovered on the Bekken in 1951.
But back in 1951, no one knew the region’s potential. Now we do. Today, we have the science and technology to go where no man has gone before. Survey estimates are more accurate than ever. Not only can we “see” what’s under the property, technology advances, such as horizontal drilling and fracing lift recovery rates to new profitable highs as well.
Meanwhile, Dr. Price’s draft study continued to gather dust, until finally in 2006 industry experts from Canada, in collaboration with North Dakota Geological Survey and the state Oil and Gas Division, published their survey results.
Dr. Price’s numbers were deemed quite accurate.
Up to 503 billion barrels of potential oil reserves are in place in the Bekken Formation. Finally, the USGS, in its April 2008 report, tells us Western Standard Energy’s sitting on an area holding... “... the largest USGS assessment in the lower 48 states and the largest continuous oil accumulation ever assessed by the agency.”
The United States Energy Information Administration (EIA) tells us...“... with new drilling and completion technology taken into account, the resource base for the entire formation is potentially much larger.
And the US Department of Energy says... “This could increase crude oil in America by billions of barrels.”
The USGS’s April 2008 report also reveals that the Bekken holds about 3 trillion cubic feet (cft) of precious natural gas. Right here in the USA, and in Canada.
A closer look at the USGS 2008 report tells us there are.“... 6,192 billion (that’s 6.19 trillion) cubic feet of shallow biogenic (continuous) undiscovered gas in the North-Central Montana Province.”
Notice the report specified “shallow.”
The big shots in Montana didn’t even know of the vast resources (and revenue) right under their feet. Terry Johnson, Montana Legislation’s financial analyst, broke the news. “When I first briefed legislators on this, you could practically see their jaws hit the floor. They had no idea.” Obviously, word of “the Bekken” treasure quickly spread.
“One of the largest oil finds in the history of the US” -- New York Times
“This sizeable find is now the highest-producing onshore oil field format in the past 58 years”
-- Pittsburgh Post Gazette “There may be more oil under Montana and North Dakota ranch land than under all of Alaska”
-- Investors Business Daily, Dr. Paul Polzin, University of Montana economist, summed up all the excitement nicely when he said...“It’s a good old fashioned oil boom” And then Brian Hicks, author and guest of CNBC, Bloomberg, Fox, CNN, and Fox Business put the excitement into perspective...“And because this is light, sweet oil, those billions of barrels will cost Americans just $16 per barrel.”
Initial drilling at Starbuck in Montana took place late 2007. The exploration gas well was drilled to a depth of 1,126 feet. Computer screens were lit with more data than the 1951 oilmen knew existed. Data was scientifically analyzed and now the results are in and...The Bekken Formation is no secret in the oil and gas industry. By all accounts, the region provides the largest and most intriguing oil and gas opportunities in America’s rich history of energy exploration and development.
Look who’s now playing in the Bekken:
• $129.73 billion Conoco Phillips
• $51.72 billion Devon Energy
• $34.4 billion Marathon Oil
• $15.2 billion Noble Energy
• $7.28 billion Enerplus
• $5.17 billion MDU
• $417.9 million Brigham Exploration
• $293.02 million Northern Oil & Gas
Gull Island Alaska Oil: Hoax or Government Scandal?
Published by Michael Yost(c)2008
Click on this link for more hard hitting information from Michael Yost.
Lindsey Williams has apparently gone into hiding as more and more Americans are asking questions about the Gull Island Alaska oil discovery. It’s either the greatest scandal ever perpetrated or a hoax. No one is refuting the evidence.
For those of you who have no clue who Lindsey Williams is, he wrote an interesting book “The Energy Non-Crisis”. He makes claim that the energy crisis of the 70’s was a total fabrication by the government and the oil companies have found oil at Gull Island, Alaska and were ordered to cap the wells. The book is no longer in print, however the entire book is available online at the reformation.org website. It is an interesting read and is totally in layman’s terms. It does exhibit Mr. Williams limited understanding of the oil business, yet it does let you know that he was really in Prudhoe Bay, Alaska during the building of the pipeline. He reveals much from the inside walls of executives with Atlantic Richfield and British Petroleum (ARCO and BP) during the finding of oil on Gull Island.
What I am finding funny about Mr. Williams claims is that there is no real effort to refute his claims. No one is calling him a crackpot nor making any effort to deny his allegations with any facts that would indicate that he is not being truthful. That, in and of itself makes it fairly evident that his book is relatively factual and relates truth as he envisioned it to be during the time. It has been reported that his life has been threatened and his website, lwoil.com contains this farewell:
After 30 years of telling my story and speaking out on various issues that affect America and the World, the time has come for it to end. Due to my age, concern for my family and being called back to the mission field, I feel I must discontinue my incredibly difficult schedule and remove the expenses associated with the books, speaking engagements and DVD’s.
I appreciate everyone’s support, prayers and kindness shown to me over the past 30 years and sincerely pray that God blesses and keeps you during the years ahead.
So with that said, let’s put some things into perspective. I can honestly say that his book, and his website farewell offer some interesting food for thought. Let’s assume that Mr. Williams book is totally factual (yes, that is dangerous ground and I know it) and that indeed his life has been threatened. It would make sense in silencing him at the point when his prediction about the price of gas reaching $5-10 a gallon has come true, and the prices are climbing. It leads one to speculate that one of several scenario’s exist;
The oil companies realized that the Prudhoe Bay field would yield oil for 20 plus years and had the wells capped in anticipation of existing wells peaking in production.
There is a real effort on the part of our Government to conceal the discovery of the Gull Island oil and has some other agenda that has not been revealed.
None of these scenarios have been explored as to which may be true. What has been proven is that there is more oil in Alaska than we can possibly imagine and the the government of this nation has blocked its production for decades. To prove out an oil discovery such as Gull Island means that the government would be forced to reveal all it knows about the real oil reserves in this nation, offshore, and reveal what other oil wells have possibly been capped to production. Yes, it is pure speculation, but consider some known facts and how they could possibly play out.
Gull Island was discovered during the Carter Administration. He was pushing hard for his Energy plan with the Windfall Profits tax being a center piece of that plan. The energy crisis of that time has been proven to have been contrived in an effort to bring energy to the forefront of discussion by all Americans. When Carter promised reductions in energy prices with his WPT, passage was easy. Needless to say, that was the very reason this nation now imports over 70% of our oil today. Had a Gull Island discovery been announced, then the energy crisis would have been resolved. You can make the connection that the Carter Administration wouldn’t have fared very well in getting acceptance of a comprehensive energy policy. Ordering Gull Island capped would seem logical and probably prove-able.
The second scenario leads one to think that this new oil discovery would have caused the price of oil to decrease and perhaps reduced the dependence on Saudi Oil. Iran was a hotbed and the entire middle east was in somewhat of a turmoil. Now the oil companies were being forced to purchase middle east oil to avoid the WPT and it would make sense that to appease that region with American dollars could solve two problems. The oil companies could have very well capped those wells and waited out the resolution of the middle east issue. Doing so would help with the multitude of government red-tape as the oil companies were finally making a profit. Doing their part, at government urging, goes a long way when you need the government to look the other way or issue a permit when needed. It would make life a bit more bearable for the oil companies, and hopefully more profitable at a later date should the middle east crisis not be resolved.
The third scenario is one that causes many of the conspiracy theories to arise. I really have trouble finding real credibility as most are simply speculation based on incomplete information or a section of a document that leads to innuendo. I do believe that somewhere in these three possibilities, there lies a lot of truth that needs to be revealed. Unless someone comes forward, who was in a knowledgeable position at the time, then more of the conspiracy ideas will run rampant. I would urge anyone to resist that temptation without solid facts that can be verified.
Should Congress investigate these allegations? Perhaps, but what really needs to happen is for someone who was there, saw the discovery, was part of the analysis of the crude oil, and/or was directly responsible for capping the well(s), to come forth with the entire story. I do know this: a Congressional Subpoena carries a lot of weight and few who are in possession of that knowledge would welcome one. I have no doubt that someone in government also knows the facts and to get to the heart of those facts will never occur unless they too, reveal what has happened.
I would fully welcome the opportunity to either affirm or deny flatly the allegations of this book. I offer that given the opportunity to hear what someone knows about Gull Island would be treated in utmost confidentiality. No names would be used unless permission is given to do so. I would also welcome the opportunity to speak with Lindsey Williams, however no contact information remains on his website.
I can only hope that someone, somewhere reads this that knows the truth. I was always told that the truth would stand when all else failed. It’s time to get to the heart of this issue and resolve it once and for all. More importantly, take a moment and tell others. Use the “ShareThis” link below and Digg it, Facebook it, or use whatever sharing site you want to get this message out. Email it too if you like. Hopefully, someone, somewhere, someplace, the person who knows the truth will read this and will come forward and allow his or her story to be told.
OIL: LOOK TO MONTANA
By ROBERT HADDICK
June 8, 2008
The Bakken formation in eastern Montana and western North Dakota has been a minor producer of crude oil for more than a half century. But with the arrival of technologies such as improved horizontal drilling, it could be transformed from an inconsequential dud into perhaps the largest oil field on the planet.
How large? In an unpublished research paper he wrote while working as a geochemist at the US Geological Survey, Leigh Price (who died in 2000) calculated a mean estimate of recoverable oil from Bakken at a stupendous 413 billion barrels. This compares to Saudi Arabia's proven reserves of 267 billion barrels.
Price's report did not receive a complete peer review and was not published as an official USGS study. As it happens, in April the USGS did publish an official estimate of Bakken's potential. Based on recent exploratory efforts and current recovery technology, the current USGS mean estimate of recoverable oil from the Bakken formation is 3.65 billion barrels, less than 1% of Price's estimate from nearly a decade ago.
Isn't this USGS report a severe letdown? Perhaps not. The USGS last studied the Bakken formation in 1995. Using recovery technology in existence at that time, the USGS estimated Bakken's potential at a mere 151 million barrels. With such low potential and crude oil prices relatively depressed at that time, it is easy to understand why Bakken was ignored.
The combination of data from new test wells and new recovery technology has caused the USGS to expand its estimate of Bakken's potential by 25 times between 1995 and 2008. In its April report on Bakken, the USGS admitted that it has collected only very limited data from assessment areas surrounding the center of the Bakken formation. There is a potential here for upside revisions as more test wells are drilled.
More importantly, Bakken's expansion has been tied almost completely to improvements in drilling and recovery technology. Absent a breathtaking plunge in global crude oil prices, it is reasonable to assume that horizontal drilling and water-fractionation recovery techniques will continue to advance in the years ahead, making even more of Bakken's crude oil recoverable. Another 10-20 fold upgrade of Bakken's potential would make it a peer of Saudi Arabia's Ghawar field, currently the world's largest.
Long ignored, the Bakken formation is now the hottest development in US domestic oil exploration. Will it be the next Saudi Arabia? That remains hard to say. But it would take a tremendous oil price crash to prevent Bakken from being a significant development.
Reply from USGS
Thank you for the follow-up email and interest in the USGS.
We have received several inquiries lately regarding Gull Island, and I helped piece together publicly available information to respond to these inquiries. The verbiage in the summary is condensed from what is available at the included links (USGS and Alaska DNR geologists conferred to help condense this information into a more succinct package).
Also, to provide additional context for the summary, below ia a link to maps from an online presentation by the Alaska Dept of Natural Resources - Division of Oil and Gas. The maps given in this online presentation show the location and approximate extent of the West Beach, Niakuk, Pt. McIntyre and North Prudhoe oil pools referred to in the summary:
Because this is publicly available information and the inquiries received were informal contacts, there is no report number given to this summary.
July 07 2008
NEWS RELEASE-----NEWS RELEASE
The Dustin Dome Gas Fields
3 Trillion Cubic Feet Of Natural Gas
Congress REFUSES to Allow its release.
By: John Bender
The real problem of the artificially high price of oil and everything made from it or shipped is that our liberal politicians will not allow companies to tap into most of our own oil. Both Democrats and liberal Republicans are at fault. The Destin Dome is just one glaring example of liberal politics trumping both our national security and national economic interests.
The Destin Dome lies 25 miles south of Pensacola, Florida. It contains more than three trillion cubic feet of much needed dry natural gas. Chevron acquired leases at Destin Dome in 1984 during the Reagan administration. But Reagan was out of office before the field could be developed and Bush the Elder came to power. Bush the Elder imposed an ill-conceived moratorium on leasing oil and gas fields off most of the Florida coast.
The initial hydrocarbon discovery on the structure occurred in 1987 on Chevron’s Block 56 lease holding. In accordance with the Coastal Zone Management Act, Chevron submitted an exploration plan to both the U.S. Minerals Management Service and the state of Florida, seeking approval to proceed with drilling operations. Bush the Elder came to power while the application was pending and the Bush Commerce Department sat on the application waiting for Florida to act.
The plan was rejected by Florida political hacks, but the denial was overruled by the U.S. Commerce Department. After delineating the lease, Chevron again submitted a development plan in 1996 and Florida again moved to block them from harvesting the much needed natural gas. Once again Chevron was forced to appeal to what was now the Clinton Commerce Dept. The Clinton administration blocked any ruling by creating a catch 22. Not only did the companies need Commerce to again overrule Florida, they also needed clean air permits from the Environmental Protection Agency (EPA) before drilling could begin. In 1999, the Clinton Commerce Department refused to rule on the appeal until the Clinton EPA acted first. The Clinton EPA refused to act until Commerce ruled. By setting up this shell game the Clinton administration left the matter to languish in bureaucratic hell, and the much needed natural gas untapped.
Finally disgusted with the Bush and Clinton administrations’ failure to honor their contract, Chevron and partners filed a lawsuit against the U.S. government for denying the companies “timely and fair review” of plans and permits and an appeal concerned with the Destin Dome 56 Unit On July 24, 2000. The Clinton administration lawyers dragged their feet on the suit and it outlived the administration.
Bush the Younger came to power in January of 2001 and instead of honoring the contract and harvesting the much needed natural gas, dragged the suit out running up the oil companies’ legal expenses and denying the American people the much needed domestically produced energy. In 2002 as the gas and oil prices were raising drastically, Bush proposed buying back the leases instead of tapping the much needed domestic energy source.
The oil companies had had enough. There was no way they could continue to fight. The government didn’t care what the suit cost because they have unlimited tax dollars to spend to fight against the interests of the American people. The oil companies settled and enough domestic natural gas to heat every home in Florida for 16 to 20 years is now permanently blocked from getting to the American people.
Reacting to the news of the settlement, R. Skip Horvath, president of the Natural Gas Supply Association, said; “The Destin Dome was one of the largest fields in the Gulf of Mexico. We cannot continue to chisel away at America’s own resources and expect to continue to be self-sufficient in filling future demand. National energy supply has certainly been handed a setback.”
But the Destin Dome fiasco isn’t the only case where liberal hacks blocked the domestic production of oil and gas reserves. Huge reserves off the coast of North Carolina’s outer Banks are also denied to Americans. Other large reserves are also languishing untapped as Americans ship billions of dollars to despots and corrupt regimes around the world.
The truth is, the United States is awash in domestic oil and natural gas.
The Baken Oil Formation that covers North Dakota, as well as parts of South Dakota, and Montana, contains at least as much oil as there is in Saudi Arabia. Other fields off both coasts and in Alaska as well as in our territorial waters in the Gulf of Mexico would also be available if the liberal hacks would let us develop them. Our domestic oil reserves are so great we would not need to import one drop of oil if our politicians would stand up to the leftists and allow our companies to develop the fields.
We are also the Saudi Arabia of coal. Our domestic coal reserves would last 500 years at the currently projected need for this energy source. But instead of maximizing the use of this vast domestic energy resource, our politicians throw roadblock after roadblock in front of energy companies forcing them to use overpriced imported oil instead.
When you fill your gas tank or pay your electric bill you can thank the liberals we’ve put in office for the price you’re paying. As your food bill raises and the cost of air travel soars, as the cost of just about everything rises faster than your income, you can thank the liberal politicians and the people who voted for them. There is no energy crisis. There is a political crisis, and it’s getting worse rather than better.
Of course, the dinosaur media will not tell you any of this. Nor will the liberals who are firmly in charge of both major parties. Nor will the talk radio shills tell you any of this unless the people get out in front on the issue like they did on the Bush/Kennedy/McCain amnesty for criminal aliens. That’s our only hope.
The trouble is, it doesn’t look like it will happen.
The True Story
The U.S. imports 400,000 gallons of gasoline a day from other countries because the environmental movement has blocked construction of new oil refineries in the United States for almost 30 years. The U.S. had 321 refineries in 1981; the U.S. has 149 oil refineries today. Many plants operate 24 hours a day (with no down-time for maintenance) to supply the growing demand for fuel, and to comply with EPA regulations that require refineries to formulate different types of gasoline in different regions of the country at different times of the year.
The New American reports:
"In 1996, Texaco, in an internal memo, noted: 'The most critical factor facing the refining industry on the West Coast is the surplus refining capacity, and the surplus gasoline production capacity. The same situation exists for the entire U.S. refining industry. Supply significantly exceeds demand year-round. This results in very poor refinery margins, and very poor refinery financial results'
"That great pool of oil is probably as big as the Prudhoe oil field . . . but government has ordered us not to produce that well, or reveal any information as to what is at Gull Island." "Three wells have been drilled, proven, and capped at Gull Island. The East Dock well also hit the Gull Island oil pool. . . . For forty miles to the east of Gull Island, there has not been a single dry hole drilled, although many wells have been drilled. This shows the immensity of the size of the field. The Gull Island oil find is even larger than the Prudhoe Bay field, which is presently producing more that two million barrels of oil every twenty-four hours." "Only recently, just west of Gull Island, the Kuparuk oil field has been drilled. . . . The chemical make up of the field and the pressure of the field is different from the others, proving it to be a totally separate pool of oil. . . the Kuparuk field is approximately 60 miles long by 30 miles wide and contains approximately the same amount of oil as the Prudhoe Bay field." "If this is allowed to be produced, we can build another pipeline, and in another year's time we can flood America with oil - Alaskan oil, our own oil, and we won't have to worry about the Arabs . . . if there are two pools of oil here this big, there are many, many dozens of pools of oil all over this North Slope of Alaska."
The EPA has capped producing wells, blocked efforts to drill on government land, and restricted drilling on private property.
The massive oil reserves off our East and West coasts haven't been developed, the massive oil fields under the Arctic National Wildlife Refuge (ANWR) and Gull Island haven't been tapped. If there is really a shortage of oil, why haven't we developed those reserves?
Edward Deatherage claims private companies can produce all the fuel we need if Congress will guarantee them $25 for a barrel of oil. Why is that important? In the past, when private companies tried to develop oil fields in the United States, the cartel dropped the oil price below the cost of production and bankrupted the competitors.
Natural gas (NG) cost $3.00 per million BTUs in the 1990s, and would have remained at that price if the EPA hadn't blocked development of gas wells, forced electric-generating companies to burn NG, exhausted the NG supply, and increased the price to $12 - $14 per million BTUs. The Wall Street Journal reports:
Thomas Gold, an astro-physicist at Cornell University, believes oil is derived from methane that contains residue of bacteria that flourish in the "Deep Hot Biosphere."
Russian oil companies followed Thomas Gold's advice, drilled hundreds of deep wells, discovered vast reserves of oil and natural gas, and have become the world’s second largest oil producer.
Joel Skousen was correct when he wrote:
"Yes, Peak Oil is coming - not so much because the supply has really peaked, but because the manipulated supply is peaking.
The U.S. is withholding vast Arctic and offshore resources in order to keep an ace in the hole for the coming war. . . . There has been a conspiracy to restrict refining capacity and buy out the little guys to cap supply - and that isn't likely to change in our lifetime. We're stuck with these powerful controlling forces, and will be - thanks to a dumbed-down electorate - until it's too late to do anything about it.
How much oil can one Dinosaur produce?????
Only 430 Barrels!
At 20 MILLION BARRELS a day in the USA that would take 49 THOUSAND DINOSAURS, sure is a lot of Dinosaurs, isn't it!!!!
The "Energy Crisis"
During the Embargo, Maine's Governor, Democrat Kenneth M. Curtis, accused the Nixon Administration of "creating a managed oil shortage to force support of its energy programs." A 1973 study by Philadelphia Inquirer reporters Donald Bartlett and James B. Steele revealed that while American oil companies were telling the U.S. to curtail oil consumption, through a massive advertising campaign, the five largest oil companies (Exxon, Mobil, Texaco, Gulf, and Standard Oil of California) were selling close to two barrels overseas for every barrel (42 gallons) of oil sold here. They accused the oil companies and the Federal government of creating the crisis.
In 1974, Lloyd's of London, the leading maritime insurance company in the world, said that during the three months before the Embargo, 474 tankers left the Middle East, with oil for the world. During the three months at the height of the crisis, 492 tankers left those same ports. During the Embargo, Atlantic Richfield (ARCO, whose President, Thornton Bradshaw was a member of the CFR) drivers were hauling excess fuel to storage facilities in the Mojave desert. All of this evidence points to the conclusion that there was no oil shortage in 1973.
Antony C. Sutton wrote in Energy:
"Our mythical energy shortage can be dismissed with a few statistics. The U.S. consumes about 71 quads (a 'quad' is one quadrillion BTU's, or 10 to the 15th power British Thermal Units) of energy per year. There is available now in the U.S., excluding solar sources and without oil and gas imports, about 151,000 quads. Consequently, we have sufficient energy resources to keep us functioning at our present rate of consumption for about 2,000 to 3,000 years– without discovering new reserves. Even at higher consumption rates there will be no problem in the next millennium."
In 1977, independent petroleum companies discovered 88% of the new oil fields, drilling on 81% of those. They have been hampered by the large corporations, referred to earlier as the Seven Sisters, who wanted to avoid adding to our national supply so they can profit from the higher prices. Carter's Department of Energy was established to perpetuate the propaganda of the existence of an energy crisis.
In 1975, an anonymous ARCO official told Hugh M. Chance, a former State Senator from Colorado, that the Government had allowed only one pool of oil in a 100 square mile area on Alaska's North Slope to be developed, even though the entire area north of Brooks Range has so much oil, that if it were drilled, "in five years the United States could be totally energy free, and totally independent from the rest of the world as far as energy is concerned." The Prudhoe Bay oil field is one of the richest oil fields on earth, able to produce an oil flow for at least 20 years, without the need of a pump; and a natural gas supply which could supply the entire country for 200 years. However, the Government wouldn't allow it to be pumped out, and it is funneled back into the ground. The Gull Island field had a different chemical structure, as did the Kuparuk oil field, west of there, which meant that the three different chemical compositions indicated the existence of separate pools of oil on the North Slope in an area of 50,000 square miles. Needless to say, this seems to be an almost unlimited supply of domestic oil.
Another ARCO official told Lindsey Williams, a chaplain for the work camps on the Trans-Alaska Oil pipeline, that "there will never be an energy crisis (because) we have as much oil here as in all Saudi Arabia." Williams had witnessed a huge oil discovery at Gull Island (5 miles north of Prudhoe Bay in the Beaufort Sea) that could have produced so much oil, that the official said that another pipeline could be built "and in another year's time we can flood America with oil- Alaskan oil ... and we won't have to worry about the Arabs." However, a few days after the find, the Federal Government ordered the documents and technical reports locked up, the well capped, and the rig withdrawn. Their excuse was that an oil spill in that part of the Arctic Ocean would kill various micro-organisms. Williams felt that the U.S. Government was deliberately creating an oil crisis, and delaying the flow of oil, in order to bankrupt the oil companies, which would lead to the nationalization of oil and gas.
William Brown, Director of Technological Studies at the Hudson Institute, said: "The President (Carter) said there is no chance of us becoming independent in our oil supplies. That is just wrong. We have at least 100 years of petroleum resources in this country." In 1976, proven resources were set at 37 billion barrels and the estimated recoverable resources were set at 150 billion barrels. This is about a 50-year supply at current usage levels. The American Petroleum Institute said in their 1977 Annual report, that recoverable crude was set at 30.9 billion barrels, and with today's technology, the amount of recoverable crude was 303.5 billion barrels, which is about an 80-year supply. The 1968 U.S. Geological Survey reported that the crude oil potential of the Atlantic Ocean continental shelf area is 224 billion barrels, the Gulf of Mexico has 575 billion barrels, the Pacific Coast has 275 billion barrels, and Alaska has 502 billion barrels, which is a grand total of 1,576 billion barrels. Only about 2% of these areas have been leased, which at the time of the report, had yielded 615 million barrels of oil, and 3.8 TCF (trillion cubic feet) of natural gas yearly.
The Wall Street Journal said that we possessed "1001 years of natural gas." Only about 2% of the Outer Continental Shelf has been leased, even though it may contain over half of our potential natural gas reserves. Along the Atlantic Coast, there is a potential of 67 TCF of gas, yet only about a dozen wells had been drilled in those areas. The Potential Gas Committee said in 1972, that we had 1412 TCF in reserve; in 1973, Mobil said we had 758 TCF; Exxon said we had 660-1380 TCF; the U.S. Geological Survey reported in 1974, that we had 761-1094 TCF in reserve; the National Academy of Sciences said in 1974, that we had 885 TCF; and there were other reports which indicated that we had over 700 TCF. These sources did not include the unconventional sources of coalbeds, shale formations, "tight sand" formations, and deep underground water areas.
From conventional sources, our known reserves were estimated to be about 237 TCF, and underground reserves were estimated to be about 530 TCF. An analysis of unconventional resources indicated the following yield: tight sand (600 TCF), coal (250 TCF), shale (500 TCF), underground water zones in the Gulf (200 TCF), and synthetic gas from peat (1443 TCF). This all adds up to a total of 3,800 TCF of natural gas, and with the U.S. using an average of 21 TCF a year, that would be enough to provide us with another 100 years worth of energy. That doesn't take into account the synthetic gas obtainable from growing marine bio-mass, such as the California Giant Kelp (Macrocystis Pyrifera), which grows two feet per day, and could be a renewable source for the production of synthetic gas.
It is also estimated that the United States could have up to half of the world's known recoverable coal reserves, which could be about 200 billion tons -- 45 billion of which is near the surface. At the time of this report, maximum production up to 1985 would have only used 10% of this reserve, even if no new reserves were discovered. In 1979, Herbert Foster, Vice-President of the National Coal Association, said: "America has three trillion tons of coal out there, ready to be mined ... all we produced last year was 590 million tons. That's only one pound of coal for every 2-1/2 tons still in the ground. The U.S. Geological Survey has estimated our coal reserves will last us well into the next century." One reason coal development has been held up, is that 40% of all reserves are on land owned by the Federal Government, and environmentally-minded citizens.
The book The Next 200 Years by Herman Kahn and the Hudson Institute said: "Allowing for the growth of energy demand ... we conclude that the proven reserves of these five major fossil fuels (oil, natural gas, coal, shale, and tar sands) alone could provide the world's total energy requirements for about 100 years, and only one-fifth of the estimated potential reserves sources could provide for more than 200 years of the projected energy needs." The Hudson Institute said in 1974: "There is no shortage of energy fuels." Antony Sutton wrote: "The energy 'crisis' is a phony, a rip-off, a political con game designed to perpetuate a 'crisis' that can be 'managed' for political power purposes."
Conservative estimates indicate that we have 100 years of energy sources available, while evidence of other undeveloped finds show that we have adequate reserves that would last long beyond that. The Illuminati has a firm grip on the oil supply, and after their 'test' in 1973, its obvious that oil will be used as a weapon of control. One can only wonder what would happen to this country if a large-scale oil crisis occurred [or was created]. Needless to say, it would be a disaster of unbelievable proportions that most likely would cause an economic collapse. Law and order would not exist in this scenario, as the population would fight among themselves for the limited resources that would be available, thus making the perfect situation for a World Government to step in.
Mega-Mergers in the Oil Industry
I want to relate to you some facts concerning various suppressed energy devices and the difficulty in informing the public of these devices. I hope that you can add some additional information.
On October 1, 1990, I began to keep a list of people contacted concerning energy devices. The list is now 51 pages long. The list includes the President and vice-president; 121 Members of Congress and other politicians; 21 government and state agencies; 215 members of the print and electronic media; 62 environmental groups; The President of United Auto Workers and 14 other UAW officials; The President of The American Automobile Association; many members of the clergy, including Mr. Pat Robertson, Christian Science Monitor; and numerous other "public interest" groups. Most of the people contacted do not respond to communications.
My own Congressman, Representative Frank Wolf, will not respond to a letter and 182 pages of documentation that I put in his hand on August 25, 1993. I wonder just who he does respond to? Could it be that money talks?
Note: In several of the following references information is followed by a (?) symbol, or a statement that the original material was stolen from me in 1986. This is because in those cases I am working from very poor copies of the original material. In 1986, I was visited by an intern reporter for the Washington Times who wanted to take my material back to the paper to make copies. What he did was steal my material and take it back to college with him. Had it not been for an Editor at the Washington Times, and the Dean at this intern's school, I would have lost a lot of my collection of energy material.
Here are the facts. Please verify this information for yourself. My comments are identified as [Comment: ].
1. Some folks at Shell Oil Co. wrote "Fuel Economy of the Gasoline Engine" (ISBN 0-470-99132-1); it was published by John Wiley & Sons, New York, in 1977. On page 42 Shell Oil quotes the President of General Motors, he, in 1929, predicted 80 MPG by 1939. Between pages 221 and 223 Shell writes of their achievements: 49.73 MPG around 1939; 149.95 MPG with a 1947 Studebaker in 1949; 244.35 MPG with a 1959 Fiat 600 in 1968; 376.59 MPG with a 1959 Opel in 1973. [Comment: The Library of Congress (LOC), in September 1990, did not have a copy of this book. It was missing from the files. I bought my copy from Maryland Book Exchange around 1980 after a professor informed me that it was used as an engineering text at the University of West Virginia.]
2. The book "Secrets of the 200 MPG Carburetor" is by Allan Wallace and was available, about 198(?), from Premier Distributing, 1775 Broadway, NY, NY, 10019. Page 18 has photocopies of three 1936 tests by the Ford Motor Co. (Canada) of the Pogue carburetor (U.S. Patent # 2,026,798). The worst case test achieved about 171 MP(US)G. [Comment: I can not provide any other publishing information because the book is among the material stolen from me in 1986. My copy of page 18 is very poor.] (click for U. S. Patent Office search engine)
>p>3. Argosy Magazine, August 1977, has a five page article about Tom Ogle and the media witnessed test of the "Oglemobile". Tom Ogle, on that test run, achieved more than 100 MPG in a 4,600 pound 1970 Ford Galaxie. [Comment: When I attempted to find a copy of that Argosy Magazine, it was missing from LOC files in 1980. Argosy ceased publication, I was informed, a short time after the Ogle article was published. I could not find a copy of that Argosy issue at any library within 200 miles of my home. An Editor at the company that purchased Argosy, found and mailed a copy to me. While attempting to verify statements in the article, I spoke with Doug Lenzini(SP?) with the EL Paso Times. Mr.Lenzini informed me that he knew Tom Ogle, and the Oglemobile achieved more than 200 MPG. When I contacted the El Paso NBC affiliate that filmed the test run described in the Argosy article, I was informed that the person who had filmed the test had left the station and taken all the records with him.]
A. The Ogle U.S. Patent, #4,177,779, has this statement "I have been able to obtain extremely high gas mileages with the system of the present invention installed on a V-8 engine of a conventional 1971 American made automobile. In fact, mileage rates in excess of one hundred miles per gallon have been achieved with the present invention." According to the Argosy article, a Shell Oil Co. representative asked Ogle what he would do if someone offered him $25 Million for the system. Ogle responded "I would not be interested" He later said, "I've always wanted to be rich, and I suspect I will be when this system gets into distribution. But I'm not going to have my system bought up and put on the shelf. I'm going to see this thing through--that I promise." According to an article in The Washington Post Parade Magazine, March 4, 1984, Tom Ogle died of a drug and alcohol overdose in 1981. Other articles concerning Tom Ogle can be found in the El Paso Journal, January 16, 1980, and also, The Hamilton Spectator, June 24, 1978.
B. The Oglemobile, in simplification, ran on fumes extracted from a heated tank in the trunk (See the Ogle patent.) A very simple method of extracting gasoline fumes is described in a book, published in 1900, "Gas Engine Construction". This book was reprinted by Lindsay in 1986, ISBN 0-917914-46-5.
4. There are many U.S. Patents granted for vaporizing gasoline. NASA Patent 3,640,256; General Electric Co. Patent 3,926,150; Robinson Patent 4,003,969; Harpman Patent 4,023,538; ButlerPatent 4,068,636; Totten Patent 4,106,457. [Comment: Pete, "The Tree Man", was researching the Fish carburetor while staying in my home during the early 80's. He later sent me a 6 page list with more than 240 U.S. Patent numbers for vaporizing gasoline, other fuels and water.]
5. During the mid 70's, physicist Don Novak traveled all over the U.S. lecturing and teaching in his seminars how to achieve 100 MPG. He also testified, October 15, 1979, before a Wichita, KS, Congressional Committee on "Reinventing the Automobile". [Comment: I have known Don for many years. Once he brought to my home, in the late 70's, two carburetors; one got more than 200 MPG and the other more than 100 MPG. I contacted a local politician, who lives in my town, and was on the Virginia Energy Subcommittee. I tried to have this politician meet Don and see the carburetors. The politician was not interested.
6. In the London, England, Daily Telegraph, 10/20/83, on page 9, there is an advertisement for a production Pugeot Diesel that gets 52.3 MPG in urban driving. In the Washington Post, 9/19/83, page 37(?) is the 1983 U.S. EPA fuel economy list of various vehicles. The U.S. model Pugeot Diesel gets between 22 and 27 MPG. The Washington Times, 8/9/91, published an article, "Gas saving engines hit streets in fall". This article is about two engines, the Mitsubishi MVV engine, and the Honda VTEC-E. According to the company spokesmen, the Mitsubishi will get up to 50 MPG; the Honda, up to 88 MPG. [Comment: I visited a local Honda dealer and got a brochure on the production automobile with the VTEC-E engine, the specified MPG, as I recall, was 53 MPG. I know of no produced Honda that gets 88 MPG. I have no information on the production Mitsubishi MVV engine. I wonder if there is something that happens to fuel economy when an automobile is transported to the USA. Is it possible that these engines "un-tweak" themselves during transit?]
7. The U.S. Government supported (Grant No. DTNH22-91-Z-06014) a study of automobile fuel economy by the National Academy of Sciences. This study, "Automotive Fuel Economy--How Far Should We Go?" (ISBN 0-309-04530-4), was used by the staff of my then Congressman George Allen, to refute documentation proving that an automobile had exceeded 376 MPG. Nowhere in this "fuel economy study" is there any reference to the work of Shell Oil Co. or any other reference that could refute the conclusion of this report. The report concluded, Page 4, that a subcompact car might achieve between 39 and 44 MPG by model year 2006. Many committee meetings were held from May 15, 1991 to December 14, 1991, prior to the April 1992 publication of this report. Prior to publication of this report, I previously sent documentation to several participants of these meetings. The documentation proved that automobile fuel economies of between 49 and 376 MPG were achieved. None of the participants responded to my letters. Documentation was sent to: Jerry R. Curry, Administrator, National Highway Safety Administration, on 3/16/91; Senator Richard H. Bryan, on 3/7/91; Congressman Philip R. Sharp, on 2/18/91; Steve Plotkin, Office of Technology Assessment, U.S. Congress, on 4/4/91; Charles Mendler, Energy Conservation Collation, on 11/2/90; Fred Smith, Competitive Enterprise Institute, on 4/16/91; Brian O'Neal, Center for Auto Safety, on 3/16/91; Clarence Ditlow, Executive Director, Center for Auto Safety, on 1/6/92. Previous documentation was also sent to members of organizations participating in these meetings, they are: John Koenig, Product planning Manager, Toyota Motor Co., on 3/18/91; Peter Clausen, Union of Concerned Scientist, on 10/28/90; John Morrill, American Council for Energy Efficiency, on 10/4/90. None of these people responded to my letters. [Comment: I know that at least one of my letters was received. The Union of Concerned Scientist keeps trying to get me to support their organization.]
8. An article "Automakers Move Toward New Generation Of Greener Vehicles" was published in "Chemical & Engineering News", August 1, 1994. This article is about "The Partnership for a New Generation of Vehicles", a partnership between the U.S. Government and the auto industry that has a goal of an 80 MPG automobile by 2002. [Comment: In 1992 a government funded study concluded that a subcompact car might get between 39 and 44 MPG by model year 2006 (See #7 above). In 1994 the goal is 80 MPG by 2002. Is it possible that someone read the Shell Oil book? Or could someone have actually read my February 13, 1992 letter, and 95 pages of documentation, sent to then Candidate Clinton?] I wrote, September 8, 1994, to Deborah L. Illman, the author of the article, and to the editor, Michael Heylin of Chemical & Engineering News, on September 11, 1994 . No response was received from them. On September 11, 1994, I also wrote to Mary L. Good, Under Secretary for Technology, (USA) Department of Commerce. I received a response from Ms. Good. It was an undated, unaddressed, form letter. [Comment: I guess the fact that a vehicle could get 376 MPG or burn water for fuel would not be a politically correct finding. How could someone explain to the American people that it was necessary to send more than 600,000 of our citizens to the Mideast to defend oil wells if these facts were public information?]
9. Hybrid Diesel/Electric automobiles (A Diesel/Electric locomotive uses the same principle.) The Manassas Journal Messenger, April 4, 1981, has an article about a MG sports car converted by San Diego State University. The car gets 110 MPG. The Steven R. Reed Automobile Manufacturing Corp., Newport Beach, CA, issued a press release dated February 14, 1983. This release announces the February 23, 1983 showing of the 200 MPG, two passenger, II Millennium Cruiser at the Ambassador Hotel. The press release also states that the company will file "...a major class-action lawsuit involving a considerable number of giant American corporations within the automotive and petroleum industries, plus numerous branches and agencies of the U.S. Government responsible for regulating these companies." [Comment: Don Novak informed me that when none of the major news media attended the Millennium show, the company drove the car to CBS Television, Los Angeles, and parked it on the lawn. No one came out of the building to inspect the car. Don also stated that the president of the Steven R. Reed Corp. has been in hiding for some years.]
10. Mother Earth News, November/December 1977, has an article "Can This Transmission Really Double Your Car's Mileage?". This article is about a Ford Granada modified by Vincent Carman of Portland, Oregon. In simplification, Mr. Carman removed the transmission and drive shaft from the car and bolted a hydraulic motor to the differential. He then bolted a hydraulic pump to the engine to pressurize a storage tank. The storage tank is also pressurized when the car brakes or slows down. The article states that the U.S. Post Office is interested in a whole fleet of vehicles using this principle. In 1990, after reading an article in "Federal Times", I contacted Mr. Robert St.Francis, U.S. Postal Service, who was searching for alternative fuels for use by the Post Office. Mr. St.Francis said that he had never heard of Mr. Carman. I wrote two letters, October 18 & 21, 1990, to Mr. St.Francis concerning Mr. Carman's vehicle. I received no response. Another article in Mother Earth News, March/April 1976,8(?), titled "This Car Travels 75 Miles on a Single Gallon Of Gas", is about a project by the Minneapolis Minnesota's Hennepin Vocational Technical Center that converted a Volkswagen to a system similar to that of Mr. Carman. The idea for the conversion came from a 1920 magazine article. The car, with a Bradley GT body and a 16 horsepower Tecumseh engine (The original VW engine was too powerful), achieved more than 75 MPG at 70 MPH. [Comment: Could we combine the technology of Tom Ogle, 200 MPG, and the hydraulic drive cars and have a 400 MPG 4,600 pound car ?]
11. The St. Paul Pioneer News, August 22, 1990, has an article about a group that 11 years previously modified a Dodge half-ton pickup furnished by a local dealer. This modified truck got more than 35 MPG. Test stopped on this modification when a member of the group was told that he would receive a pair of cement boots if testing continued.
12. Hydrogen fuel. There are many U.S. and foreign patents for extracting hydrogen and oxygen gasses from water for use as a fuel. Some Patents are: July 2, 1935, Garrett, # 2,006, 675; April 3, 1945, Klein, # 2,373,032; February 25, 1975, Chambrin, French Patent Request # 75 06619; July 6, 1976, owner unknown by me, # 3,967,589 (This is a patent for an electrical power generator that burns water); 1976, Horvath, # 3,980,053. This statement is on the Horvath patent, "This invention relates to internal combustion engines. More particularly it is concerned with a fuel supply apparatus by means of which an internal combustion engine can be run on a fuel comprised of hydrogen and oxygen gasses generated on demand by electrolysis of water".; June 28, 1983, Meyer, # 4,398,981. Mr. Meyer has at least eight other patents relating to hydrogen and oxygen gasses extracted from water for fuel.
A. Popular Science, about 1978,9(?), published an article "Hydrogen bus- could also heat its own garage". This article is about the work of Dr. Helmut Buchner of Mercedes-Benz. He is quoted "We are ready now. We could save our city of Stuttgart over one million gallons of petroleum fuel a year by converting its fleet of 300 urban busses to run on hydrogen. Heating--and air conditioning--would be free spin-offs, consuming no extra energy.".
B. Popular Science, March 1978(?), published an article "Hydrogen-demonstrates fuel of the future". This article is about the work of Dr. Billings, Billings Energy Corp., Provo, Utah. and others. The article states that a home, all the appliances, and vehicles, can be run on hydrogen. Dr. Billings converted a Cadillac Seville for duel fuel use. This Cadillac, burning hydrogen, was in President Carter's inaugural parade.
13. Completely sealed reciprocating engines. I visited the patent office years ago, when they still had the open stacks of "shoe boxes". While there, I read the application files for the Papp patent, #3,6(?)70,4944. Papp applied for a patent on his engine, and the patent office, after consultation with the old Atomic Energy Commission, refused to give him a patent because his device could not possibly work. Papp responded with test results, photographs and depositions from, I think, 16 people. Papp said that maybe the patent office didn't know how his device worked, and that theyalso didn't know how the atomic bomb worked, but used it anyway. This statement is on his patent "...2. To provide a two cycle reciprocating engine which does not use fuel intake valves or exhaust valves, does not require an air supply and does not emit gasses. 3. To provide a precharged engine of the character stated in item 2 capable of generating power for a period of from 2,000 to over 10,000 hours continuously or until mechanical breakdown without the addition of fuel injection of airor discharge of gasses...".
A. Papp has a similar patent granted in 1984. Unfortunately, the patent # is missing form the only sheet that I have.
B. Britt, August 31, 1976, has a patent, # 3,977,191, for a similar sealed engine. In the patent application file, Britt accuses the Patent Office of deliberately delaying his application to give a major manufacturer time to file on top of him.
14. Permanent Magnet Motor. Howard Johnson was granted U.S. Patent # 4,151,431, for a motor that is powered only by permanent magnets. An interesting thing about the first page of this patent is the chart of a magnetic field VS electromechanical coupling. The chart is from U.S. Patent # 4,151,432 which has nothing to do with the Johnson patent. Science and Mechanics, Spring 1980, published an article " Amazing Magnet-Powered Motor" about the Johnson patent. The article tells of his difficulties in having the device patented. The patent problem was solved when Johnson took working models of his device to the patent office. The magazine Science 83, May, published anarticle ridiculing perpetual motion machines, one of them was the Johnson motor. The Science article purports to quote from the prior Science and Mechanics article about Johnson. Because had both articles, I compared them, then called the author of the Science 83 article. When I stated that the information that he quoted was not in the prior article, he hung up saying "I will not be interrogated by you." . The editor of Science 83 also declined to speak with me. [Comment: Others have informed me that there are three other permanent magnet motor patents.]
15. The Moray device. Tom Moray, in the late 20s, had a device that could sit on a kitchen table and produce 50,000 Watts of power from a field that surrounds the earth. The operation of thisdevice was endorsed by many people. Moray's son, John, after the only copy of his father's book was stolen, wrote a book "The Sea of Energy in which the Earth Floats". The book is about his father's work. During the early 80s, I visited many congressional offices in an unsuccessful attempt to have any Member of Congress do something about the technology hidden from the American people. When I visited Congressman Ron Paul's office, a staffer said to me "I have something that you should read, come to my residence on Saturday." This staffer gave me a letter to Congressman Paul from Tom Bearden, and the 40 page document attached to the letter. The document is a book that Mr. Bearden has written. In this book, Mr. Bearden states that the Moray device could produce 1.5 megawatts of power. Also that the Russians had adapted the Moray device to power a weapon. The weapon statement is supported by a drawing from "Aviation Week and Space Technology", July 28, 1980. [Comment: Do you think that the local power company could justify a price increase if the power came from a field around the earth? This book was also missing from the LOC in 1990.]
16. The Energy Machine of Joe Newman. I have spoken with Joe many times over several years. He has recently published the seventh edition of "The Energy Machine of Joseph Newman" (ISBN 0-9613855-7-7) The book is available from: Joseph Westly Newman, Route 1, Box 52, Lucedale, Mississippi, 39452, Phone # (601)-947-7174. [Comment: I have no doubts that his machine works as he describes it. To learn of the problems that this man has had with "The Establishment" read his book. Joe filed suit against the U.S. Patent office because they would not grant him a patent. According to Joe's book, pages 274 to 279, the Court appointed a Special Master, Mr. William E. Schuyler, a former Commissioner of the U.S. Patent Office , to advise the Court. The findings of the Special Master were that Mr. Newman had invented a machine that had more output than input. The Court refused to accept the findings. I urge you to read this 471 page book. This machine is not "bogus" as stated by others. On February 5, 1996, I was one of several hundred people, in Mobile, AL, to see the Newman Energy Machine in operation. The machine was pumping water while running a power meter, similar to the one on your house, backwards.]
17. Cold Fusion. Despite the rejection of some in the USA, cold fusion is a going operation in other places. The monthly magazine "New Energy News", P.O. Box 58639, Salt Lake City, UT 84158-8639, has information on many successful results in cold fusion. The magazine also has information on "free energy devices".
18. "The Energy Non-Crisis", published in 1980 by Worth Publishing Co., P.O. Box, 1243,Wheatridge, CO 80033, is written by Chaplain Lindsey Williams. Chaplain Williams was on the Alaska Pipeline during the construction and got so fed-up with the deliberate lies of the media, he came back to tour the "lower 48", and tell the truth. According to Chaplain Williams, (Chapter 16) Gull Island, has a pool of oil as big as, and maybe bigger, than Purdhoe Bay. Our Government ordered ARCO "...to seal the documents, withdraw the rig, cap the well, and not release the information about the Gull Island find." A video tape of a speech that Chaplain Williams gave to a group at Salt Lake City, about 1980, is possibly available from: The National Center For Constitutional Studies, 1-800-388-4512. [Comment: I sent the Williams tape and a lot of other information to our current Secretary of Energy. The response that I received, after a second letter, was, essentially, no response.]
I hope that this information will raise questions as to why we are dependent on foreign oil. All our government has to do, to take more money from our pockets, is to have an energy crisis or raise the cost of energy. The only financial interest that I have in any of above devices is that of a concerned consumer who is tired of the deliberate lies and cover-ups.
Byron Wine firstname.lastname@example.org
Big Oil Find Is Reported Deep in Gulf
Proof That The USA HAS MORE OIL THAN THE MIDDLE EAST
By CLIFFORD KRAUSS
Published: September 6, 2006
An announcement yesterday by three oil companies of a successful production test in the Gulf of Mexico — potentially the largest American oil find in a generation — was seen by experts as ushering in a new era in ultra-deepwater offshore drilling.
Chevron, Devon Energy and Statoil ASA, the Norwegian oil giant, reported that they had found 3 billion to 15 billion barrels in several fields 175 miles offshore, 30,000 feet below the gulf’s surface, among formations of rock and salt hundreds of feet thick.
While it is too early to know exactly how big the fields are, the oil companies expressed hope that they had the potential of being even larger than those at Prudhoe Bay, off the northern coast of Alaska.
The United States has reserves of 29 billion barrels, meaning that at the high end of the estimates, the discovery could increase reserves by 50 percent. It comes as the output of oil and gas in shallower wells in the Gulf of Mexico, with about one-quarter of American oil reserves, is ebbing and environmental resistance to offshore drilling in areas closer to coastlines remains strong.
“This is frontier stuff,” said Daniel Yergin, president of Cambridge Energy Research Associates, noting that the discovery is at levels deeper than deep-sea fields in the North Sea and off North Africa. “Success at these depths in the Gulf of Mexico would facilitate ultra-deepwater exploration elsewhere in the world because it will have proven the technology and capabilities.”
It will take more than a year of drilling to confirm the value of the find, and the depth of the water will make extraction extremely expensive — profitable only if oil prices remain at least $40 a barrel, according to oil industry analysts.
The analysts cautioned that there was little likelihood the report would give drivers much relief at the pump because full production might not come on line for five years or more. By itself, it also appears that the discovery could make little more than a dent in the country’s energy dependence.
And given that the United States uses 20.5 million barrels of crude oil a day, the new areas at most hold supplies that would quench the nation’s oil thirst for two years.
In addition, there is a shortage of rigs able to drill in deep water, another constraint in exploiting the find quickly.
But Chevron and the other companies involved expressed excitement. The discovery in American waters, said J. Larry Nichols, chairman of Devon Energy, “could not have happened in a better place.”
According to Chevron, the successful test was the culmination of about two years of drilling by the three companies, using seismic and drilling equipment at record depths and pressure.
“Our strong strategic position in the deepwater Gulf of Mexico,” said George L. Kirkland, a Chevron executive vice president, “will continue to be a platform for future growth for years to come.”
Shell, BP, Exxon Mobil, Anadarko Petroleum and Petróleo Brasileiro have leases on comparable waters in the gulf, and the successful test is likely to set off a wave of drilling in deep water as well as the building of platforms and the laying of pipelines.
“It’s going to attract deep-pocket and patient investment to work these fields,” said Wayne Andrews, oil analyst at Raymond James & Associates. “These are very expensive wells to drill, and the production facilities required to produce the reserves are also going to be very expensive operations.”
Chevron reported that the test on the Jack No. 2 well, situated 270 miles southwest of New Orleans, broke a record for the deepest successful well test in company history. It has sustained a daily flow of more than 6,000 barrels, a quantity thought to mean considerable reserves.
The successful test was first reported yesterday by The Wall Street Journal.
The stock prices of the three companies rose yesterday. Chevron, which owns 50 percent of the field, gained $1.51, or 2.33 percent, closing at $66.34. Devon Energy, which owns 25 percent of the field, was up sharply, rising $7.99, or 12.5 percent, to $72.14.
American depository receipts of Statoil, which owns the other 25 percent, rose 66 cents, or 2.4 percent, to close at $28.17.
The three oil partners said they would drill another appraisal well next year to confirm the extent of their find, and would probably decide on developing the field late in 2007 or in 2008.
The deep waters of the Gulf of Mexico may represent the last area in the United States where large oil and gas reserves remain to be discovered, although some experts see the potential for big discoveries deep off the Atlantic and Pacific coasts, which would require Congressional action to exploit.
“This is a breakthrough that confirms very large reserves of recoverable oil in the gulf,” Mr. Yergin of Cambridge Energy Research Associates said. “This announcement also reflects how the oil industry is marching offshore into deeper and deeper waters around the world.”
Successful exploitation of the reserves requires new drill technology and computerized seismic technology to work in water more than a mile deep. “This would have been unthinkable 10 years ago,” Mr. Yergin said, “but the technology keeps advancing.”
The oil in the area is considered top quality, light and sweet, unlike the oil in many new fields around the world that is heavier and more difficult to process.
Because the new reserves are so far off the gulf coast, they seem unlikely to attract the intense opposition from environmentalists who oppose drilling close to beaches.
Letter to Congress on “The Rape Of America By Big Oil”
I have written several letters to you regarding the RAPE OF AMERICA by the BIG OIL companies. However I have NEVER received an answer from you. Your staff would send pre printed form letters but NEVER answer the questions. Your staff will be in Granville this month and I intend to ask in person WHY YOU don’t answer such important questions.
Congress has caused this problem by not allowing the USA to extract oil that it has just in the LOWER 48. With toadies technology there is little chance of spills. We have enough oil in the lower 48 to take care of ALL the need in the USA for the next 100 years. Pennsylvania has enough natural gas to power this entire nation. All Americans are not stupid, we do not live in a with our head in the sand, and we DO NOT listen to lobbyist that have an agenda that is NOT GOOD for this country.
Take the Alaskan Oil Pipe Line. It has been operating for 30 years has produced over 15 BILION barrels of oil with little problem. The moronic environmentalist that predicted a dooms day because of the pipeline WERE WRONG. WHY DOESN’T CONGRESS OPEN UP THE North Slope? It has 100 of billions barrels of crude just waiting to be pumped.
There are over 250,000 wells in this country. 17,000 of these operating wells are mom and pop wild cat wells that are on private property and are pumping 24 hours a day. You can drive across Pennsylvania through Ohio, Indiana, Illinois and Missouri and actually count over 2000 of these wells as you drive on the interstate (I 80, I71, I70). THESE WELLS ARE PUMPING CRUDE OIL 24 HOURS A DAY.
Now lets look at the capacity that these wells can deliver. An average bore is between 4 and 8 inches, and the final extraction size could be three to 6 inches. The stroke of the pump averages 48 inches, and the minimum stroke speed to hold the vacuum is 8 seconds. So a stroke will produce approximately one gallon of crude. So each of these wells will produce 12 gallons a minute, or 16 barrels a day, all total they produce 280 thousand barrels a day. That is just private ownership wells. It also must be noted that some of these private wells also provide natural gas. The above does NOT include the BIG OIL COMPANYS and their massive wells that produce 22 gallons of crude per stroke and that are ONLY running at the minimum speed (12%) Nor doe it include Alaska and all the off shore platforms that can produce over 6000 barrels per day per platform. The capacity of this country to produce oil at 50% of each pump's capacity is over 35 million barrels per day.
Now in the 60’s cars got 4 to 5 miles per gallon and gas was 25 cents per gallon. In the 70’s cars got almost 10 mpg so the BIG OIL COMPANIES were loosing 50% because ENGINES WERE GETTING EFFICIENT. So the CONTRIVED OIL EMBARGO was invented. During the 70’s I watched fully loaded transports sneak through the Cape Cod Canal at NIGHT with their lights off. I also watched oil transport trucks pump gas into tanks of abandon gas stations and store gas in tankers behind the TANK farms in Missouri.
There was NO SHORTAGE but an engineered event by BIG OIL to RAPE the American People for their own gain and profit. As the engines in cars continued to get better MPG BIG OIL manipulated the pumping and supply in order to keep THEIR BOTTOM DOLLAR high. Today we see the same manipulated as BIG OIL slows the pumps down so to achieve an oil shortage by artificially cut back on the capacity of their pumps. It is also my opinion that BIG OIL is pumping CRUDE back into the ground to keep the supply low.
Today a car gets 30 to 40 MPG and a gallon of gas cost four dollars. To go forty miles in the 60’s it may take up to 10 gallons, or $ 2.50 to $ 3.50. I know very well as I use to travel from Boston to Cape Cod and know how much money I would need to get enough gas to get there. ALSO the value of the dollar was substantially HIGHER in the 60’s than today, almost 80% higher.
So a combination of the decreased dollar value and the GREED of BIG OIL gas and heating oil is beyond the reach for the average American and especially the people on FIXED INCOME.
I paid around three dollars per gallon last year for heating oil NOW I AM PAYING over four fifty a gallon.
Also remember that the heavier the product the less it cost to refine. Heating Oil, Diesel, Kerosene are HEAVY OILS and they are at the bottom of the process GAS is at the top.
So you see We The People are NOT SO DUMB and Congress and BIG OIL mistakenly believes.
In closing, This country can be TODAY Energy Independent and produce ALL the crude it needs to exist, and sell millions of barrels a day to Europe. We could have had on line nuclear plants, and wind plants, and coal gasification plants. Today we have the technology to completely eliminate hydrocarbons from any exhaust from any processing plant or generating plant. Big Oil now sees hydrogen based systems coming on line and when that happens CRUDE OIL will ONLY be used as lubricants, and NOT for generating POWER or in the automotive industry. So BIG OIL is RAPING the American People because of GREED and POWER. Congress is going along with BIG OIL because of the BUCKS they get from them.
Now I would like a real answer to this document not a computer generated fluff answer that does NOT correct the problem.