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Price for Netflix monthly subscription: $12.99 Price for a barrel of oil: $11.50 If you simply cancel your Netflix subscription and store oil in your backyard
by taytus 7y ago
Price for Netflix monthly subscription: $12.99
Price for a barrel of oil: $11.50
If you simply cancel your Netflix subscription and store oil in your backyard...you'll be really bored and have a bunch of oil in your backyard
Source: https://twitter.com/awealthofcs/status/1252206952064614406 https://twitter.com/awealthofcs/status/1252206952064614406
- HenryKissinger 7y agoPlus you can sell at a profit when prices rise, although you'll need a lot of storage capacity if you hope to earn anything remotely substantial.
- vageli 7y ago> Plus you can sell at a profit when prices rise, although you'll need a lot of storage capacity if you hope to earn anything remotely substantial. You'll probably need a special license to sell oil in large amounts, considering the complications involved in storing, transporting, and disposing of it.
- matt_morgan 7y agoStart an Uber for oil sales. You're not selling it, you're just enabling. Others can get licenses, or not. You don't have to care!
- toomuchtodo 7y agoYou’ve just reinvented the commodities futures market. You can even take delivery in Cushing, OK if you want (but you don’t have to, as long as you roll out of the contract before the delivery date). https://www.cmegroup.com/ https://www.cmegroup.com/ https://www.cmegroup.com/trading/why-futures/welcome-to-nymex-wti-light-sweet-crude-oil-futures.html https://www.cmegroup.com/trading/why-futures/welcome-to-nyme... (CME Light sweet crude WTI)
- o-__-o 7y agoYou actually need to tell your broker that you want full execution of the contracts otherwise the default is for your broker to sell the contract before delivery. And even so, your broker will expect ability to receive the shipment before they allow that liability to go unchecked
- toomuchtodo 7y agoThis is important! I’ve seen a friend have to take delivery of train cars full of eggs. Not a good time!
- vageli 7y agoI would personally _love_ to hear this story.
- addison-lee 7y ago> The Gang Solves the Gas Crisis
- friedegg 7y agoWhat we need is an oil barrel subscription service. For just $20/mo, they'll deliver a barrel of oil to your house or business. For $25/mo, they'll throw in a bucket of coal. Makes a great holiday gift.
- 3fe9a03ccd14ca5 7y agoDoes it include the actual barrel, it seems a steel drum barrel like that is itself worth more than $20!
- mcny 7y agoWouldn't it be better if I store the oil for you and give you a certificate instead? You could buy it instantly and you could just email or whatsapp your christmas gift of coal...
- deleted 7y ago[deleted]
- raverbashing 7y agoEven better if the certificates are cryptographically signed in a chain and their custody is verified though a solution of the Byzantine generals problem.
- MisterTea 7y agoNo. You have to bring it back to the local supermarket or recycling center for the $20 deposit.
- c54 7y ago1) buy WTI oil future (min contract is 1000 barrels) 2) wait for delivery 3) cry when you now have 42000 gallons of toxic sludge on your front porch 4) wash your hands and maintain appropriate social distancing
- mcny 7y agoI know gasoline is a commodity and it doesn't matter what the source is but my understanding is that crude oil from Saudi Arabia is better (probably subjective) than crude oil from Canada? I don't get why people don't just store crude oil and not process it for a bit (I'm guessing six to eighteen months)? I looked online and it seems that for a car, you should fill up the gas tank if you're not going to drive much for months and still go around the block about once a month?
- c54 7y agoYep, there are different grades of crude (referred to as light vs heavy and sweet vs sour). Alberta tar sands crude is in the heavy/sour range. The differences in the grades of oil require different tooling to process and may be more or less expensive to process. West Texas fracking crude by contrast is light and sweet. https://en.wikipedia.org/wiki/Sweet_crude_oil?wprov=sfti1 https://en.wikipedia.org/wiki/Sweet_crude_oil?wprov=sfti1 As to why people don’t store it.. well, we (as a nation, and also the oil industry) try to but it’s only possible to store limited amounts of liquids (notoriously because liquids are incompressible), especially when you’re talking about thousands to millions of barrels per day. Estimates are that oil demand has dropped by 30% globally, the OPEC+ meeting last week showed us a ~10% global cut by Saudi Arabia/Russia/US... which still leaves a meaty 20% surplus. A lot of the recent contention has been around when all the (strategic) reserve tanks will fill up and cause the price to really plummet... which we’re seeing now.
- yellowstuff 7y agoCrude oil is hard to store safely. All the storage capacity is full, and it's expensive to build more.
- ihaveajob 7y agoThey had a story on this at Marketplace. Storage is limited and not free, with oil tankers being used as extra storage units during the glut, at an increasingly large cost. Also capacity reduction is not trivial either, particularly for smaller wells that can't just shut down (vs larger wells that can slow down extraction).
- jerf 7y ago
- franksvalli 7y agoWrong.. kids, get ready for the most slippery slip 'n slide adventure!
- RobRivera 7y agoCan I drink from the firehose afterwards?
- tengbretson 7y agoIt's better than that! Used steel barrels go for around $29 a piece. All you need to do is buy oil, dump it out somewhere, and then sell the barrel for $17 profit!
- PakG1 7y agoSee, this is why we need a good EPA in the US and similarly good in other countries. To protect against capitalists like you who don't care about externalities. ;) Now go make a financial derivative so I can trade on used steel barrels.
- lowdose 7y agoAnd a link to his innovation.
- tengbretson 7y agoWith these profit margins I should easily be able to afford a fancy national marketing campaign to cover my ass. I can see it now. Oil – It comes from the earth. We're just returning it.
- deleted 7y ago[deleted]
- teraflop 7y agoYou're not thinking outside the box. Buy the oil, burn it for power, sell the barrel, and use a portion of the profit to pay for carbon credits. Voila, an infinite supply of clean energy.
- Mikeb85 7y agoStorage isn't included when you buy oil. You don't actually get a steel barrel.
- chrisseaton 7y agoYou don't literally get the barrel when you buy a 'barrel' of oil.
- pjc50 7y agoSee this classic article on the difficulties of actually trying to do this: https://www.bloomberg.com/news/articles/2015-11-03/that-time-i-tried-to-buy-some-crude-oil https://www.bloomberg.com/news/articles/2015-11-03/that-time...
- yumraj 7y agoSomeone just need to write a blog on how to use RPi, React, Alexa and a few beakers to refine oil and we're set.