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Russian oil is still being sold to India, China, and in Europe... They're price gouging. They learned their lesson from the shale boom and are colluding to kee

Russian oil is still being sold to India, China, and in Europe... They're price gouging. They learned their lesson from the shale boom and are colluding to keep prices high / aren't re-opening wells for fears of a sharp drop in prices. Remember when crude went negative?

wbsss4412 4y ago
The lesson from the shale boom is that the saudis have no problems with waging a price war to drive them out of business after they’ve made significant upfront investments. Avoiding investments that you know will result in huge losses isn’t price gouging.
google234123 4y ago
Why would they bother to open anything new. the Biden will require 3 years of environmental review and will not defend against any frivolous lawsuits for any new production or plants
- turtledove 4y ago
  First, they wouldn't need to open anything new. They could reopen existing wells. Second, pumping oil out of new sites is myopic, at best. And third, any administration's policies are hardly going to move the needle on the profits oil companies are going to make. They may tell you it's Biden, but that's just convenient cover so folks stop blaming them for problems they could eminently fix.
  - throwaway0a5e 4y ago
    Even just "turning on" existing wells has large up front costs and takes time to have a positive ROI. Between the threat of OPEC turning on the tap and the threat of administration adopting some policy that dings a percent out of the existing margin the risk is too great for north American operators to pull out the stops and go all in.
    - diordiderot 4y ago
      It's basically one sector holding the entire rest of the economy hostage for more record breaking profit. I'd argue for "use it or lose it" laws in basically every sector. Farmland, speculative RE investment, etc. Or a sort of delapidation tax In b4 'but property rights' they're fundamentally a privelidge granted to you by the 'polis'and protected by the polis for it's own benefit.
  - thehappypm 4y ago
    It’s hardly myopic. We can’t get to a green future without a healthy energy mix today to get us there.

wbsss4412 4y ago

The lesson from the shale boom is that the saudis have no problems with waging a price war to drive them out of business after they’ve made significant upfront investments. Avoiding investments that you know will result in huge losses isn’t price gouging.

google234123 4y ago

Why would they bother to open anything new. the Biden will require 3 years of environmental review and will not defend against any frivolous lawsuits for any new production or plants

turtledove 4y ago
First, they wouldn't need to open anything new. They could reopen existing wells. Second, pumping oil out of new sites is myopic, at best. And third, any administration's policies are hardly going to move the needle on the profits oil companies are going to make. They may tell you it's Biden, but that's just convenient cover so folks stop blaming them for problems they could eminently fix.
- throwaway0a5e 4y ago
  Even just "turning on" existing wells has large up front costs and takes time to have a positive ROI. Between the threat of OPEC turning on the tap and the threat of administration adopting some policy that dings a percent out of the existing margin the risk is too great for north American operators to pull out the stops and go all in.
  - diordiderot 4y ago
    It's basically one sector holding the entire rest of the economy hostage for more record breaking profit. I'd argue for "use it or lose it" laws in basically every sector. Farmland, speculative RE investment, etc. Or a sort of delapidation tax In b4 'but property rights' they're fundamentally a privelidge granted to you by the 'polis'and protected by the polis for it's own benefit.
- thehappypm 4y ago
  It’s hardly myopic. We can’t get to a green future without a healthy energy mix today to get us there.