crisis management

[Oliver88]

Why would Alberta citizens want to give away oil at these prices even if there were pipelines galore? Hold onto it till its worth something.

The oil companies don’t want to sell oil for $13 USD/barrel on the prairies.
They want to sell oil for $50-100/barrel on the pacific coast, Atlantic coast or Gulf of Mexico.

The less oil Canada sells on the world market the more Saudi Arabia, Iran, Nigeria and other terrorist funding regimes sell.

[grassfarmer]

Why would Alberta citizens want to give away oil at these prices even if there were pipelines galore? Hold onto it till its worth something.

I always thought that was the smart strategy too but I think the game has changed. Concerns over peak oil and when it'll run out have diminished with the growth of renewables and alternative energy sources. Peak oil use is maybe behind us.

[farming101]

In reality peak oil is still in the future.
Forecasts are for record use this year.
https://www.iea.org/oilmarketreport/omrpublic/ https://www.iea.org/oilmarketreport/omrpublic/

[shtferbrains]

Why would Alberta citizens want to give away oil at these prices even if there were pipelines galore? Hold onto it till its worth something.

We held our oil and about everything else here in sask for generations.

We did better at exporting our people.

That didn't work out well.

[GDR]

I always thought that was the smart strategy too but I think the game has changed. Concerns over peak oil and when it'll run out have diminished with the growth of renewables and alternative energy sources. Peak oil use is maybe behind us.

Just watched an investment show yesterday and the guy's opinion there was peak oil is still 20yrs away. I would have to agree, even the so called green initiatives all take oil to build or maintain. Gonna be here for a while.

[foragefarmer]

Saudi Arabia produces a barrel of oil at US$9.00 while in Alberta it's US$40.00 a barrel. WTC is trading at US$50.17.

Yet, there's posters on here saying Alberta should produce more oil and build pipelines and this some how will benefit Alberta.

Trump is thanking the Saudi's for producing more oil to drive down world prices.

The big boys are pulling all the strings right now, your logic is so futile

[GDR]

Saudi Arabia produces a barrel of oil at US$9.00 while in Alberta it's US$40.00 a barrel. WTC is trading at US$50.17.

Yet, there's posters on here saying Alberta should produce more oil and build pipelines and this some how will benefit Alberta.

Trump is thanking the Saudi's for producing more oil to drive down world prices.

The big boys are pulling all the strings right now, your logic is so futile

The oilsands are not the only oil producers in AB. Local field here has lifting costs of about $7

[foragefarmer]

GDR

US$7.00 ??


Besides Alberta produces Western Canada Select (WCS) which is a discount to WTI which is US$50.00 a barrel.

Again how can Alberta oil compete with Saudi oil at US$9.00 and Trump's intervention?

What happens to prices in any commodity when supply exceeds demand?

[wd9]

We are the most fortunate generation to have ever lived.

[walterm]

We are the most fortunate generation to have ever lived.

I think every generation has said the same thing!

[sawfly1]

My hired man. Trucked oil for years , still does.
I asked him the other day , how do the oil Co.s do
It with 15$ oil. He is Busy as hell now.
His answer was , these horizontal well s , with steam
Etc. They have gotten so good at it . That the lift
Costs are about 2$/barrel. Compared to conventional wells. At 17-20 $ , because of the water they have to deal with.

Right now , they truck the oil from here and eastern Alberta. To around Brooks , to old failing conventional
Fields where there is excess pipeline capacity.
In some ways surprisingly ,they can still make money.

As for the price of oil .Trump said the other day that he
Was responsible for it . Because he got the Saudis to pump more.
Now as for why the low oil price is not reflected at the pump.
Same reason we pay what we pay for nitrogen, seed, and
Ag chemicals , is because they can.
They stick together.

[sawfly1]

I wonder about the pipeline debate.
And even if it gets built. If supply on this end still
Outstrips , capacity .
Then who is really in the driver seat.
The oil Co.s or the pipeline owners.
Just like grain , where either the grain Co.s or the
Railroads get to stretch basis .
When railroads can not deliver.

At least oil has alternatives, but still it is probably
Better that the govt . Owns the line , to insure the producers see some of the benefit.

[bucket]

I wonder about the pipeline debate.
And even if it gets built. If supply on this end still
Outstrips , capacity .
Then who is really in the driver seat.
The oil Co.s or the pipeline owners.
Just like grain , where either the grain Co.s or the
Railroads get to stretch basis .
When railroads can not deliver.

At least oil has alternatives, but still it is probably
Better that the govt . Owns the line , to insure the producers see some of the benefit.

There is alternatives for grain now as well....I have heard of loads of feed wheat being trucked from mid point saskatchewan to burnaby BC....

[farmaholic]

There is alternatives for grain now as well....I have heard of loads of feed wheat being trucked from mid point saskatchewan to burnaby BC....

Interesting stuff...

Oil in a pipe not on a rail
Grain on a rail not in a pipe
Neither grain nor oil on a truck for "very" far distances.

The transportation system is so broken down that common sense no longer prevails.
If things were transported in the manner they were meant to be, there would be no reason to think that we have to re-invent the wheel.

I'm not against the trucking industry and don't think there needs to be a spider web network of rails and pipes reaching every nook and cranny of this country....but to move large volumes of product to an area should be handled with the most efficient safe common sense fashion possible. Once it's in the area destination move it the short distances in the next most efficient way.

What "back haul" for Super B grain bulkers would be coming out of the BC lower mainland over the Rockies? ...and how many?

[bucket]

Interesting stuff...

Oil in a pipe not on a rail
Grain on a rail not in a pipe
Neither grain nor oil on a truck for "very" far distances.

The transportation system is so broken down that common sense no longer prevails.
If things were transported in the manner they were meant to be, there would be no reason to think that we have to re-invent the wheel.

I'm not against the trucking industry and don't think there needs to be a spider web network of rails and pipes reaching every nook and cranny of this country....but to move large volumes of product to an area should be handled with the most efficient common sense fashion possible. Once it's in the area destination move it the short distances in the next most efficient way.

What "back haul" for Super B grain bulkers would be coming out of the BC lower mainland over the Rockies? ...and how many?

I heard it was wood chips, which could be done by rail from the west coast if the system was operating properly...

**** sakes ...combines use to be delivered by rail in time for harvest....