Posted by LAA on November 25, 2014 at 08:58:15 from (86.51.147.113):
In Reply to: OT Low Gas Prices posted by Steve@Advance on November 25, 2014 at 05:51:32:
There is no such thing as no overhead oil, if someone gave you an oilwell you would still have to maintain it and produce it and get the oil to where it can be sold. The single highest cost involved with Middle Eastern desert oil wells is getting the product to market, nobody is flooding the market with ''cheap'' oil, the increase in US production coupled with the drop in demand has resulted in lower prices, the Saudis have not cut production yet, but they may still decide to. In case some people have not noticed the world is in recession, the US may have an easier recovery simply due to oil and gas activity, without which there would have been absolutely no economic growth in zeros two terms.
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