Ovidius, you say:
"IMO, lower prices for oil translate into a big push to find real alternatives for energy, regardless of who wins the election. You can bet that the reprieve in oil prices will be followed by a big push for energy independence. However, this will not include the little producers, like Hemi IMO."
NEVER in the history of the US or any other country has the availability of CHEAPER energy EVER led to developing costlier fuels. Just look at what happened after the fuel shortages of the 70's were history - SUVs.
This will simply not happen. Only higher prices and less supply will drive smaller cars and alternative fuels.
While oil may be more available and prices somewhat cheaper, due to a worldwide recession/depression or worse, saying that we will develop alternative energy with all the above going on is not reality.
IMO, less expensive oil will continue to be available and a floor will be put under prices due to production cutbacks. This current pullback was rapid but OPEC has already met several times to address cutbacks. I know it can be argued they will cheat on production, but that will somewhat slow as time goes on.
Longer term, shortages will develop as oilfields decline or close and less oil is cheaply available which will ultimately drive prices higher. IMO, much higher than we have seen. We could get into a discussion on inflation and its ramifications on prices but that's off topic.
As producers cut back on sales to USA for political reasons (somewhat mitigated by their profit motives) the biggest thing the USA can do is become energy/oil self dependent. On this we agree. That's a big challenge and WILL NOT be without some bumps along the way. And I'm talking years to accomplish. Pickens strategy of using gas to "tide us over" is a reasonable strategy but that too will take time I personally don't think we have in the USA while maintaining our lifestyle.
While this is somewhat off topic, we all need to consider how we will deal with the coming/current economic crises and its ramifications to the supply network until we can be energy independent.
I know domestic companies such as HMGP will go a long way towards this goal and that's why I'm here.
HMGP is just one piece of the solution and many domestic producers, both large and small will be needed.
AI
