Replies to post #346261 on Zeev's Turnips Talk Politics (ZTTP)

[stratocasterca]

i agree with that post for the most part. the cat IS out of the bag and alternative sources are going to be developed which will reduce the grip of OPEC on us, as a matter of national security and just plain common sense.

conservationists have been preaching that for decades to deaf ears, but $130 per barrel did a bunch on corrective surgery on america's eardrums.

[highline]

Natural gas is going up and will be a bit more costly than before due to inflation. Like oil, steel is in high demand globally. We are also competing for that with a weaker dollar.

Since Jan. 1, 2008; line pipe- fusion bond- (steel pipe) has jumped 100% and is expected to jump again. It also has lead times of up to 4 months.

Some material simply isn't available- ie; tubing and casing.

Polypipe is also expected to continue increasing in price but may not be as drastic as predicted, if oil drops.

Compressor stations, pipe, wells etc.. are all more costly than ever before.

All those costs have to be paid for and it will be reflected in the price of the natural gas.

[nwsun]

in a peak oil meeting i attended 3 years ago, we had reps from the state doe.. we were told then that nat gas and electricity futures contracts being signed at that time for future delivery, were much higher than the pricing we were seeing on our current bills.. its my understanding that the energy we are using now was purchased via contracts years earlier, so the pricing we are seeing today, in my estimation, was predicted at least 3 years ago... i do realize that speculators can influence current pricing... what i learned from the peak oil group suggested that we would see gasoline eventually reach $5 a gallon, but i didnt think it would happen as soon as it did... so, i believe the recent spike we saw was manipulation but i still believe that $5 is the goal and thats without any wars or other price fixing games stepping in and taking advantage of a situaion...