Fox News reports that a new discovery of oil in the Gulf of Mexico has already started to affect gas prices positively.
Tests of a deep-water well in the Gulf of Mexico could indicate a significant oil discovery, three companies announced Tuesday, in the first project to tap into a region that reportedly could boost U.S. oil and gas reserves by as much as 50 percent.
...
The Wall Street Journal reported Monday that the region where the well is located could become the nation's biggest new domestic source of oil since the discovery of Alaska's North Slope more than a generation ago.The Journal said Chevron and Devon officials estimate that recent discoveries in the Gulf of Mexico's lower-tertiary formations hold up to 15 billion barrels' worth of oil and gas reserves, a total that would boost the nation's current reserves by 50 percent.
The story linked above did not include the reference to gas prices beginning to drop already as a result of the news. I heard one of the Fox News business reporters say that on television a few minutes ago, but did not see it posted at the website yet.
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Comments (11)
It's really going to get in... (Below threshold)1. Posted by cirby | September 5, 2006 12:19 PM | Score: 0 (0 votes cast)
It's really going to get interesting when people realize that some of the old "exhausted" fields are refilling from reservoirs lower down... it's already been observed in Louisiana, for example.
1. Posted by cirby | September 5, 2006 12:19 PM |
Score: 0 (0 votes cast)
Posted on September 5, 2006 12:19
2. Posted by jpm100 | September 5, 2006 12:33 PM | Score: 0 (0 votes cast)
Environmentalists in Congress probably already have legislation to shut it down.
2. Posted by jpm100 | September 5, 2006 12:33 PM |
Score: 0 (0 votes cast)
Posted on September 5, 2006 12:33
3. Posted by Steve L. | September 5, 2006 2:38 PM | Score: 0 (0 votes cast)
Don't worry. There'll be some kind of wiggleworm or ugly fish that will prevent the oil industry from being able to drill unless there is a Democrat in the Oval Office.
3. Posted by Steve L. | September 5, 2006 2:38 PM |
Score: 0 (0 votes cast)
Posted on September 5, 2006 14:38
4. Posted by Synova | September 5, 2006 3:00 PM | Score: 0 (0 votes cast)
I'm not sure if a Democrat in office would help. It's very simple really. Using petrolium is *bad*, therefore new sources of oil are *bad* because it just means we'll use more and put more pollutants into the air and cause more global warming. I don't think that the logic goes beyond that to the consequences of dependancy on foreign sources of oil. What's more the political windfall of high oil prices is entirely unrelated and will be missed come November.
If people were serious about the issue we'd be drilling in Alaska and building nuclear plants.
... but nuclear is *bad* and the logic doesn't go beyond that.
4. Posted by Synova | September 5, 2006 3:00 PM |
Score: 0 (0 votes cast)
Posted on September 5, 2006 15:00
5. Posted by Gayle Miller | September 5, 2006 3:29 PM | Score: 0 (0 votes cast)
For those too young (or too old) to remember, gas prices were totally out of control in the 1970s when JAMES EARL CARTER, JR. was President. He was then a Democrat. I'm not sure what he is now.
In the meantime, gas was $2.34 per gallon here in Columbus, Ohio on Saturday at the gas station near my house.
Just think - we have cheap gas AND the Buckeyes!
5. Posted by Gayle Miller | September 5, 2006 3:29 PM |
Score: 0 (0 votes cast)
Posted on September 5, 2006 15:29
6. Posted by JohnAnnArbor | September 5, 2006 4:20 PM | Score: 0 (0 votes cast)
Just think - we have cheap gas AND the Buckeyes!
Well, at least you have cheap gas, then.
6. Posted by JohnAnnArbor | September 5, 2006 4:20 PM |
Score: 0 (0 votes cast)
Posted on September 5, 2006 16:20
7. Posted by geomatic1 | September 5, 2006 7:10 PM | Score: 0 (0 votes cast)
I sure wish gas was $2.34/gallon here in southern California. We are finally seeing $2.97 again.
7. Posted by geomatic1 | September 5, 2006 7:10 PM |
Score: 0 (0 votes cast)
Posted on September 5, 2006 19:10
8. Posted by John S | September 5, 2006 8:43 PM | Score: 0 (0 votes cast)
On election day gas prices will be below $2.00 a gallon. You can count on it. The oil companies don't relish the thought of a Democrat-held Congress.
8. Posted by John S | September 5, 2006 8:43 PM |
Score: 0 (0 votes cast)
Posted on September 5, 2006 20:43
9. Posted by cirby | September 5, 2006 8:55 PM | Score: 0 (0 votes cast)
The oil companies don't relish the thought of a Democrat-held Congress.
I'm just wondering how many votes you believe will swing to the Republicans because people saved a couple of bucks filling up their cars on election day...
"Yeah, I hate their politics, I hate their stance on abortion, I hate their stance on the war, I generally don't like anything about them, but hey, that extra 50 cents a gallon really makes me wanna vote for the party of Ted Kennedy!"
9. Posted by cirby | September 5, 2006 8:55 PM |
Score: 0 (0 votes cast)
Posted on September 5, 2006 20:55
10. Posted by John S | September 5, 2006 9:02 PM | Score: 0 (0 votes cast)
Actually owners of big SUVs will be saving $20 to $30 per fillup. Sort of like a $100 billion tax break. But the point is that Democrats have the price of gas to campaign on and ABSOLUTELY nothing else that non-DU types care about. They just lost their single issue.
10. Posted by John S | September 5, 2006 9:02 PM |
Score: 0 (0 votes cast)
Posted on September 5, 2006 21:02
11. Posted by James CLoninger | September 5, 2006 10:14 PM | Score: 0 (0 votes cast)
Just think - we have cheap gas AND the Buckeyes!
Well, at least you have cheap gas, then.
The only thing I hate about the fall in Ohio is the non-stop blathering on the news about the Buckeyes/Wolverines...and Maurice Clarette...
11. Posted by James CLoninger | September 5, 2006 10:14 PM |
Score: 0 (0 votes cast)
Posted on September 5, 2006 22:14