ND oil could cut CA gas prices

ND oil could cut CA gas prices

fracking.equip_-225x300Finally, California could get relief from gas prices higher than the rest of the country. Although prices across America have fallen in recent months, our prices still are about 70 cents higher.

For example, according to GasBuddy.com, the average price of a gallon of petrol today in St. Louis is $2.98, but in Los Angeles it’s $3.68 — 70 cents higher.

This just in from the WSJ:

For the past decade, the U.S. shale boom has mostly passed by California, forcing oil refiners in the state to import expensive crude.

Now that’s changing as energy companies overcome opposition to forge ahead with rail depots that will get oil from North Dakota’s Bakken Shale.

Thanks in large measure to hydraulic fracturing, the U.S. has reduced oil imports from countries such as Iraq and Russia by 30% over the last decade. Yet in California, imports have shot up by a third to account for more than half the state’s oil supply.

“California refineries arguably have the most expensive crude slate in North America,” says David Hackett, president of energy consulting firm Stillwater Associates.

It’s inspiring how private industry comes up with solutions to problems caused by government.

Of course, the price could be reduced further still if the state tapped the vast oil in the Monterey Formation. Earlier this year the Legislature passed, and Gov. Jerry Brown signed, SB4, which allowed greater oil development there and elsewhere in the state. But the amount that will be developed is disputed; and in any case will take decades to develop. At least it’s a step in the right direction.

Meanwhile, unemployment in North Dakota is 2.8 percent, best in the nation, which basically means people between jobs. By contrast, California’s rate remains at 7.4 percent — 44th worst. At least here we don’t pay nearly as much for heating oil in January.

So, could California gas prices drop?  Oh, wait. There’s this: On Jan. 1, the price will jump 76 cents from the AB 32 tax Gov. Jerry Brown supports.

17 comments

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  1. Nancy Keeler
    Nancy Keeler 9 October, 2014, 12:24

    They are already dropping from what I can see.

    Reply this comment
  2. Eagles glen of eagles
    Eagles glen of eagles 9 October, 2014, 13:18

    I remember all those oil producers closing refineries to centralize and what for? Did not say decreasing volumes. Suppose this is a fraud by oil to get higher prices like oil closed refineries in the northeast and raised the prices of fuel there.

    Reply this comment
  3. Eagles glen of eagles
    Eagles glen of eagles 9 October, 2014, 13:21

    Prices are going to drop $0.76 / gal?
    After 6 years the price goes down! Really by what %?

    Reply this comment
    • Ricky65
      Ricky65 9 October, 2014, 17:15

      Reading comprehension problem? The author says the price of fuel will GO UP 76 cents on Jan 1, 2015 due to AB 32.
      That because the oil companies will be forced to buy carbon credits under the carbon tax extortion scam imposed by the D-Rat regime in Excremento.
      Not sure where John came up with the 76 cent number as most sources I read say about 10-20 cents a gallon initially.
      But no one really knows for sure how high it could be. It depends on what prices are paid for the available credits in the auction. Within a few years it could go up by many DOLLARS a gallon as the number of available credits is reduced by the state in order to drive up prices. The D-Rat puppet regime and their green masters shoving this monstrous tax increase down our throats hate oil and they hate the middle class and the poor who will suffer the most.
      I cannot believe people in Cali are not upset by this. But then most of them are low information voters and apolitical morons. I’m betting the gas prices after Jan 1 will get their attention.

      Reply this comment
  4. LetitCollapse
    LetitCollapse 9 October, 2014, 16:35

    Many of you folks think that $3.68/gal is a great bargain so you’ll hurry down to the local Shell and fill ‘er up. Don’t forget to send a thank-you card to POTUS Obola. Of course, most of you forget that as recently as Feb. 2010 you could buy a gal of gas in Cali for about $2.90. About 6 years ago (Jan. 2009) it was under $1.85/gal. lol. What changed? Big gov – Big Oil – Big ME cartels colluded to manipulate supply/demand and artificially spike the price. We have more crude volume in global oil reserves than we had in 2009. Russia just hit a motherload in Siberia that Exxon is working on. There is no good reason why gas shouldn’t run $1.80/gal today. But they’ve conditioned you to think $3.68/gal is a steal – so why should they let you have it for $1.80? If you need to find a second job to fill up your F-250 -it’s all good.

    Reply this comment
    • NTHEOC
      NTHEOC 9 October, 2014, 23:29

      Collapse said,
      Many of you folks think that $3.68/gal is a great bargain so you’ll hurry down to the local Shell and fill ‘er up –
      ——————————
      LOL!!! You’re not kidding. Just today I sat in the gas line at cosco 5 to 8 cars deep in every pump because we all think$3.43/gallon is such a deal!!! Yep, 130 bucks later and my Chevy truck is filled up and ready to go for another 2 days. And gas could go to $5.00 /gallon and Californians will still buy giant suburbans,jeep rubicons,full size trucks,rvs, etc.

      Reply this comment
      • LetitCollapse
        LetitCollapse 10 October, 2014, 10:14

        NTHEOC – I cringe at the thought of what it would cost you to fill up your truck at $5/gal. Probably close to $200. I suggest that you don’t play the game ‘who owns the nicest truck’ with the boys down at the station. That oneupsmanship only gets people in trouble. Americans get sucked into being little consumer slaves by not only ‘keeping up with the Joneses’ but ‘going into debt to outdo the Joneses’. Really dumb. We’ve all fallen into that trap. The people in life that I have the most respect for are the ones who are filthy rich who take pride in driving a 2000 Jeep Wrangler pushing 200,000 miles on the odometer. God bless those folks. For they are the salt of the earth.

        Reply this comment
        • NTHEOC
          NTHEOC 10 October, 2014, 10:56

          Collapse, it’s a white 2007 crew cab! And it took me about 5 years to pay it off. Btw, have you seen the prices on the new trucks? A nice one is selling upwards of 60k!!!! And they are selling like hot cakes. I never want another car payment so if I can’t buy one outright then I’ll wait.

          Reply this comment
          • LetitCollapse
            LetitCollapse 10 October, 2014, 12:57

            NTHEOC – why would you want to buy a brand new truck anyway? As soon as you drive it off the lot you lose $10,000. The new trucks are selling like hotcakes because the world is full of idiots who hold the belief “I am what I drive”. Ironically, the opposite is usually more in line with the truth. Don’t swim with the other fish, NTHEOC. Be different. Drive a beater and save your money. Fool them into believing that you’re poor. Don’t ever marry a woman who loves you for the car that you drive. You will pay for it later with interest. Make the woman think you’re poor. If she still marries you – you’ve found yourself a jewel, my friend. 🙂 If she doesn’t marry you then it’s your gain! You just avoided a disaster waiting to happen. 🙂

  5. Queeg
    Queeg 9 October, 2014, 18:52

    Why are doomers so intellectually challenged…..cheap money and plenty of it creates inflation due to dollar value declines. Oil and metals are like hard currency….you want oil…..you have to pay lots of Monopoly Dollars.

    Alas, the globalists supply essential/convenient energy….give them credit.

    Why this past weekend was gas up to 80 cents cheaper in Arizona?

    2015 an increase in California another 6 bits?

    -whew

    Reply this comment
    • LetitCollapse
      LetitCollapse 10 October, 2014, 10:28

      “Why are doomers so intellectually challenged…..cheap money and plenty of it creates inflation due to dollar value declines.”

      But the bean counters at your trusted government offices are telling us that the rate of inflation is contained and only slightly above 2% (CPI).
      Still, the price of gas in California has far exceeded the price of other consumer goods over time.
      In 2009 I could buy a gallon of gas for $1.80. 5 years later it costs me $3.68. That’s more than a 100% increase. Show me another consumer product that has seen that rate of increase. You can’t.
      Look at the spot price of gold. In Jan 2009 the price was about $850. Today, 5 years later, it’s $1200. What’s that? About a 25% increase? Now compare that to the 100% increase in the price of gas in California.
      To answer your last question: Arizona doesn’t have all the crazy gas laws, pollution laws and regulations that your State gov in California forces on us. That’s why we get screwed there.

      Reply this comment
  6. Ulysses Uhaul
    Ulysses Uhaul 10 October, 2014, 13:38

    Just for that….doomers we have a 10 discount on Malaysian packing twine for movers to Arizona.

    Try the Happy Hour at Camelback Inn in tony Scottsdale/Paradise Valley, Arizona. The three sliders, each a different real meat, are awesome! The Guac and native tortilla chips……..ahhhhh……with super cold pale draft ale.

    Reply this comment
    • LetitCollapse
      LetitCollapse 10 October, 2014, 14:35

      So in other words you can’t debate the facts that I’ve provided that discounted your previous comment. That’s fine.
      Keep your Malaysian twine. I’ll hunker down and do what I must to survive under the rule of this tyrannical government. When it costs more to fill up the tank than it does to replace my timing belt, I’ll call you for some of that twine.

      Reply this comment
  7. Ulysses Uhaul
    Ulysses Uhaul 10 October, 2014, 17:18

    El Collapso……we try to make your second visit with us hospitable….we missed your random droning tomes, for frankly, Donkey, Honda and Poodle got kinda stale and mean….

    But attacking Teddy, Saw and Ulysses for not swimming in your swill is a sign we may not find your pap that interesting or we do not have the time to read the volume of stuff you pump out…..

    We get it….you want discourse…..we want levity and short retorts….

    FOR all this stuff means little anyway!

    Reply this comment
  8. NTHEOC
    NTHEOC 10 October, 2014, 18:03

    I actually enjoy reading collapses comments. One of my favorite courses was political science and our professor would always engage us in a debate, collapse reminds me a little of him! One thing about collapse is he calls a spade a spade and can dish it out and take it. Unlike most of us he doesn’t need to choose a side, in fact me and him often see the topics completely opposite which always makes for good debates and differences of opinion. You are boring uhaul with your stupidity of comments that really mean Nothing!! So step up and debate the guy dude…..

    Reply this comment
    • LetitCollapse
      LetitCollapse 10 October, 2014, 20:53

      Debate is not Ulysses forte, Ntheoc. He prefers the sophomoric one liners, which is fine. There’s a place for him here too. I only get testy when another poster fires the first barb. When he (or his buddies) play the victim’s role it’s disingenuous as hell. But we already know that. This is not a place to fire barbs. It’s a place to share ideas and stimulate thought. That’s what I prefer. But it’s easy to get distracted. Oh, I used to choose sides until I realized I was part of the problem. Today I have no home team. Democrat, Republican, Libertarian, mean nothing to me. I just report what I see. Nobody’s safe.

      Reply this comment
  9. Ulysses Uhaul
    Ulysses Uhaul 11 October, 2014, 08:33

    Geesh.

    Ganging up on poor Ulysses….the mover of choice by doomers, preppers, malcontents, desert rats, disturbed oracles and the usual misinformed.

    In celebration of our renown community service….we announce a typical weekend special….

    All Moldovian cotton dust covers at 23 percent off for Cleveland moves!

    Reply this comment

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AB 32gas pricesJerry BrownJohn Seiler

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