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  • US plans to buy 3 million barrels of oil for emergency reserve

  • #1
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  • May 16, 2023 2:29pm May 16, 2023 2:29pm
Does anyone know what the discounted price might be?
  • #2
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  • May 16, 2023 4:12pm May 16, 2023 4:12pm
Why do you believe it would be discounted?
  • #3
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  • May 16, 2023 5:02pm May 16, 2023 5:02pm
Quoting dantpm
Why do you believe it would be discounted?
Price will be pushed lower to buy cheaper, increase during the purchase. Watch out for large spikes
Don't know when.
  • #4
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  • May 16, 2023 5:09pm May 16, 2023 5:09pm
The US doesn't set global oil prices! They coiuld always complete the pipeline to Canada and start importing it from there at a discount!
  • #5
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  • May 16, 2023 5:12pm May 16, 2023 5:12pm
Quoting Jolita
{quote} Price will be pushed lower to buy cheaper, increase during the purchase. Watch out for large spikes Don't know when.
Here we go, offers will be accepted before 31st May, repurchase in August.
Price level $67 to $72 per barrel, around the level we are now or lower! It's an auction..

https://www.reuters.com/business/ene...ve-2023-05-15/
  • #6
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  • May 16, 2023 5:14pm May 16, 2023 5:14pm
Quoting dantpm
The US doesn't set global oil prices! They coiuld always complete the pipeline to Canada and start importing it from there at a discount!
Reserves were sold
  • #7
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  • May 16, 2023 5:17pm May 16, 2023 5:17pm
Quoting Jolita
{quote} Reserves were sold
I understood that, cleaned out because the US wasn't importing or producing enough.
  • #8
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  • May 16, 2023 5:18pm May 16, 2023 5:18pm
Quoting dantpm
The US doesn't set global oil prices! They coiuld always complete the pipeline to Canada and start importing it from there at a discount!
Canadian oil is cheap, well overpriced lately due to shortage, but need refining.
  • #9
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  • May 16, 2023 5:23pm May 16, 2023 5:23pm
Quoting Jolita
{quote} Canadian oil is cheap, well overpriced lately due to shortage, but need refining.
Canada has refineries. The problem with Canadian Oil is that the production is landlocked by activists in Quebec and BC. That is why they want to start piping it through the US but there are tribal lands and activists that are holding up the process.
  • #10
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  • May 16, 2023 5:32pm May 16, 2023 5:32pm
Quoting dantpm
{quote} Canada has refineries. The problem with Canadian Oil is that the production is landlocked by activists in Quebec and BC. That is why they want to start piping it through the US but there are tribal lands and activists that are holding up the process.
Yes, perhaps, Canada doesn't want to deal with refining. Their oil is heavy compared with crude. From crude other products can be made. While Canadian oil need to get piped / transported into US refineries to clean it first, remove sand and other components for wider usage, this becomes more cost effective.
  • #11
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  • May 16, 2023 5:35pm May 16, 2023 5:35pm
Dan, you live in Canada!
Share your knowledge
  • #12
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  • May 16, 2023 5:50pm May 16, 2023 5:50pm
Quoting Jolita
{quote} Yes, perhaps, Canada doesn't want to deal with refining. Their oil is heavy compared with crude. From crude other products can be made. While Canadian oil need to get piped / transported into US refineries to clean it first, remove sand and other components for wider usage, this becomes more cost effective.
Canada produces oil from the tar sands and including the huge reserves on the US Canada border that Canada and the US agreed not to drill to protect the reserves in case of WW3. The US seems to have forgotten that agreement. The sand as you put it is removed both in Canada and other depending on the price you want to pay. Canada is one of the world leaders in separating crude from the tar sands. Canada has other oil it produces or could produce. We do have a nut job in Ottawa who isn't interested supporting the Canadian oil and gas industry but aside from MR. STUPIDITY, Canada could easily ship more oil to the US, it would take time to ramp up production and build pipelines. It only takes desire to make it happen.
  • #13
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  • May 16, 2023 5:58pm May 16, 2023 5:58pm
The Bakken is the field that I was thinking of that is on the US Canadian border, its a huge reserve!
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  • Posted: May 15, 2023 3:54pm
  • Submitted by:
     Newsstand
    Category: High Impact Breaking News
    Comments: 13  /  Views: 915