pr3viso
25995
435
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In the US oil and gas is extracted from the Permian Basin. This is an area of 75,000 miles in Texas and western New Mexico.
It costs money to get the oil out of the ground. Currently the break-even price is $65. The current price for a barrel of oil is $62. That is, US oil companies are losing money on every barrel of oil.
While Mr Trump promised cheap gas, the reality is that wells will get idled, and production cut down. And yes, the sudden drop from $71 to $62 occurred since the tariffs announcement.
A private business person only has to their own business. A president has the whole country's businesses to look after. This may be beyond Mr Trump's abilities.
SlippeyPetey2000
I'm waiting for layoff notices at the pants
Idonotbelievewehavecompany
It's a calculated effort to bring everything down so we can concentrate the wealth in the upper 1% even more at the expense of everyone else.
Dpatgotbanned
Oh no oil companies failing. So anyway
exbenedict
“This may be beyond me trumps abilities”
I have never heard a bigger understatement put so politely in my life.
FetaForMoses
It would be funny if American crude oil just effected American maga douchebags… but it’s fucking with my diesel on the other side of the planet. Fucks with my supply chain. Fuck trump with the most giant stick you can find.
jpatterson45
If anyone has watched Landman then you know the US oil producers don’t want the price to go below $60.00. What happened to “drill baby drill” on day one?
nezo
Don't look at your 401k, it's just at bad
TheobromineAddict
I doubt oil and gas are losing money. The U.S. government provides roughly $20 billion annually in direct subsidies to the fossil fuel industry, with estimates including implicit subsidies (like environmental and health costs) reaching around $650 billion per year.
magnetotron
Credit where credit is due. A single business run successfully is beyond him.
thatscool22
Oil is all over though not just the Permian basin. Does this info pertain only to the Permian basin? What’s the bakken break even price? California, Colorado, and some other states also have oil wells.
OdinYggd
Bakken bomb trains need to stop for safety reasons. That formation specifically has so much volatile in it that they need to build a refinery right there to at least partially refine it into components that can be safely transporrted.
thatscool22
I think there’s a refinery in Dickinson. They pipe bakken oil down to the gulf coast to get refined. It isn’t made into what is refined in North Dakota’s refineries we already have.
massdefect3
Canada here: we’re already signing deals with other countries for crude and LNG. It will probably never recover to what we had with the US, but that’s not our fault, so we’re doing the best we can with a bad situation. But what reason would we have to trust you in the future if hundreds of years of cooperation can be undone in months because of a single idiot? If we find new, reliable partners, we’ll stick with them.
VibratingNipples
Yey cheaper gas I guess. While the world collapse around us
dmcnama5
Not even. They will limit extraction to try and bring crude prices up. This is looking like a classic stagflation nightmare
mrthewhitee
The reason for the drop in price is OPEC has increased production. They said it's because of an expected drop in demand for US oil.
That could be. Or it could be part of their retaliation for US tariffs.
Retrogames
Asthe economy tanks, people will tighten their belts & only travel when necessary, thus lowering demand overall. Futures go down the hoooole
Fargus57
Trump asked OPEC to increase production, to lower prices at the pump in the US. OPEC also expects increased demand when summer hits.
mrthewhitee
I don't see any evidence this is a Trump call. All reports are OPEC are reacting to tariffs and expected demand changes.
There were reports he asked in Jan but this is a seperate action.
HisRoyalMajestyKingV
"May?" A single business is beyond Trump's abilities. The entire country's? Not a chance.
thelegendofthetwistednavigator
Every business he's owned has lost money.
He failed at selling Americans booze, red meat and gambling.
That's like failing to sell a crack addict crack.
The only thing he excels in is being a useless sack of shit
bad1080
if they're losing money by selling it they should try giving it away for free
spattr
Wiping his ass is beyond Donald Trump's abilities.
NeoNeanderthal
The declaration of independence will argue on that after it's done with therapy.
Kyen155
Oh, he knows how to wipe he's ass...
GrowinWildontheFunnyFarm
Most behaviorists will let you know that this behavior is mostly for impacted anal glands. The people around him know he doesn't wipe his ass.
BeaverOnFire
azgrak1
There was a staffer on the Apprentice who’s job it was to change cheetohs diapers.
azgrak1
https://youtu.be/N60ceYRlY2I?si=iaoA4lK2zbSyRmYI. Here is a link to a former staffer from the show.
Axiomatic13
@OP Natural Gas company owner here. Transportation is more expensive than extraction. I'm in the same boat.
rmellis1112
He was golfing with the Saudis pretty recently. Just saying.
UncleMeaty
Last time oil dropped that low, Trump asked OPEC to lower production which was a large part of the cause of high gas prices under Biden.
PanamaCanal
Please tag your post if you mention Trump or politics.
pr3viso
Block me. It's mostly cats and politics/ economics
Krossis
WellWellWellLookWhoItIs
“This may be beyond Mr. Trump’s abilities.” Gee, ya think?
Shaodyn
Considering how many bankruptcies he's had, managing his own business seems to be beyond Trump's abilities.
PoliticalWanderer
"A private business person only has to their own business. A president has the whole country's businesses to look after. This may be beyond Mr Trump's abilities."
Well, he bankrupted multiple of his own businesses, so yeah, I think looking after all the businesses of the country is well beyond his grasp.
153LegacyTree
tragically when the wells no long produce profit, they are abandoned. no enforcement to cap. and they leech toxins into the environment, there are 2-3 million, many unknown own and are fire hazaards, in addition to toxic killers
TheCunningLinguists
But don't expect gas prices to drop as a result.
SnarfyMcSnarferson
Largely because the refineries in the US can't process the oil we pump from our own wells. So we have to bring in the oil we can process and ship our own stock
anotherdickat
The refineries in the US taht CAN process the oil we pump from our own wells are owned by foreign entities.
veronicablood
or eggs either
ThatGuyFromJustSouthOfTheMiddleOfNowhere
Gas prices will go up probably significantly because of the tariffs on Canadian sour crude that the US refines for gasoline.
TheWhiteBarry
Better yet switch to electric and insulate yourself from the whole industry. Add solar panels and you're completely isolated.
stooptall
Mr?
dmcnama5
Lol I agree. I hate the underserved respect. I also don’t understand why people refer to this clusterfuck as an “administration”
SnarfyMcSnarferson
Yep, it's a criminal enterprise
Chereazi
Dude only looks after his own best interests, the US won't properly recover until y'all get rid of that moron XD
clarkWhogotsanity
We would have to neuter his party and the corps that run the govt for change to happen
dctoe
Some of the damage may not see recovery in this lifetime. Things being destroyed that have taken decades to put together. I'm getting older and really feel for the people that will have to clean all of this up. I doubt I will life to see it.
Alphonsevaher
Even if we get rid of him nothing will change.
Musk threw a Sieg Heil salute at Trumps inauguration and the cheering never faltered.
Trump and every republican could get hit with a meteor. The people who elected him will never go away.
No one should trust the US ever again.
TacoPoweredHelicopter
We are way ahead of you on that not trusting thing
dctoe
No one will. When China steps in to trade with everyone else; we will feel the pain of living isolated.
THEcableguy
I, for one, welcome our Chinese overlords. They're still a bit salty that us Canadians arrested that lady from Huawei, but they'll get over it. Right?!
kruziii
https://media3.giphy.com/media/6BBfWrR53LOXm/giphy.mp4?cid=65b91fbe25bem5o0eyggpgg71src3t1y2fcmz80p8gdz2c5v&ep=v1_gifs_search&rid=giphy.mp4&ct=g
FiftyShadesOfCauliflower
And the Permian Basin is rapidly depleting. Ouput peaked in 2023. Tier 1 drilling locations will be gone within < 2 years, at which point it becomes considerably more costly to extract more oil / gas. All known global oil deposits will be completely dry by 2052. It would make a ton of sense to transition to renewable energy (with a nuclear backup) for this reason alone, even if climate change weren't a thing. But all that matters are short-term profits. The next quarter or the end of the year.
GrandPubabofMoldistan
How about... NO - BP
CatSingularity
nuclear primary. you're not getting gigawatts from solar and wind.
anotherdickat
I'm fine with nuclear power but you are wrong about solar and wind.
FiftyShadesOfCauliflower
You're getting terawatts from solar and wind. 139.8 TWh from wind in Germany throughout 2023 and 52.2 TWh from solar. Of course solar is less consistent, but wind is pretty reliable here in Northern Germany. So are hydro, geothermal, and biogas from manure and agri waste. All in all, 59.7% of energy consumed in Germany in '23 was from renewables.
FiftyShadesOfCauliflower
Source: https://www.ise.fraunhofer.de/en/press-media/press-releases/2024/public-electricity-generation-2023-renewable-energies-cover-the-majority-of-german-electricity-consumption-for-the-first-time.html
smegginhell
https://media3.giphy.com/media/PelRvWejL8M2tFNdyC/200w.webp?cid=a57373e52sj1caa0yckon2wvmr5qzdp293g63e442cpjbqmu&ep=v1_gifs_search&rid=200w.webp&ct=g
UnitConversionBot
75,000 miles ≈ 121000 kilometres
dontfloatmygoat
252 washing machines or the size of a small boulder
TheUnnamedPoet
Y'know... It's silly but every time I see UnitConversionBot pop up in the comments, it gives me a little chuckle. Sometimes it's good helpful conversions... Other times it's just silliness. Don't ever change, UCB.
Thesaya
Most of the time it's useful, but the silly ones are fun too.
PinkEater
Width, height, or corrected for OP's typing?
Thesaya
?
PinkEater
Ugh. I commented on the wrong one. This was supposed to be for the washing machine comment.
thesameasyours
How many washing machines?
PinkEater
Width, height, or corrected for OP's typing?
thesameasyours
Yes
PinkEater
Washing machines by
Width ~= 176,000,000
Height ~= 121,846,154
Depth ~= 139,764,705
Correct for OP's typing would mean 75000 sq miles ~= 327,981,481,481 washing machines.
thesameasyours
Unit conversion bot has been dethroned, Long live the King! Pink eater