Oil Prices! The TRUTH that nobody will tell you

[@avalonhomestead9077]

Thanks Mike for giving it a shot. Good job. I’m turning 70 in a few months and lived through inflation , high gas, no gas, and seeing people without jobs. As always the frustration people are going through and have gone through is caused by not feeling there is a plan to fix the problem. Not a blame game, not it’s out of my control and not just saying we’ll see things get better by themselves. Worked for 56 years in several businesses and problem got fixed by problem solvers and well thought out action plans created by identifying cause and effect, not by wishful talking points. Reduce where you can on buying and driving. If we all slow down and think how we can achieve these two things we, the people will effect change in a positive way for ourselves and this country.

[@davidsmith3736]

@harry jones I heard he was there but this puppet isn't. 🤣

[@robertspringer9477]

trump will save us.

[@mikebunch5553]

@@robertspringer9477 From prison?

[@lifecloud2]

I hear you Avalon Homestead. As a retired business person around your age, I know that if I had gone into my boss' office with complaints but no solution or even suggested solution, I would have been shown the door. Complaining and blaming is just easier. Solving problems like this takes a concerted effort ... but offering solutions is a much better course.

[@rocknraptor3195]

@harry jones creepy Joe sure is heck won't save anyone but himself & his son. There are driving this country straight into the ground! I promise you it will only get worse. If you can't see that then maybe you are delusional.

[@Just_Chuck_It]

I had the oil price hike explained like this to me. Let's say your house is the nation. Your house receives it's water from a community well. That well is maintained by the community (OPEC). One day you decide that you are going to turn the water off to your house because you don't want to be part of the problem of over water useage. (What Biden did with oil drilling/pumping, land use permits, new oil leases, and shutting down the keystone pipeline literally his 1st day in office. It is actually the first thing he did as president). A few hours later you need water. You have some water stored away, bottles here and there, ect. 24 hours later you really need water......... So you call your neighbor. Your neighbor brings you some water. But then you call your neighbor again. And again. And again. Pretty soon your neighbor starts to charge you for bringing you water. Which is way more than you would have been paying by having access to the community well. To try and help our with the cost and give you more water, you go to the store and buy 10 - 24 packs of water bottles (what Biden did by releasing 1 million barrels of oil from the national oil reserve). This of course doesn't last long. You start calling other neighbors. And the cycle continues. All ending with you paying way more for water than if you had just kept the well meter on. Anyone who thinks this oil price increase is not political is a fool. This is an agenda. It's purpose to make gas prices so expensive that no one wants to use gas powered vehicles. The push for electric vehicles is here. They (the left) want to once again control you and what you use. We are not even remotely close to having a stable, reliable, and capable power grid to handle the draw needed to maintain a nation wide electric vehicles transition. Our electrical grid barely keeps up with our current demands. As much as I appreciate this video for keeping politics out of the conversation. This is 100% about politics.

[@thechamberstalk]

The exact opposite of what Mike explained...... pure political explanation and not even remotely accurate. Good story though

[@billywatson118]

Truth!

[@billywatson118]

Truth!

[@Just_Chuck_It]

@@thechamberstalk Perhaps you should listen to Mike speak again. Then look the current events of the lady 6-8 months. Then come back and change your comment........

[@thechamberstalk]

@@Just_Chuck_It You note that he specifically steered away from politics and said on several occasions that basically its not the divisive whiney stuff you spew thats the problem. See if you can wake up one day without blaming the politics of the opposite side to your preference for everything you dont like in your life and try again. Look at the last 6-8 months? Mike CLEARLY defined the problem as going back a couple YEARS. You only hear what you want to hear man. I feel sorry for all you guys that cant have a rational thought without political rhetoric and hatred creeping in to everything you say and do.

[@GeoffCanyon]

Interesting points, thanks. One note: Katie Porter (the politician with the rice) wasn't saying that oil prices should come down because there are so many leases out there. She was responding to those who blame high gas prices on a lack of *new* leases. She was saying that you can't blame a lack of new leases when there are so many existing leases yet to be developed.

[@carlamorgan1010]

The existing leases are not usable. That statement is misleading.

[@michaelc.3812]

I just left the DOE complex as a contract engineer Mike, and I’ve heard colleagues say this many times: If oil is too expensive, people will stop burning it and go to clean energy. Well, they don’t understand or care that oil gives us thousands of products besides gas, diesel and natural gas. We need new leadership….

[@paulrobinson53]

Mike, and Melinda, The post I am replying to mentions a critical issue for me, and I'm pretty sure for you. I've heard virtually zero about a bi product of crude oil, and that is plastics. Imagine gerring any medical treatment without plastics. Cat scans in a steel machine? Plastic gowns? Monitors to view test results and prepare a treatment plan would be bit cumbersome without plastic. I would suggest everyone take a good look around and see the critcal needs for plastics in our lives, including the plastic in our vehicles, in our homes, businesses, airplanes. Thank you for tackling this subject. The unintended consequences of the elimination of the 'fossil fuel' industry will be economically devatstaing.

[@kdegraa]

It’s not a problem of the wrong leadership, it’s a problem of State interference in markets. Let the market find solutions to high prices and prices will drop.

[@johnpyle8027]

@@kdegraa Actually it is. Any extreme right or left is bad and the current leadership hates this country, or the border would be secure, tight as a drum for starters.

[@kdegraa]

@@paulrobinson53 the first step is to stop calling it fossil fuels. Finding crude oil is a dark art and those who know how to find it are not telling people how they do it. It’s a fuel industry. I live in Australia. There are not many oil reserves here that are commercially exploited. Australia had huge reserves of coal, most of it very high quality black coal suitable for coking. However there is massive political pressure to close down the coal industry. Close down coal exports and close down burning coal to boil water to spin turbines to generate electricity. If the coal industry is closed down it result in massive changes and unforeseen consequences.

[@bluegrallis]

@@kdegraa I beg to differ. When our leaders spend more than could ever possibly be collected, they HAVE to borrow money or print money. Borrowed money has to be paid back with interest, and printing new money is like adding water to your beer and you have to drink more of it to even taste it. Both are causes of inflation, which makes oil and everything else more expensive.

[@KODArunner]

Hello there Mike, Like you, I use to work in the oil business. I was a light crane operator working for a company called Brown&Root in New Orleans. We built offshore rigs then they were floated out into the Gulf of Mexico. Long story short, when I began working as an operator, (1977), there were about 5,000 operating wells in the Gulf and the Gulf States. I ended my oil field work in 1986 as a truck driver pulling drill pipe and hauling it back to the companies who owned it. At the end of those hay days, all but about 1500 of those wells had been capped off. The drillers were drilling as fast as they could with orders of, "Drill to 10K feet and DO NOT BRING THE WELL IN!" Now, you are a smart man and can look up all of this info, but what I am wondering is, Why are we drilling new wells when all they need to do is UNCAP ALL THOSE WELLS IN THE GULF AREA? God knows those southern states could use the jobs and money! May God continue to bless you and your family and give Hunter a big hug!

[@ky.gambler5281]

Biden administration stopped it..

[@RinrvUSA]

When that politician (Katy Porter, I think) was doing her demonstration with the rice, it was to show that the oil companies have plenty of places to drill, and their complaints about not having enough new leases are disengenous - designed to distract consumers from the real reasons why they are not producing enough REFINED PRODUCTS - which is that they are TAKING HUGE PROFITS. Drilling more is not the answer. We have thousands of wells which are already completely finished that can produce - but they are capped off and idle, waiting for?? It takes a bit of time to bring an idle well back to producing, but it's far less time than drilling and fracking another.

[@ericvogell6748]

In Maine we are averaging $6.50 a gallon for diesel. That means it costs me roughly $225 to fill up my truck. In 2020 the average price of diesel was $2.49 a gallon. That means I am paying $137.85 more to fill up my truck today compared to 2 years ago. I fill up my truck about 32 times a year. That means I am spending $4,411 more on diesel annually. Not saying…just saying!

[@Sthilboy56]

That’s cheap over the pond here in the uk it’s around $ 9 a gallon

[@earlhollar1906]

Didn't you receive your awesome stimulus check checks and if you're born before this date, the special Medicare, and food card! I never did answer any of the ads to sign up for the other special treatments . I wonder if everybody's going to have to get the injection before they can receive these special programs. I'm out here where they did all that fracking and still have permits to drill more and before the pandemic the horses heads were dipping up and down pretty fast and now you can barely see the one left, where use to be 5, move !!! Amazing how it got depleted so quickly. I guess somebody needed a new yacht?

[@richardforrest5781]

Excellent video. Ty

[@OutdoorsWithTheMorgans]

That is brutal.

[@jerrypattison8890]

Yikes! To both Maine and UK residents. In Wasilla, AK I pay $5.09 gal for reg gas. A drop in the bucket compared to CA and other states. I have a friend who worked for BP before it left Akaska as a senior engineer. ($180 K a yr) He stated that hundreds of wells were drilled, found to be productive and immediately capped! They are all on our "North Slope." If America is short of oil, why do we have great numbers of productive oil wells, not just in AK, sitting idle?

[@dougwilliams4656]

I love the way you summarize the whole situation, Mike, this is one of the many reasons why I watch you every single day keep up the good work and I agree let's work together not against each other

[@OutdoorsWithTheMorgans]

Thanks a lot Doug, I appreciate it.

[@topsecretbear9918]

The dim side doesnt want to work with you. They hate you, me and our way of life. The sooner people realize the sooner we can fix things.

[@MrSeadawg123]

@@OutdoorsWithTheMorgans And Mike is full of himself. We are bathed in oil. If the price of oil goes up. Prices go up on everything. If you look in youtube. You will find testimony from the CEO of pilot. Where he states they have been forced to curb 20% of their sales. This is a rabbit hole. And you need to do a little more research into the petrodollar and the fiat monetary system. Before you form an opinion and put it out there publicly. As there people dumb enough to believe you!

[@debmckay1909]

yup

[@vampireslayer1989]

Well stated. I am an oil and gas geophysicist. The oil companies do not want to risk capital in such a hostile political and social environment. Even IF the government got "out-of-the-way", we would need 24 to 36 months of lead time before we could make any "new field" discoveries. So the oil companies are just drilling up their inventory of existing prospects. I have been doing very little as far as new exploration.

[@sgtcrab2569]

Sadly there are no "new fields". The higher hanging fruit has all been found.

[@mikelong9638]

Great video. I also just recently retired from a long career in O&G (and also have a Kubota). I was skeptical when I started watching this but you nailed it exactly. This is exactly point for point what I have been preaching for the last year. Unfortunately most people don't care to listen.

[@pauls3204]

I work in the international oil industry I have been telling people this for decades , no one listens. I also have a Kubota 👍

[@robc1342]

Hats off to you Sir. As a newly retired oil & gas engineer responsible for development subject to economic, I could not have explained it better than you did. Great job!

[@SegoMan]

@@Floorguy1985 “Control oil and you control nations” - “Control food and you control the people.” _Henry Kissinger

[@crand20033]

So how we going to get oil prices lower again? Being high like this is really hurting us all.

[@rickywolf]

A good friend of mine who happens to be from a family who helped to found a large oil company once said to me, “you will never understand how much money there is in oil.” Large oil conglomerates have been raking in wealth at the expense of all of us since the Model A. Their and other multinational corporations’ greed and ability to purchase political policies is the current reason we are in this fight to keep our financial heads above water.

[@tracyfunk3928]

I knew a very wealthy person who once told me that the only way to create wealth, was to take raw materials and labor and create a sell able product. Every day peoples labor, with raw materials and facilities, creates wealth. So over time wealth will continue to grow with everything remaining the same. What they are doing is sucking that wealth from our society. It's simple economics really. The idea is to keep poor people poor. The ability of these companies to purchase political policy is doing way more than making it difficult to keep your financial head above water, it is about to make it difficult for 100's of millions of people to put warm food in their families belly. We are already slaves to the trillions of dollars this country is in debt (The promise of our labor - wealth) is their collateral for this debt. Now they about to smack us in the face with it and start calling us slaves. You will own nothing, and be happy, etc. Welcome to the New World Order--Their order.

[@shanewinters3009]

At&t makes more profit than oil, why not complain about them?

[@ShunkUp]

Invalid comment. Show your math. Oil Gas over long term is a single digit return on investment (over a down and up cycle). FF power the modern world. Printed money powers the tech industry. They are the problem of greed.

[@joeybuckingham7006]

@@shanewinters3009 because you don’t “need” a cell phone, but you need fuel to get to work to pay your bills. Completely different scenarios cellphones aren’t a necessity oil/fuel is which is why they are squeezing us they know they have us by the balls.

[@shanewinters3009]

@@joeybuckingham7006 need has nothing to do with it. Stick to the basic facts. 10% return on your expenditures is very low in today's business world.

[@foreverbrownsfan]

Excellent breakdown, Mike. Your honesty on all subjects is always welcome. “Sooner or later everyone sits down to a banquet of consequences.” - Robert Louis Stevenson Neither government regulation or business greed are friendly to the citizen/consumer.

[@OutdoorsWithTheMorgans]

Thank you. Never heard a browns fan make so much sense lol only joking.

[@SegoMan]

“Control oil and you control nations” - “Control food and you control the people.” _Henry Kissinger

[@TheKajunkat]

One of the things that is strange is that the price of raw materials produced in America (other than oil) is either stagnant or going down. Most of the timber producers around us are on strict quotas and don't work most of the time and they are not getting any more for the logs they do sell. Cattle prices are also low but our costs are going up. Beef in the supermarket is higher than I can ever remember. We are lucky to get 1.50 a pound on the hoof for calves. There is definitely a disconnect between the producer and the ultimate consumer and somebody in between is rolling in it.

[@EvaAfterWoods]

This.... and if you look at all of the choke points they are all heavily regulated

[@andrewslagle1974]

Have you purchased lumber recently ?try $12.30 for a 2x4x8 the dem marxist party and there policies are behind this and it stinks !

[@Stupidityindex]

The math of 1956 had peak oil at about the year 2000. Our best guess is it happened around 2006. Energy is subsidized to about 6 T per year, & the human population is in overshoot, fueled by this best of fuels on the planet. The awake media uses the term reset, which sounds better than complete collapse ending in extinction, soon

[@IndependenceIron]

Thats a good thing tho. Instead of buying from super market you can buy local at great discounts. Buy the cow then pay to have it butchered.

[@RJ1999x]

@@IndependenceIron A comment made with no idea what you're talking about

[@walterheathcock6]

Mike i also agree with you , i worked 35 yrs for a major oil company in Venice Louisiana mostly in the Gulf and to develop a field in the Gulf takes years to complete to production. Thank you for starting a discussion on this subject.

[@jeromewieland55]

I've listened to a lot of people talk about this, I was an oil tanker driver from 2019 to 2021 and you are 100% spot on!!! I'm back to hauling steel now and if we don't fix this...we're not going to have any fuel to transport anything. The CEO of Pilot and Flying J truck stops spoke on this after Union Pacific cut there supplies. So we're going to need to think of something fast. Truck dealerships and parts stores barely have any parts and if you break down you'll have to sell fuel out of your tanks to pay the repair/tow bill. People are surviving...and that's not a good thing to be proud of in today's times. Meanwhile teenagers are making $15 an hour at the gas stations and that 2 bedroom apartment last year now costs $1000 to rent. This is absolutely bonkers!

[@TD-izAbxy]

You don't want to know how much a 2 bedroom apartment cost to rent in Connecticut.

[@poonplugdoonbug]

And that 15 dollars barley pays the rent, what about living?

[@Bredddi]

Dimentia joe doesn’t want you to haul anything. It is camelaaaa’s dream that “parents will take the bus to work and kids will ride on electric school busses”

[@Bredddi]

We can’t have a vibrant middle class… they would be too hard to control!

[@patrickmartin6977]

@@Bredddi I'm sure more Reagonomics will fix it

[@robm6345]

Thanks Mike. Prices are scary, but having survived several inflationary cycles, all I can say is, what goes up must come down. Common sense, patience, and giving each other a little slack might make the scary times a bit more tolerable.

[@earlhollar1906]

It kind of depends on what retirement plan you're in if it's an IRA or 401k through Merrill Lynch that went under and got bailed out by the government but all the investors lost at least 100 to 150 thousand oh yeah will bounce right back. Those big round orifices at the back of a horse that played Monopoly with our investments on Wall Street. I would just love some days to take Lucille down there and do a little swing dancing.

[@OutdoorsWithTheMorgans]

Thanks Rob

[@jamiebonjour1325]

@@earlhollar1906 A fellow walking dead fan understands your reference.

[@bp4170]

@@earlhollar1906 LOL

[@kimmartin6063]

Vote out all dems

[@neilfox9854]

35 years in oil and gas, thank God prices are finally up. This is the first time I've worked steady in 6 years. One note on Keystone, the only part scrapped was the export line, 95% is operational. The XL didn't carry crude, but Canadian tar sand. Since we lifted the export ban, we don't even refine it, it all would have gone to China to use in power plants.

[@ElRalphing]

That Keystone XL would carry tar sand and not crude oil is propaganda I’ve seen floating around social media. That propaganda is false. You need to check where you’re getting your information from because it is not reliable. Politically, what doing stuff like cancelling Keystone XL and blocking drilling in ANWR does is it tells people in the industry tow watch out, we don’t care how much money you’ve invested, we will cancel your project if we want to, it is a piss poor, anti-business message that we should not be sending.

[@Dbb27]

I wish people would understand this. Such nonsense gets floated around.

[@Cam-wi3tp]

@@Dbb27 yea god forbid we become a major exporter again

[@dongearhart9194]

You are a liar Neil. For one, if it’s incomplete then none of it is operational. 2nd , only about 30 % is exported. You’ve likely never worked a janitor job in the oil industry let alone know the intricate details of said industry. Do you bot much?

[@neilfox9854]

@@Dbb27 We have been exporting for 10 straight months.

[@cougartrx]

Hello Great info. The reason crude oil is at its all time high is simple, the current administration singed a executive order to stop permits for drilling, added 15 new taxes to oil companies. Any permit issued has to go to Washington DC to get approval, delay about 10 months. The past administration allowed approval in 90 days or less and allowed the process to be completed by the Corp of Engineers and the Frderal Energy Regulatory Commission. It cost more to transport everything. If you control your fuel cost, inflation will follow. 30 plus years in the industry. Thanks you for sharing your thoughts.

[@hugostiglitz8465]

Donny- Finally somebody who understands that the current administration wants to greatly decrease or shut down oil & gas.

[@ML-lg4ky]

@@hugostiglitz8465 no politician ever wants high fuel prices.

[@hugostiglitz8465]

@@ML-lg4ky- Except Democrats.

[@Mikesuklivan]

There's always one😂

[@derekdemarco28]

Don't forget to uncheck the box!

[@hookeye2]

In 1974 there were 28 refineries in California, most of them were independent of the major petroleum cables. This refinery reduction occurred throughout the USA. As far as I have been able to discover, only one NEW refinery has been built since 1974. There were "gas wars", price undercutting. The oil embargo put many refineries and stations out of business, while the cabals set up corporations that put the rest out of biz ,and bought the remander. There are few truly independent stations anymore, and no refineries that I can find. There are only 14 refineries in CA now, none are independent, and the population of CA has more than doubled. Most outlets are corporate, not really "independent", or they are out right owned by the petroleum corporations or indirectly controlled by the petroleum corporations. (Interlocking boards being one way...). From the energy Information Agency (A petroleum PR group) " While gasoline is sold at about 162,000 retail outlets across the nation, about one-third of these stations are “unbranded” dealers that may sell gasoline of any brand. The remainder of the outlets are “branded” stations, but may not necessarily be selling gasoline produced at that company’s refineries. This is because gasoline from different refineries is often combined for shipment by pipeline, and companies owning service stations in the same area may be purchasing gasoline at the same bulk terminal. In that case, the only difference between the gasoline at station X versus the gasoline at station Y may be the small amount of additives that those companies add to the gasoline before it gets to the pump.

[@christophercrowder872]

I work in the business. Most sites retailing fuel, branded or unbranded, are, in fact, independent dealers. Sure, you have your big chains like Wawa, Speedway, QT, etc, but the majority of sites are owned by an individual or small group via an LLC. It's true that the *only* thing that makes fuel a specific brand is the additive.

[@JoeMmt347]

Man, before this era the best the Refinery I worked at profited was when the Exxon Refinery down the road blew up part of its FCC, I think it was their Precipitator. They were down for a long time. Of course they had to buy finished product from somewhere! We made a killing! I love it though, the messaging at our facility was “ you guys are great, it’s your hard work along with the system that made us so profitable”.

[@jlev505]

Saudi Arabia owns the largest refineries in the USA.

[@JoeMmt347]

@@jlev505 Excellent point!

[@davisholman8149]

BINGO! That one refinery in Louisiana is now owned 100% by the Saudis - WTH?? The USA let’s back stabbers purchase anything they want to here - China owns millions in real estate, including farm land. WTF are we doing, folks?? No state of the art refineries owned by American companies since 1970s - why???😳

[@Done478]

About 15 years ago my dad and a bunch more people all across the country started a biodiesel plant. If you recall the last time oil markets went up, a bunch of places started to manufacture biodiesel. When the price of oil dropped, more than 100 biodiesel plants across the country closed in one month. We lost a bunch of fuel capacity that could be locally grown where it is consumed. If we had both the biodiesel already being produced by keeping those plants open and the growth in the 15 years since then, there would be a lot less pressure on oil now. We could have already switched every gasoline engine to the excellent, efficient diesel engines without paying huge markups when we all desperately scramble for those now instead of spreading out the demand. If biodiesel were genuinely more expensive to produce, that's one thing. However, it isn't. The United States subsidizes oil with billions every year. If those dollars had been taken from oil, biodiesel can out-compete. Our fuel sources would be distributed more evenly than oil drilling does. That would mean far less price volatility. Why do we want to keep the Saudis in business more than having locally grown, locally refined fuels that would employ thousands all across the country? Why pay premiums to the Saudis to drill, refine, import, refine more, distribute and finally sell retail instead of grow rapeseed crops and/or drain restaurant fat traps, refine locally and distribute locally to meet our fuel needs. We hand the oil producers billions of dollars more on top of what we pay to buy oil products like gas and diesel. It was a big business boondoggle that pushed our fuel to oil producers in the first place. But, why do we still buy the stuff when the alternate fuel is so much better and cheaper?

[@estebanleacho9315]

why indeed, biofuel is fine but regular oil from our own country is even better. and cheaper

[@johnwingate8799]

Lots of big farmers used to capture methane gas and use it to run at least some of their equipment.What happened to that?

[@Done478]

@@johnwingate8799 probably the same thing. US chose to double down on supporting petroleum oil and increased subsidies so oil "looks" cheap. We pay tax dollars every time we choose "cheap" oil. Methane is a bit of a special case because it's 4x stronger than CO2 as a climate change driver. I did just watch a video made 2 years ago on a Wisconsin dairy farm that used an underfloor exchange to use the heat from the milk to keep the barns warmer. It wasn't 100% but the milk must be cooled and barns must be heated. But, I know they are doing studies to try to take that methane and sequester carbon by pumping methane and other climate gases deep underground. I'm not sure what happened there. I suspect some of it is still happening. Another comment that I saw was that we have to drill to produce non fuel products. That's not really true. In many cases, without subsidies, those products have non petroleum product replacements from renewable sources. Plastics from corn and soy were developed in the 90s. I'm sure those are even better now. For those things that remain, if we stop using it for power, we already have more than enough to supply these items that are necessary. The point is that oil isn't cheap when you add your pump price to the cut of your taxes that subsidizes petroleum. But you don't see that while pumping gas. We can make biodiesel cheaper. You don't have exploration costs, refining or the massive distribution. You have no massive oil spills in the ocean because we don't have to import it. You don't need pipelines of darling fields. All you need are diesel engines. The byproducts are carbon dioxide and water. Yes, carbon dioxide is a greenhouse gas but methane CH4 is the simplest carbon molecule and it's 4 times the effect of CO2. My point is that we have to change anyway, now is the time for people able to start companies, start biodiesel because those subsidies are on life support. We could use this time to make changes in time for once. If you are near southeast Ohio, there's a facility that was used for biodiesel in the past, if you are interested. Dad's 85 now and he did it once already. I am disabled and couldn't begin to do it. But, biodiesel is just a tiny piece of a fuel system that returns the Middle East to the backwater it was before WWI. We need to think distributed and diverse so we don't get stuck in the same, sick cycle we used for petroleum. Imagine what international relations would be like without it. Petroleum thinking is the problem. Diverse, distributed and local. If we can move to electric power from renewables, that would be huge. But, I just got a 0 interest loan for solar panels that produces 90 percent of our family needs. Right now, we are on the grid, but the three times our grid power went out so far this spring, my CPAP, the fridge, sump and well barely hiccupped. I'm already scouting more panels. If we get the geothermal heat pump put in, that will mean we would cut our use in half and easily produce plenty of solar. I know the largest public lands for fuel use auction happened last November. Not one more acre of oilfields was sold. It was all offshore wind turbines. They wouldn't have paid billions if they weren't planning to make trillions. If that goes up soon, solar panels might go obsolete except for kooks like me.🥴😄

[@rogerharvey1698]

Yeah, I ran bio diesel. It was fine when the weather was mild. But when December hit, none of my equipment would run. That was a costly decision both monetarily and in terms of headaches.

[@Done478]

There's a couple issues and you were right to call me on them. Biodiesel is diesel. But, the oil sources affect the exhausted gases. My dad was using soy, but was looking to switch to algae. Unfortunately, the smaller subsidies to work on improving the process, dried up like you said (definitely not the trillions we hand oil every year that falsely reduces gasoline prices paid at the pump, but there were research dollars) Cali and the feds both pulled out on algae research because?? Petroleum companies buy all the legislators and the son of a VP (not rehashing this. He didn't break laws, but laws were allowing serious conflicts of interests, but, as Trump said himself, he didn't have any party he favored as a businessman. He was an equal branches of government corruption, just like oil interests.) We can grow more rapeseed for biodiesel and it's greenhouse gas emissions were considerably lower than corn or soy. Algae shows promise, but it's not ready for primetime. However, moving to biodiesel during this fuel crisis will serve us much better than what appears to be a serious increase for petrol. Then, biodiesel producers can work with universities and various governments to get better diesel choices. Europe hasn't been standing still. Dad's company went to Germany because their processor was easier to retrofit to other oil sources. I have heard of several companies looking to do large-scale testing on Genetically enhanced algae. Thankfully, there are a lot of oil sources and you can buy whatever is cheapest. I have been concocting an algal farm retrofit on the beef farm dad built and Raised me and my brothers on. We would do well with greenhouses, but fuel was always too expensive Thankfully, I built a passive solar home and just added active solar panels. I've made the first-timer mistakes, so I hope to get a chance to make the 2nd round of mistakes. My 19-year-old wants to "wait a year" so I might have free labor... though grudging at best... I'm thinking I could do passive solar and maybe active solar algae production if it goes that way. Just a dream, but lots of people will need to jump in, and will if there's money in it. Either way, it's now or never to diversify and change energy policy and production as well as consumption. Let's make it a business of Americans for Americans Europe and China are not waiting to see what we do. Like I said, Europe was making systems able to convert already. They thought we were going to develop algae, but they didn't realize that we are 98% held hostage by petrol. They didn't wait long. We have to consider life cycle of the industries we build. But, I sure would love for us to be in charge of our own destiny for once.

[@flyovernews22]

Very good. Well explained for persons not in the biz. I retired after 33 years oil n gas. From working in the field to oil and gas marketing. A long and varied career. The last minute of your video cannot be overstated. Look at rig counts during the 80’s and 90’s and now. We have less than half the active rigs we have had historically. Part because of horizontal drilling I agree. But part because of the current culture. No producer wants to try and up production…. To spend all of that extra capital in an environment where the administration has a stated desire to eliminate fossil fuels. The producers I know are not ramping up production. They are attempting to just maintain current production rates. Not during this administration with the current uncertainty. And you are correct…. The green dream is at least one generation away. Probably two.

[@theodoreboyd2149]

Great video and spot on with your assessment with the oil crisis, Mike. Back in 2013, I invested in the oil industry and bought several acres of leasehold and mineral acres in 3 different counties in Oklahoma. As an investor, I had the option to take a fixed percentage or participate in the cost of the well for a larger percent. I chose to participate. As a partner I received all information on the cost of every aspect of the well site construction. The estimated cost of one well alone, was $3,934,300.00 before one drop of oil was produced. Very risky business! Have a day.

[@Boobtube.]

how much can 1 well make you? $

[@barryirvin2417]

A lot

[@Leprovocateur]

Funny how that cost is a complete tax write off the minute they buy any equipment to start drilling! Fossil fuel is the only industry that can write off it 100% of it’s costs immediately for tax purposes!!! Sure sounds like a deal along with the $$$Billions in subsidies!!! Gee, I wish I could get a huge monetary subsidy so I could write off all my expenses at 100% from day one!!!

[@bryanbenson6551]

@@Leprovocateur those with the most money make the laws to keep their "big boy clubs" super profitable while you and I will never have that chance. Period. Eat the rich.

[@gingersteelman8126]

Yeah okay very risky guy, how much money did you make off your “risk”? Whenever you have that kind of money to throw around it isn’t a risk anymore it’s a gamble. You don’t get to cry about losing money gambling. Especially considering to have money like that, other peoples sweat earned it for you, or you come from money. “Risky” pft…

[@RedHotFiat]

Thank you! I love your perspective and common sense. All these power struggles are ruining our country and probably the world.

[@daveparrish3277]

Mike you hit a number of good points in your presentation. One additional contribution to the problem is that in beginning 2020 we had 135 refineries operating in the USA. In 2021 we were down to 129. I made my living oil and gas engineering for 53 years and you are correct that the supply and pricing is a very complex subject.

[@DB-yj3qc]

If you really want to be shocked research how many refineries was in the USA of 20, 30, 40, 50 years ago and what happened to the smaller more local ones.

[@critical-thought]

Good rant Mike. I would add that it does not help when the politicians go out of their way to squelch production through restrictions and personally berate the decision makers in the oil industry. I suspect that has had an impact on the severity of our current dilemma.

[@gatesmw50]

critical thought Vanguard, the Mutual fund people put peoples pension money into companies such as Exxon. Then using their huge number of stock shares and influence they have forced Exxon to appoint hand picked pro green energy members to board positions. Then the board directs the workforce to produce LESS oil, which also creates high prices. Blackrock is doing the same thing.

[@critical-thought]

@@gatesmw50 Even though it is counter to the valuation, profit, and best interests of the people they claim to invest for, it is a sad truth.

[@georgesnodgrass4794]

Thank Mike, very inciteful and useful. All the easy and cheap oil & gas was found in America long ago. The cost to bring up new and even restart offline wells is expensive and they don't want to pay those cost if they don't see at least short term price stability. Currently the high gasoline prices are due mostly to limited refinery online capacity in most populated areas of country. There has also been an imbalance in refinery by crude type in the US for many years. This country produces primarily light sweet (wti), while most gulf port refineries are still setup to refine dark sour (as in Venezuelan) oil. Meanwhile enormous quantities of wti sit in inventory in Cushing, OK and other places while waiting to get to refineries that were setup to refine wti. Since we don't import oil from Venezuela anymore, Canada is now our greatest import source. They have both types as well as oil bitumen crude (oil sand tar), which after incredible processing, still needs to be heated to shove through the would be Keystone pipeline to the US gulf refineries to refine. This crude sells for more than $20 below our wti, so no wonder american gulf refineries are pleading for the pipeline. It's all about money. But right now the main issue is the gasoline refining chokepoint.

[@yvonneplant9434]

You all probably know that the largest refinery on the east coast in Phila. was closed after the massive fire in 2019.

[@RinrvUSA]

By gawd-a man who actually understands what he is talking about! I've been preaching this to the church of the ignorant for years now, and finally the chickens have come home to roost. This isn't going to go away with government activities or some simple solution we've overlooked - we need more refineries. All the oil in the world is useless without it.

[@scotthamilton7161]

Great comments, Mike. It's a tough subject to talk about without someone getting upset. I'm all for green power when it makes sense. I have solar panels on my roof, I've driven a hybrid car since 2006, and we've ordered a Polaris Electric Ranger for getting around our property. We also have an electric golf-cart. Those things are great. But I still need diesel for my tractor and zero turn and gas for my other things . We are on 15 acres with a lot of grass to mow as well. I use battery powered tools wherever I can but they are not always up to the task of an all-day project on the property. We need to work together and support both the current fossil fuels AND a transition to electric where it makes sense. People willingly switched to digital cameras when they made more sense than film cameras. People are dropping cable TV for streaming services because they have more choice, lower costs, and no contracts. People vote with their wallets and when electric is a better option, people will switch to it - probably a little at a time. Forcing people to make a 100% switch now with high fuel prices just hurts the little guy and those who cannot afford either high fuel prices or purchasing a new electric vehicle. I like your common sense take on things. Let's all start working together for the good of everyone and the country. Thank you..

[@joecross2097]

WELL SAID.

[@rixxroxxk1620]

Very well said Sir!

[@kevinowens6010]

What your not taking account is when the change over takes place to petrolium made Electric cars comes the odometer Tax and the $150 dollar per charge game already ran and passed through Congress and the Senate. That California Governor made that possible. My State passed the State odometer Tax 2024 January 1st. Nevada. Nancy Pelosis Nephew is the New Green deal Tax man and Governor of California. There is no escape for the semiconductor chip reads by bot AI. So your smart meter knows the difference between a coffee pot and that Electric oil made Electric car.

[@keriwilliams8980]

Sheep, goats and cows make great lawn mowers, and you can eat em!

[@poonplugdoonbug]

GAS baby, you ain't getting rid of loud motorcycles go ahead and try sucka

[@randalltaylor3448]

Excellent video. I'm in the Oil & Gas business, and you have hit the nail on the head. The country will collapse without hydrocarbons. need to keep researching and developing ways to make nuclear power safe. It already is, but we need to get the population to realize it is safe and start building an infrastructure to utilize it. Most importantly, everyone needs to understand that wind and solar are nice energy supplements but never will be our sole energy supply, as they are too intermittent. Thank you, Mike, for bringing this to your audience's attention. More people need to be discussing this in rational interchanges.

[@theprof73]

Overall, I appreciate your approach and you made some great points. I do, however, think you missed a biggie... Speculation by traders. For example, while the embargo of Russian oil by most of the West has not really impacted overall world supply, it is being used as an excuse to drive up prices.

[@matttaylor2833]

My two cents. Look at the freight railroads. They are controlled by hedge funds. 2016 to present they've cut workforce by around 30% some even more. They put locomotives in storage. Ripped up track and scraped "excess" rail cars. It's called PSR business model. It's a plan to do more with less and have less business but charge a premium price for it. It's actually just a money grab. Short term gains and dividend payouts. Check STB hearing from April on the state of railroad. Also see what the CEO of Pilot/Flying J had to say. The Union Pacific RR told them they had to reduce shipments of Diesel and DEF by 29%. The hedge funds the control the RR's are a really big part of high fuel prices. They want MORE and MORE. Gordon Gekko!

[@I_like_turtles_67]

Warren Buffets fund bought majority stake in the pilot truck stops a few years ago. He also owns stake in the RRs bring in the oil. This is why he fought so hard against the pipelines like keystone. It cuts into his own business. But that fucker constantly panders on television about how modest he is.

[@PayNoTaxes0GetNoVote]

I saw that same testimony. He said AT FIRST they (RAILROAD) wanted a 26% reduction in their DEF shipments then while negotiating they DEMANDED a 50% reduction or face a complete embargo of all shipments of DEF. Using his numbers, and Flying Js 30% of the DEF market share, that's a reduction of 26 BILLION, yes my math is right, BILLION miles of truck travel that that one act impacted.

[@brucesafreed3877]

Hi Mike&Melissa! I agree 100% with everything you said! We need common sense People running things unfortunately that’s not the case now!! ☹️

[@OutdoorsWithTheMorgans]

Thank you Bruce!

[@Dorchwoods]

Hasn't been the case in a long time haha

[@guytech7310]

Its unlikely you see CS (Common Sense) return to politics. Anyone with any CS will avoid getting into that mess. Why would anyone with CS want to get entangled in the nightmare of US politics? Even if you try its impossible to change anything as the crazies use leftist judges to block everything and it takes years of litigation just to move on, which can all get applied or blocked again after the next election cycle.

[@13juju]

Not Just Now, But Years and Years, U.S.A NEED COMMON SENSE PEOPLE

[@VTBC]

Devil commonsense get a rip

[@michaelgreer3512]

Love how you cut through the BS, no politics, just talking sense. Thanks for putting this out.

[@ElRalphing]

Well no actually he annunciated the Democrat position on Keystone XL pretty well. Acting like cancelling a project that’s already been approved and had hundreds of millions of dollars spent on it isn’t a big deal is,precisely the Democrat position.

[@Rhambo1953]

@@ElRalphing If TC Energy really wanted to spend the capital on the Keystone pipeline they would have in 2017 when Trump approved it. Think about that. Now consider this, a pipeline does not produce oil it only transports it which means it would have no bearing on the amount of oil produced on a daily basis.

[@Rhambo1953]

@@User43776 I didn't see any bias. He actually nailed. I'm sure you have areal winner of an explanation.

[@ElRalphing]

@@Rhambo1953 That’s some of the worst mind reading I’ve ever seen anyone do. You’re basically saying even though they did spend $100 million on something, they didn’t really want to complete it. Think about what you said there. Surely you can figure out on your own it’s an idiotic statement.

[@Rhambo1953]

@@ElRalphing Their money was spent early on in the project, it began in 2008. Right now no oil company wants to spend capital on infrastructure. It's all about stock buybacks and shareholder dividends. TC Energy scrapped the project in June of 2021. If they were worried about the $100 million they would have hung in there for the next Republican President. Keep in mind from 2017 to 2021 they had the green light for the project and built virtually nothing on US soil. But don't miss the bigger picture. A pipeline, and the US has 2.6 million miles of pipeline, only transports oil. It does not produce oil and has no impact on how much oil is on the world market. And lastly, the $100 million expenditure over 14 years they'll just have you pay for at the pump.

[@justme6621]

I agree with most of what you said on the subject, I spent 20 years in the oilfield. The only thing not mentioned was the governments push on electric vehicles across the board, why would investors be taking risk in the oil industry.

[@scooterss2112]

Because anyone with common sense knows that is decades away.

[@jimdavison4077]

Governments push? The largest automakers in the world have set 2025 as the time to be completely shifted to all EV models. That's Auto Giants VW, BMW and so on. Smaller players on the market like Ford and GM have set 2030 as when they will be going all electric. That's not government doing it but the industry. Oil reserves are said to be good for about 50 years at the consumption rate we have. That means unless we find another fuel which is economical and readily available the whole of humanity is in for a life changing crisis when oil becomes harder to get. Transportation has options, the most obvious is electric as Electric Motors are many times more efficient than the ICE. We can make electricity almost anywhere and the nice thing is we don't need big corporations to control it or sell it.

[@jimdavison4077]

@@scooterss2112 Not decades at all. By the end of this decade you will have one option when buying a new vehicle. Electric.

[@nolanedwards3563]

Well done Mike! My Father was in retail oil for 30 years. Greed is there, the losses are real. My late father in law was a oil field production supervisor for a major oil oil company. Worked day and night to drill and cap wells to wait on the gas line for natural gas. It took years for a project to return on investment. Now our political leaders play the blame game on shorts. You explain things so well. Thanks for what you do!

[@frunyan1265]

Thank you for taking the time. One thing I may have missed, but I believe you left out - the price of oil is based on GLOBAL oil supply, regardless of where it comes out of the ground. The US would have to almost double our output just to match what OPEC cut in April 2020. That is not possible, regardless of who lives in the White House.

[@jcruisioso5975]

Great point

[@plho8443]

Brilliant and succinct and clear and factual seminar, Mike! Problems stem from multiple factors or variables. You hit the nail on the head; let’s not blame and shame rather let’s be sensible, practical, and pragmatic about how to solve problems. As a creator of businesses (several), a retired executive, and corporate board director balancing the equation of plus and minus variables has been and is a challenge and rewarding. You mentioned ESG - something that is upon us and a reality of corporate life. ESG has its merits, yet it cannot be used as a criteria to penalize; it needs to help all of us - creators of products and services and consumers of those products and services - to listen, understand, appreciate, and find common, constructive ways to solve problems - without blame and shame and with patience. Thanks, Mike and Melissa, for you who you are - fantastic, values-driven folks that love your family and friends and our country!

[@dicktillotson1431]

ESG would only have merits if it was used honestly! Which it isn't! It's a political tool being used against political enemies of the global elite. Shell Oil has a high ESG, Tesla has a low ESG!!🤔

[@webuyart]

Thank you for digging deep and telling the truth about this oil catastrophe we have recently been thrust in to.

[@eudaenomic]

Thank you so much! OPEC stated they were including Russian oil in sales earlier this year. One reason for inflation was partly from the increased price of fuel. Most people don't want to work for previous wages. More people working now that restrictions are out.

[@charleslawhon4047]

I worked 50 years in oil & gas on plants , stations, pipelines, & CO2 ! 30 years as a certified pipe welder, 20 years as a CWI that’s a certified pipe welding inspection & DOT qualified, Survay qualified, environmental qualifications, at least 10 qualifications on the MOAP testing ! Nobody tells the oil & gas companies how to run there business ! There here to make money when they raise oil and gas prices for there products it’s hooked to the cost of living goes up everything else does when fuel prices are up and when they make there money prices stay the same until they can give you a price break at the pump will come down a little but the cost of living prices never comes down because inflation has set high prices ! Now you people do the numbers in your pocket book ! Some of these monopolies start worshiping Money greed sets in & greed has no bounds ! It’s for power ! This is just my take we’re back in with Petro dollars black gold again, this is what’s happening ! Look at the Market George Soros just purchased $ 10 billion dollars of oil & gas stocks , Warren Buffett purchased $ 9.9 billion dollars ! 🇺🇸

[@SegoMan]

“Control oil and you control nations” - “Control food and you control the people.” _Henry Kissinger

[@cliffterrell4876]

Don't leave out the tens of thousands of stock ovomit received after he left office from soros. Warren Buffett stopped the keystone pipeline because he would have lost billions of dollars via BNSF, whom he owns. It's all millionaires and billionaires, including politicians and the same oil speculators involved in the ovomit fuel increases the last three years of his regime, who are getting filthy rich with these high fuel prices. It's all about greed.

[@andyfrench8943]

Good points, Also, crack spreads (refiners' add-on to make gasoline) are about $50-$55 per barrel. Pre Covid they were about $12. So refining costs are about 4 times higher. It works out to about $1 extra per gallon. As well some 20 refineries have shut down since 2018.

[@samuelvalperga2421]

That was accurate and precise ! There is NOT enough drilling rigs and as fast as there selling it transportation is not an issue . So I will not stop demonizing oil executives...

[@paulmeskimen5781]

I liked your thoughts on the oil shortage, I do disagree on a couple items, when the US was pumping a lot of oil it didn't hurt the investors at all, the US was number #1 exporter of oil, our oil reserves were full, I also disagree on the Keystone shut down, the oil refinerys along the gulf coast spent billions of dollars retro fitting their plants to handle the sand oil, that is all helpful for the investors and the work force. I think the US should be using our oil and from Canada. Thanks, I have always enjoyed your KZbin videos.

[@slonefactor]

Canadian Oil Corp. shut the keystone pipeline and you can't use their sand oil for gas.

[@SegoMan]

“Control oil and you control nations” - “Control food and you control the people.” _Henry Kissinger

[@rader1175]

@@SegoMan So relevant to what this regime is doing to us.

[@SegoMan]

@@rader1175 History is repeating itself, the Indigenous tribes were starved into compliance and so we shall be as well.

[@UPdan]

How did oil companies going bankrupt for the government to fight Russia ten years ago help investors who lost everything? Yes, they were pumping lots and lots of oil and ng. At a loss.

[@dennisbeamish9058]

Hi Mike - love your channel! Great topic on oil pricing and I agree on "Most" of it. I have to say right up front that I am a Canadian so my views differ on a few things - however - I think you may have left out a valid issue in consumer cost, and that is taxation. As a Canadian, I live in the "Land of tax", but I am sure that fuel taxes and/or carbon tax have an impact in the USA with variance based on where you live. Enter governmental impact, as most gov't taxation is based on a % of the sale price "not" the cost price. Government has no desire to see fuel sold as at a lower price because the tax revenue is hit hard. In Canada we pay the same % of tax whether the consumer price is .85 cents per litre or $2.00 per litre (pardon the metric pricing) - so why would the government want prices to go down?? Therefore - to ,my point, you have to include taxes in your theory. Thanks for your commentary, I enjoyed the video/ PS - I am retire at age 75, but did spend most of my working life in a business that was active in the oil & gas business and do understand a resonable amount of your correct theory. Regards Dennis Beamish Cambridge Ontario Canada.

[@raymondfolsom5859]

its a sales tax. Land now is making up for the difference in the US. Moving dependence on fuel to property. The higher the value of property to more $ from a reliable tax source. LAND! It cannot go anywhere and its reliable.

[@ritchiemacinnis5680]

I'm a Canadian here too and I have some 10 years experience in the petroleum industry in the Southern USA. Your comments about price hedging are spot on and I can certainly see these high prices continuing for at least a couple of years. It's all reflected in diesel fuel for trucks and tractors.

[@vanguy9780]

Those roads you drive on every day might not be as smooth and easy to travel if you abolish the gas tax.

[@thomasbialzik3060]

Hi Dennis. Most of our state fuel taxes here are a specific amount per gallon. Some are" low" 32cents/gal some are higher.

[@Johnmk24]

A very thoughtful & interesting piece. I know there was a huge oil discovery in the Gulf of Mexico just off Florida in international waters. That was a few years ago. It’s said to be a bigger find than all the oil on Arabian peninsula. Environmentalists refuse to allow drilling. So the Chinese are looking to drill it. I would ask Environmentalists who do you believe is more concerned about the environment, USA or China? As pointed out in video, our Electric producing infrastructure is not ready to handle 25% of current auto replacement…..Without Rolling blackouts. That information is from a feasibility study conducted on 3 mid sized cities. Houston being one of them. My point is as much as I would love to have an instant alternative to oil there isn’t one right now.

[@soulfireonfire6423]

The elites do not care if there will be black outs. They will not have to endure it.

[@bishopspyroworld8921]

This administration is putting the cart before the horse. You cant stop oil leasing and expect prices not to rise. Im all for EV, but you need to keep producing oil until we are ready for EV. What is happening now is they are trying to force people to buy EVs. Problem is it will affect the lower income people more as they wont be able to afford the new $50,000 vehicle.

[@jasonjgr8580]

Bishops outdoor world ,evs are worst then gas vehicles with the batteries.

[@prestone6838]

My concern with EV would be once they get everyone on EV, who’s to say they don’t do the same with electrical costs as they did with fuel? Then we are in the same boat except now, it’s a complete runaway because our homes run on it as well. We are already short on power. Places across the nation are falling short on power and doing blackouts. I’d say solar is looking better and better.

[@guytech7310]

We'll never be ready for EV. EVs are essentially coal & NatGas burners, & rely on Russian Cobalt exports for the batteries and the Lithoum batteries are not economical to recycle. Americans cannot even afford Gas powered vehicles. If you look at the soaring auto loan durations, the loan is longer than the life of the vehicle. People are rolling over the old vehicle debt onto the new vehicles. I suspect Few Americans will be able to afford new vehicles after 2025 as they still be stuck paying the debt on previous vehicles.

[@OneEyeCustoms]

A bit of passion, fire and energy in your voice this morning! Love it, preach it. Please keep using your platform to educate!!!

[@andrewriches506]

Mike is surely switched on. I would trust him to the end of the earth.

[@kamaboko1]

Great video. The only thing I would add to that is the labor shortage in oil/gas. Between 2018 and 2020 a lot of people left the industry, found new careers, and have no desire to go back.

[@bobwollard9105]

Mike, you are right on the money. I recently retired from the oil/ gas/ chemical engineering field. After forty five years in the industry I learned a few things about the oil industry. One thing I learned is that most people have a profound lack of understanding concerning the energy sector. Your take on the industry is like a breath of fresh air. I would like to add one thing to your observation. The oil and gas industry is prohibited (by federal law) from controlling oil from wellhead to final consumer. The high price of crude affects the refiner balance sheet. If they have to pay more for raw crude then they must increase the price for completed product. It's just like any other commodity. To kill the oil and gas industry without first building an adequate electric grid capable of sustaining the demand for electric vehicles is simply absurd. That would result in the absolute crash of our economy.

[@jda72]

I am afraid a crash is what they want.

[@jameswilson322]

Exactly right my friend !

[@hugostiglitz8465]

@@jda72- "The Great Reset"

[@jaymolck31]

I have a question, I'm 58 I like every body else have grown up hearing about ways to get around not using oil. Car running on water, wind ,solar hell even energy from sea weed. Bottom line when are we going to do it for our kids and there future.

[@bobwollard9105]

@@jaymolck31 Jay, unfortunately most of those schemes are impractical. After loads of developmental research they discovered that it required more energy input than was gained on the output side. I have been privileged to have worked on several alternate energy engineering study programs. Heck, I even spent a month in Colorado at Solar Energy International acquiring my solar installers certification in order to obtain a better understanding of that industry. Unfortunately, at current solar panel efficiency levels we would have to cover every square foot of the Great Plains with solar panels to obtain sufficient power to get anywhere near what is expected by the "green new deal" crowd. What we truly need is for government and corporate research to come together and dig into this. If we can spew trillions of dollars to pay folks to sit on their asses then surely we could finance serious developmental research instead.

[@joemcgarry6915]

Mike, without a doubt that was definitely the most accurate and correct perception of today's reasons for the high cost of living we are all experiencing throughout the world. In Scotland we are paying nearly $12.00 an imperial gallon for diesel and $10.00 for petrol. Great truthful video. We need more use of fossil fuels until we can derive an other source or way of using fossil fuels.

[@OutdoorsWithTheMorgans]

Agreed. Thank you Joe!

[@tombrewsaugh1399]

I did read an article by an executive from an oil company. He stated that right now their shareholders do not want new wells developed as the expenditures will reduce their dividends. If it weren't for the oil companies making their highest profits in the past year I might be more willing to overlook the greed talking point. Just the other day they were predicting fuel prices would go higher over the next few weeks so who is manipulating the price?

[@ElRalphing]

Greed in the oil,industry isn’t new. Greed in any industry isn’t new. What is news is Biden’s policies. And they are definitely adding to oil companies not wanting to drill.

[@livedlearnedDIY]

Great video Mike, great info! My question is how high will oil prices go before it shuts down our country. My business is suffering because of the increased prices of all goods.

[@livewithnick]

Weren’t we oil independent just a few years ago?

[@guytech7310]

Nope. That was just Politics. US was still importing oil from Canada, Russia, Middle East. Fracking oil isn't good for making diesel & Jet Fuel.

[@benniebarrow348]

@@guytech7310 we may not have been technically independent but the previous fossil fuel friendly administration was about 1/3 the cost at the pump of where the current socialist administration has it. I’m all for alternative energy but in a sensible way. This “cold turkey” approach is economically devastating on many levels .

[@guytech7310]

@@benniebarrow348 Alternative energy will never replace fossil fuels. While prices were lower, Trump emptied the SPR (Strategic Petroluem Reserve) to keep fuel prices artificially low. US oil production peaked in 2018. Currently all of but one of the Shale sweetspots were fully drilled. Shale Well have a rapid depletion rate, producing the bulk of the oil from a well in the first 18 months. Drillers have to drill more more wells to beat depletion. Currently only Permian basis has the ability to expand production, but frack drilling a well takes 9M gallons of water, and that region is very short on water. That is one of the driving reasons why the permian basis hasn't been fully tapped yet. If you want to learn more about US oil production I recommend you search for YT videos that interview Art Berman (Oil production expert). FWIW: I expect a long term energy crisis as global production begins to decline 5% to 7% annually. This is going to drive the economy over the cliff and is going to drive the world into another global war. Biden & DNC are driving the US over a cliff, especially alienating Russia which is the worlds biggest energy exporter. What we'll probably see soon is demand destruction and a major recession in the US and the world. I suspect Oil prices will peak in the next 30 days and start falling as the US economy falls into a crisis as companies layoff, as people can no longer afford to buy goods & services. This seems to be tracking the 2008, when the Fed was tightening & Oil prices were soaring. Oil peaked in July 2008 at $147/bbl and crashed to a low below $40/bbl in Jan 2009.

[@paulgarcia1147]

I worked as a consultant mud engineer for many years before I decided to get out of oil and gas. You pretty much nailed it. I would just add that OPEC still controls global oil prices because it so much cheaper to drill conventional oil there. The US companies that made it through the last crash will not go back to high risk and high debt drilling. I think high prices may be here for quite awhile it not permanently going forward. As you said it is very expensive and takes planning and time to drill your leases.

[@bigbawls81]

Well done, Mike. I agree with everything you said. We just need more people to listen. I am a petroleum geologist and have been in the business for more than 40 years and I appreciate your truthfulness about the industry. We are having a hard time raising investors again. Thanks for sharing.

[@peterhertzog007]

Why is it that when the oil prices were $115 gas was $3 cheaper despite it being the same price per barrel?

[@vampireslayer1989]

@@peterhertzog007 I'm an oil guy too. A lot goes into the price of gas. Refining, transportation, supply-chain, tax, retailing, global politics. Generally the prices are set by commodity brokers and retailers................and global inflation. Also, we just came off of nearly 3+ years of sub-$50/bbl oil.

[@peterhertzog007]

Commodity brokers do Play a big role in inflation of prices as well just crazy to think how it's the same price per barrel yet 300%higher in price🤔

[@RinrvUSA]

@@peterhertzog007 It's called greed - profit taking, pure and simple.

[@JHWarner856]

Mike - Thanks for some common sense with the issue. Transitioning to renewables may be in our future, but it doesn't mean artifically cutting off the oil supply without having a plan for that transition (charging networks, affordable vehicles, etc). is a good idea. We will always need oil, and the market will supply it if left alone. A bunch of Executive orders won't make it happen.

[@RinrvUSA]

I watched your entire video and still don't have any better idea of what is the root cause of these high oil prices beyond what we've already deduced. By the logic of your vision, investors are driving oil companies, via their *LACK OF INVESTMENT to PRODUCE LESS THAN NEEDED, because PROFITS ARE HIGHER FOR DOING NOTHING* (at the moment), and selling their main product for what buyers (Americans at the pump) were historically willing to pay is no longer considered a barrier... So "suck it up buttercup" and get ready to keep paying more for less, because they are happy with their higher profits for doing less (?). Simply put, that is called Profit Taking (a Wall Street staple in the "Bear Market" times) or Margin Calls...Basically corporations are collecting money from both investors and customers at the same time, so yeah - it is actually corporate greed (see their continued record high quarterly profits for reference). Profits are definitely a good thing - within reason. All businesses are run for profit - even if they call themselves "non-profit"- unless investors are so stupid as to continually dump money into them with no expectation of any kind of return or benefits. However, this kind of profit is well beyond anything that can be labeled as reasonable. "Demonizing oil" is hardly a real reason for price gouging.. It's not stopping oil companies or investors from doing business - and neither is the EPA. The price of drilling, (fracking) refining, and delivery is higher because we all want clean air and water, and historically the production, transport, and delivery of oil has been a huge environmental pollution problem, and one which government turned a blind eye to the problem for many years - and then we became increasingly aware of the problem, and decided that it would be in all of our best interests to not only clean up the mess from before, but also stop polluting from the start of the process - and that my friends is more expensive than just leaving the problem for future generations to deal with. Also "jobbers" - those subsidiary companies that do the actual setting up of offshore oil rigs & onshore fracking wells - actually doing the work of drilling, collecting, transporting - doing it safely, and also dealing with all the paperwork - those components now have to deal with a post-pandemic payroll that is much higher than they were previously used to - because workers, many of whom were laid off had to find other jobs during the pandemic, and now have decided that they are not going to return to a difficult and often dangerous job unless they are better compensated - .. And who can blame them? We no longer allow gas station tanks to leak product into the ground. We no longer allow oil pipelines to be placed where they can destroy billions of gallons of fresh water when they inevitably leak - and they often did. We no longer allow refining plants to simply discharge their residual wastes into the air, ground and water without proper treatment and monitoring. We now hold oil companies and shareholders responsible for the cleanup and remediation of their products destruction after an "uncontrolled release" instead of simply burdening taxpayers by allowing oil companies to quickly declare bankruptcy in order to avoid responsibility. Insurance coverage is also higher as a result of these factors, and those costs are also being passed on to the end consumer. So yeah, it looks like we're all going to have to get used to these higher prices from now on. There is simply no way to get this product to market, safely and efficiently, for less money.. And that's a fact we're all going to have to learn to live with. P. S. BTW, perhaps the best use of a 2019 F-150 isn't transporting a single person to the airport and picking up groceries? (both of which could be done in a much more economical vehicle) You may need that truck for certain things, but to use it as a daily driver for all your personal needs is simply wasteful, and with your "personal knowledge and a basic understanding of math" you already know that. Your claim of oil prices being "catastrophic" does not pass the test if you yourself are not willing to make adjustments to reduce your own overall consumption. Perhaps it's your ego which needs to be downsized if you need such a big vehicle to haul it around ? Just sayin'...

[@timwilcoxsr2712]

I wonder how many you upset over your facts and left the channel. I must say you worded this extremely well Mike. I have my own political beliefs and I will not share them here to start any problems, but we as the Greatest Country on Earth, we need a big change !!!

[@tokesalotta1521]

Facts? You mean opinion and rumor

[@southsidetv1731]

America first…politics second.

[@IdentityCrisis1581]

Never saw your channel. But good video. You have a lot of good points. I always say the president has less to do with it than they think. Because everyone likes to blame the president. Especially when they are opposite wing from the president. I am only 40 and i notice that gas prices always go up a little in the summer. More people are traveling so demand goes up. People dont seem to understand how long and costly the refinement process from crud oil to gas and diesel is. So even if we buy more oil when we know demand will go up. There is still going to be a several month pinch before its made into gas to relax the prices. And because of just how the market works that oil may cost more than it did last year. Also a lot of people dont seem to understand that you can only stockpile diesel and gas for so long before it goes bad and turns into varnish. It does have a shelf life. So we cant have a bunch of it sitting around several decades that isnt being used. Just as an emergency stockpile in case of an oil market crash. So i wanted to bring that up to. Just because of how gas and diesel are made its difficult to quickly produce it on demand so that the prices never fluxuate.

[@CharlieBurns75]

Greatest country?🤣🤣🤣

[@Shadowshot1989]

oh u know he pissed off so many people...and I'm glad he did...NEXT!!!! lmao

[@micheleallen7036]

Thank you for explaining this. You wonder why someone couldn't come out and tell us this before. It takes one of us to let us know what's happening in this world. Thanks Mike.

[@OutdoorsWithTheMorgans]

Thank you Michele.

[@Dbb27]

Great video! Have done quite a bit of reading on this and so happy to see you post the facts. There’s no gas button in the Whitehouse and a pipeline that wasn’t built didn’t influence pricing. It’s multifaceted. Thank you for the additional information and all the great comments here from people in the industry.

[@ElRalphing]

Yes it is multifaceted. But cancelling a pipeline that hadn’t been completed yet certainly influences pricing. Because cancelling that pipeline told the oil industry to watch out, because the new govt doesn:t care how much you’ve invested, they will cancel your project. A big problem is American companies don’t want to drill more. Well, seeing the Biden admin do so,etching as ham handed as cancelling Keystone XL makes them want to,drill even less. And what’s so bad about it is even when we do replace Biden with a pro-drilling president, the oil companies are still going to have to think long term and be like, “well the American people already have elected one anti-drilling president, who are we gonna get 4-8 years from now.?” This screw up of Biden’s is not something easily fixed.

[@christianelder4983]

@@ElRalphing It's not a screw up Ralph. Joe Biden clearly stated multiple different ways on the campaign trail that he was going to crush the oil and gas industry. So it was not just the pipeline, it was canceling leases from Alaska to the gulf of Mexico and making other new regulations and restrictions on the oil industry. So if Mr Morgan doesn't know that, he's ignorant, but if he does know that and he didn't tell the truth, well what does that make him? I'm going to give him the benefit of the doubt and not call him a liar or a coward, just ignorant. It's Econ 101 you put a stranglehold on the industry and you don't reduce demand, prices will go up.

[@Rhambo1953]

@@ElRalphing Wrong. Did you watch the video? Oil companies do not want to invest money in infrastructure. That pipeline was never built at all on US soil since inception in 2008. 46 companies went bankrupt in 2020 and investors are hard to come by. They'll spend their money on increased dividends and stock buybacks. That's why they've only reopened 75% of existing rigs.

[@randyscott8957]

You are all wrong. The keystone pipeline was in 4 stages, 3 of which were completed on 2010 and 2011 and was pumping 500 to 900 thousand barrels of oil a day to several refineries. The 4th stage was not complete and thats what these idiots have hung their hat on. If would do some research and not take everything as the truth from these mental midgets you might actually learn something. To put it in more perspective, the oil that was being pumped through the pipeline was pumped by electric pumps with more than likely diesel back up generators. So now it takes roughly 25000 semis hauling oil to compensate for maybe 40 electric pumps. How does that fit into your green agenda.

[@deanoverlie224]

@@Rhambo1953 wronger. He's right. You're wrong . The MARKETS are SPECULATIVE . Any business told by an entity as powerful and out of control as this government would be extremely foolish to make plans for the future .

[@allanulen3809]

During the 70's oil crisis, farmers were told to gear up and throttle back. That sticks in my head. Just a side note, I'm listening to this episode and an ad for Embridge energy came on. And there is no government money, it's my money, your money, everybody's money. The government doesn't create money , they just collect it. And Mike that was a good video. You're correct electric vehicles are a long way from being practical. Maybe down south and in cities, but up north the cold will get ya. And just where is the electric coming from to charge them?

[@jh9855]

I own a Nissan Leaf. Very affordable, and all electric. It is practical for me. There are charging stations all over the place and it costs $9.00 in electric to totally recharge the battery. Look at theFord all centric pickup truck. Amazing. Oh, I live in cold country and the Leaf handles snow very well.

[@allanulen3809]

@@jh9855 what area of cold are talking? Is it garaged? What about at work or when you're shopping. I'm curious about these and more questions.

[@patfox3988]

I like to tell people that work for the government that they don't pay taxes, TAXES PAY THEIR TAXES!

[@kdegraa]

Governments do create money. Reserve banks and treasuries, arms of governments create money. A huge amount of money has been created in the last couple of years to buy government debt and this is causing inflation. You will not hear this in the corporate media as it’s politically incorrect. It’s much better to blame greedy businesses.

[@kevinschier6413]

@@jh9855 yeah until all 331 million Americans plug their leafs in and what’s that do to the power grid?

[@BG-vq9fd]

I turn 71 next month and retired 3 years ago. I thought I was prepared to retire but I am just beginning to understand what living on a fixed income really means. Inflation is one thing but return on investments is troubling.

[@curtismelton_4_8_15]

Thanks for the great insights, I am beginning to understand that this garden we have been planted in called earth is basically a manufacturing plant, and as you pointed out there is a huge process that goes into manufacturing a usable product in oil, even just extracting it from the ground, let alone the entire refining process including transportation or delivery and many other factors in between.. I appreciate your insights about how the "boom and bust cycles" have occurred and interestingly or ironically with the higher prices for gas the oil and gas companies will be in a better position to invest in more production, that is , if they so desire and actually do so. I think that a whole lot of what is going on with the higher prices is absolutely manufactured by some who hold a lot of sway in economic ecosystems. So that said I also think that the higher prices will have some possibly unintended consequences of who knows what? But also as always it will also help to level the playing field for alternative fuel technologies. Now I kind of understand that one possible tech being used by a few for years, the HHO will at best only be a supplement to the existing gas engines used ubiquitously now, However, imho , if it actually can be a great benefit to expanding the fuel and driving capacity of vehicles, then that ought to be fully implemented and quite possibly this recent "Historic price hike" will be just the needed thing to begin implementing tech like HHO that can possibly provide great benefits. Also the HHO is simply water electrolysis, so I don't know of a cleaner technology out there, although as with any fuel there is factors to consider that might not be obvious... thanks again for your great and timely insights on this seemingly very important topic, peace.

[@christianelder4983]

Interesting perspective - "this seemingly very important topic". If fuel prices are putting a hurt on the average working man or poor person or anybody concerned about inflation, it's definitely an important topic. If you're ignorant of the big picture Mr Morgan really can't tell the whole truth. Joe Biden clearly stated multiple different ways on the campaign trail that he was going to crush the oil and gas industry. So it was not just the pipeline, it was canceling leases from Alaska to the gulf of Mexico long with making other new regulations and restrictions on the oil industry. So if he doesn't know that, he's ignorant, but if he does know that he didn't tell the truth. What does that make him? I'm going to give him the benefit of the doubt and not call him a liar or a coward, just ignorant. It's Econ 101 you put a stranglehold on the industry and demand stays the same or increases, prices will go up.

[@theoldmanreed8818]

It was brought on by that idiot Joe Biden. Der

[@theoldmanreed8818]

Inflation is caused by Joe Biden putting the screws to the oil companies. And it looks like Joes plan to stop global warming is to have a nice starvation causing nuclear winter. That blithering idiot.

[@theoldmanreed8818]

We need Trump or any body that truly cares for the country to first reverse every executive order of biden and his henchmen all criminals and traitors

[@deanoverlie224]

I meant it is absolutlely cost prohibitive to supply EV to the worlds poor. We are still a part of this world . That means we MUST consider costs and reasonable alyernatives when we make choices .

[@winkdinkerson7190]

Great video Mike. You touched on many of the variables that contribute to the volume of Energy Produced, the cost to produce it, and profitability of Energy Companies at different market price points. Several contributors not mentioned include: the cost of Federal, State and Municipal Tax rates collected at the pump per gallon, how the US as a net zero importer due to SAGD and FRACKING technologies over produced creating greater supply than demand scenario - all Energy companies over produce beyond their countries needs to sell to the export market. That added production and the sale thereof typically offset the domestic price at the pump - so not sure why over producing for local US consumer needs would not increase the profitability of these companies and need for an expanded workforce.

[@chuckracine3833]

A major restraint on domestic production is also related to the company’s bidding on a lease, spending survey money on that lease, then the lease is pulled from under them. I would not invest as a company on new production either.

[@pica8039]

SUPPLY AND DEMAND!!!! If we the people could only stop WASTING gas by not driving to places we really do NOT need to go, we would bring DOWN the demand. Let's just stop driving for one day (except commercial vehicles), nationwide, and see what that does to our oil supplies. We hold the key to success, but most of us DO NOT give a DAMN about cooperating with others to solve the problem.

[@powerstrokepuller8076]

Great video mike. I work in the autonomous and developmental vehicle field, I can tell you everything you said is the truth. Especially the part about not being ready for electric vehicles. California politicians don't want to admit it but we are still probably 20 years off from being able to run everything off electricity. Nationwide power grids and utilities will have to be updated before we can even think about it

[@Mounty621]

Thanks for the information, Mike. To address one point, in which I have an expertise as a retired cop, that armored car your county received was from the DRMO program through the military. Our tax dollars paid for it during the “war effort.” When the war wound down, all those armored cars had already been built and stockpiled for delivery. When the need for them went away, police agencies across the country were allowed to buy them for $1 or given them as a grant by the federal government. Are they complete overkill for a municipal or county police agency, maybe, but if your neighborhood was being shot up or under siege by some criminal or mentally unstable person, wouldn’t you want your family evacuated in something armored enough to withstand explosive blasts and the average bullet? Considering the average Lenco Bearcat (traditional police armored vehicle) price starts at $200K, I think a “free” armored vehicle from the military is splendid. Because of political optics at the time, my former Chief gave our MRAP to another smaller agency after using drug asset seizure monies to buy our SWAT team a Bearcat, which I thought was utter stupidity. Why would a SWAT team ever give up free armor when it can be used for either evacuations or a stationary command post in front of a lethal area??

[@tnuganews55]

Congratulations on a GREAT video! You've nailed the main issues that are affecting our prices, and you comments are in line with the data I've seen. I'm sharing it!

[@henryknox1186]

Keystone pipeline was the infrastructure to move oil and tap into the leased land. The pipeline itself did not cause oil prices. It was going to reduce the timeline transport oil.

[@wku88]

Not to mention reduce the cost of transporting said oil.

[@hugostiglitz8465]

I love how the unions always tell their workers to vote Democrat. Biden gets in office and now 11,000+ of the so called "brothers" are now out of work.

[@davidbailey6350]

Thanks Mike…. I’m just sadden by all the hatred that has happened to our Country….!

[@52156drj]

A cogent, lucid, and well reasoned video... What is KZbin coming too? Thank you Mr. Morgan. I wish there were more folks like you out there.

[@kenjackson4471]

Thanks for the insights, Mike. I continue to have trouble reconciling the oil industry being “demonized”, and the science behind the catastrophe that is climate change. Like most of your subscribers, I need fuel for my tractors and tools, but I also own an electric commuter car, two electric ATV’s, and have deposits on three electric pickup trucks. I think we Americans can do it all if we just quit fussin’ and fightin’. Peace out from Oregon.

[@jeremybruce654]

Electric isn’t the answer either in my opinion. Expensive and batteries last for so long with limited supplies of those mainly with China having rights on those.

[@jeremybruce654]

I am glad you have the electric $$. I sure don’t…

[@mikespain8655]

When you plug in your electric vehicles to charge them, remember that the energy being produced is from an evil coal burning power plant.

[@jhill6033]

I work for GM and I want the new electric Hummer we are making and its crazy how even GM employees are upset that the company is going all in on EV. I dont think its an attack on the oil and gas industry, it just makes sense to open up this option.

[@captinbeyond]

You can go back 25 years even before Al Gore was the speaker for the climate saving movement and read where democrats acknowledged that folks will not get out of their gas guzzlers unless gas was above $5 a gallon. So this has been planned for decades and is now coming to fruition. Demonizing the oil industry ? How about all the states ( all blue states BTW) that are suing oil companies now for climate change? How about Biden raising the carbon tax on fossil fuel ? How about Gov Newsome mandating no more drilling in the state after 2024? You had every democrat candidate on the stage in their last primary claim how each of them would be going after big oil. I have trouble reconciling one party pretending to be for " the little man" when all their actions hurt the poor and middle class workers.

[@josephking7674]

I think Mike is an honest guy, and I think he made some pretty good points. However; he left out the fact that when a Government (USA) prints 6 trillion dollars in a 2 year period, we are going to experience dramatic price increases straight across the board.

[@ElRalphing]

I feel like the thing was, we printed so much money in the past and we got away with it, they figured they could turn the tap up even faster. But apparently the printing has finally caught up with us,

[@hvyduty1220]

Well said and also you have a party that is telling the world how we are going be using "green energy" which is a joke.

[@jamessefton3680]

Yes because when you print that much money you might as well print it on toilet paper

[@eb8967]

On January 19th, 2021 fuel was $1.68 a gallon in our area, you know what happened after that.

[@johnnymccracken5701]

I like your video and you're right to some degree. I worked in the oil patch for about 35 years and what I found is that the government thinks they know everything about oil and gas . The sad part is they don't know squat and the advisors they hire know even less. Never the less, they control with regulations, taxes, permits and stupid laws that only hurt the everyday tax payer. My point is this, let the entrepreneurs and investors do what they do best and that is to produce oil and gas for American citizens, and if thier so he'll bent on stopping oil and gas production, they need to quit flying all over the world in thier private jets. When they get a " green jet" I'll get a green auto. Most politicians are in politics for the money, where else can you draw 170,000 a year with all expenses paid and lobbiest falling over each other to give you money for your vote or endorsement. Not to mention the retirement plans. I'm not sorry for my opinion, I think we still have freedom of speech. Thanks for your indulgence.

[@southwind3]

johnny mccracken Amen, you nailed it!

[@ronaldsebastian2466]

Mike, very good job. Would like to add, that the abundant supply of energy in America of wood, coal, and oil is one of the major reasons that made the USA Great.

[@andrewslagle1974]

but we cant use them cause joe and co said so!

[@wlewey]

Fantastic video. Love the fact based approach. Investing is the real problem in my opinion. People don't want to invest in gas, causing gas and oil companies to do everything in their power to get returns to those loyal to them. Multiple CEO's have come out saying they will not drill more and will continue to provide returns to their investors. Its become such a tightrope walk for investors that they are strangling the American public over the gas pump. The answer to this as well as energy independence is to increase government funded research into all sectors of energy. Open up more opportunity for renewables while providing incentives to oil companies to keep the pumps running. Once we have a sustainable renewable base we at best case are energy independent in all facets, worst case have a more well rounded infrastructure with less dependence on foreign oil.

[@wf2v]

Brandon is the main cause of the high prices!

[@johndeere8594]

It’s odd how we never have to worry about all of this until Democrats get into power.Just like the man said. It’s going to be a process getting off fossil fuels. It’s not going to be over night. Bankrupting the country isn’t going to speed things up at all. I wish someone would explain this to Brandon. He’s doing all of this on purpose.

[@nicholascb64]

Ignorance is bliss.

[@andrewpinson1268]

I also spent over thirty years in the oil field and went through many of those shut downs. A better synopsis of oil prices that most politicians put out. OPEC also plays a significant role in gas prices. As you mentioned financing, stock markets and other things come into account also. Financers get doubly nervous if their is a suspicion that the government is forcing us to get rid of gas vehicles etc. and there is plenty of evidence that the environmentalist and this government are doing just that. I have heard from many friends still in the oil fields that many agencies are slow rolling the various requirements - leases, permits etc. - in getting drilling started. There is also a larger than normal number of law suits against many trying to drill for various reasons.

[@KadiddlehopperClem]

Oil companies began letting leases expire over 3 years ago. It was the small producers that were over supplying the market. Once they went belly up the big boys cherry picked leases. The oil companies do not need lower gas prices. They are making record profits.

[@andrewpinson1268]

@@KadiddlehopperClem Good left talking points, but nope not true. And yes I know. Over thirty years in the oil business and have plenty of connections. So that want work on me.

[@captinbeyond]

During the last bottom out of oil prices that he touched on here many oil companies were already looking to get out of the business and invest into other things. When the Pandemic hit, a number of refineries shut down or sold off. Now folks expect those same oil companies that are being told they will be phased out of existence in a few years to just go invest billions into expanding and exploring just to drive down the price of gas. It's just too easy for dim-wits to blame "greedy oil" companies when they are totally detached from reality.

[@andrewpinson1268]

@@captinbeyond We have heard all the comments from Joe Biden and his administration as to what will happen to the oil companies WITH their blessings. Joe and his administration DID NOT just wake up on day one of inauguration and decide to do this. Many powerful people and organizations had the destruction of oil and gas in mind already years before Joe took over. But a major nail on the coffin was what Biden said and did giving the green light for a lot of investments into oil and gas to be wary. Drilling is very expensive and the thousands of service companies that support the drilling paid heed and looked for other means of making money also. Joe and the democrats can NOT hide from what the did to the US.

[@captinbeyond]

I am old enough to remember the gas crisis in the 70's when Saudi Arabi controlled the flow of oil and set the price. We as a nation vowed to become independent by what ever means we had to And now Biden is going over there to beg them to release more oil. What a shameful display and how far we've fallen. And to see this amount of hate and rhetoric heaped onto the very industry that has driven our nation for over a 100 years, just incredible to see folks so ignorant about a subject.

[@mr-vet]

OPEC cut production to increase prices/keep prices high. US oil companies haven’t been building new refineries/investing in infrastructure. And, we consume too much…. I just returned from a two-week trip to Ecuador visiting my wife’s family. Fuel prices per gallon were as follows: $1.90 for diesel, $2.55 for regular, $4.35 for premium/super. Ecuador refines their own oil; thus the low price for diesel and regular gas. They currently import higher octane gas; which explains the higher price. They are about to bring their refining capacity for above 90 octane fuel online, so their premium gas price will come down significantly, then.

[@jcl1201]

The majority of the people who drive electric vehicles don’t realize that it takes a lot of coal to run them.. to add to it plastic is a petroleum base product so take a gander around and take in how much it affects your life..

[@andrewwensel6294]

As an over the road truck driver I'm simply out of breath at this point from talking about it.

[@abrahamsoto2297]

First of all I can tell you when a barrel of oil was $30 and where I lived that gas was as low as $.98 a gallon second I am a truck driver I still remember the days where the national average for diesel was under $2.50 a gallon. third oil prices are determine by future production and output so yes that pipeline was from Canada down to the US, Designed for export flooding the market with cheap abundant oil keeping the cost of everything cheap. When Joe Biden shut the pipeline down within 3 to 4 months the price of oil rolls to $80 a gallon and yes when Russia invaded Ukraine absolutely the price of oil went up to act like this can’t be fixed is a lie just re-open the pipeline and bring the price of gas in diesel back down, keep in mind that pipeline was shut down 30 days before it was fully functioning and up and running to export oil to flood that market with cheap available oil to the rest of the world, re-open the pipeline The Democrats closed

[@KC-ne4hv]

The pipeline is open. Just stopped the xl portion of keystone bring Canadian sandbar down to Mexico

[@jakemf1]

The pipeline is open- wake up

[@donaldelder7565]

Mike, I don't comment on videos often, but today I would like to thank you for taking a stab at this one. I own a tractor/backhoe service. Regardless of the reason behind the fuel prices, they are cutting the throat of small businesses. All my trucks and equipment run on diesel fuel and paying double what I did a short time ago for fuel has increased my cost to the point that customers can not absorb the increase. Business is dropping off enough that it hurts. Maybe for future videos you could talk about ways the average consumer or even small business owners can help offset s9me of these cost. I know you recommend stocking up on firewood, what else do you think can help?

[@OutdoorsWithTheMorgans]

Sorry to hear how its impacting your business. I appreciate your comment. I would recommend being prepared in all basic essentials, canned food and more to be ahead of any shortages.

[@andrewslagle1974]

I am in the same business and in the same boat as you are .News flash i belong to a business mans group we are all in dire straights !some have closed shop due to this crap thats going on when you print and give massive amounts of money away you get inflation and the policies of the current administration is driving this mess!

[@ky.gambler5281]

@@andrewslagle1974 exactly, policies drive prices.. These politicians know exactly what they are doing and it's not gonna end well. I'm 74 and this nation never dreamed of shutting down for something like Covid, Why did they push a vax so hard that didn't stop nothing?

[@buddyreed2623]

Hi Mike. In 1978 I paid $0.509 per gallon for premium gasoline. I do not think the process has changed much for extracting what we do out of a barrel of oil. We were energy independent, but a decision to close the pipeline was made and the price of gas started to rise. Higher prices for diesel fuel will help to raise the prices of items in a trailer for delivery but not 50 - 100% per each individual item, but it has. Whatever the major changes that occurred is, in my opinion, what has caused the prices to go up. Sure, there are people or companies to blame but those actual entities may never be publicly named although most know that shutting down a pipeline that made this country energy independent cannot be a good thing. Have good days!

[@jimandskittum]

Shell made $9.1bn in profit from January to March, almost three times what it made in the same period last year, while Exxon raked in $8.8bn, also a near threefold increase on 2021.

[@KevinSmith-bg9tt]

You are 100% correct, sir. I cannot agree more. Funny how triple profits for the oil companies was never mentioned in this video, only comments about how corporate greed doesn't explain it. SURE IT DOES. 3x the profits tells me that these ahole companies are GREEDY. Always have been. They know Americans and others are suffering and they could lower their prices to make the exact profits they were earning last year but they won't because there is no way at this time to stop them from charging what they want to charge. It's more complicated than that, and a lot has to do with markets, Ukraine, pandemic, but there is no doubt we are paying a lot more for gas and oil because of these greedy oil companies. Thanks for your comments.

[@jimandskittum]

@@KevinSmith-bg9tt He hid my original comment. I hate that he implies that he is impartial but won't let the chips fall where they may. Deception by deletion.

[@Mikepace001]

Spot on Mike! Been in the energy business for 20+ years, you’re explanation was excellent

[@coleeddy9003]

Great video!! I really like the way you covered it from many perspectives, especially quantifying just how much we use every day. While the oil companies can certainly make a lot of profit they also have tremendous expenses and most do not consider that aspect. You are absolutely correct in saying that there is no way we can just stop using oil and immediately move into electric vehicles. Im not even sure that our electric grid could handle the added load of charging all the vehicles that we currently use on a daily basis. And for the environmentalist out there, the vast majority of electricity that is produced in America is produced with coal, and that is a pretty big carbon footprint. If they really want to go big with electricity, nuclear would make the most sense as solar and wind have clearly proven they cannot handle our current demand. Energy, which is truly the lifeblood of most nations, is and has always been a political football, used and abused for the politicians personal gain. On another note I am really looking forward to whatever your plan is. You are clearly preparing for something big And I am excited for you and your family for whatever it is. May the Lord guide and protect you in the coming days.

[@eb8967]

On January 19th, 2021 fuel was $1.68 a gallon in our area.

[@merleelsing2211]

Thanks for a great video Mike, I would like to add a tip that people might find useful is fill your tank when your at 1/2 full it just seems like your spending less money at the pump!

[@crand20033]

Not if it goes down to half full every day.

[@merleelsing2211]

@@srjwari I only fill my truck twice a week so I keep it full when I expect prices to rise, Makes perfect sense to me!

[@jtbear70]

Enjoyed your commentary, some common sense and logic.

[@chrisbrantmeyer5593]

Some perspective: over the past 10 or 15 years we as a driving nation moved away from efficiency to inefficiency when we told the Big 3 we wanted trucks and SUV’s instead of higher MPG sedans and mid size cars. The average F150 gets around 20 miles per gallon and has a gas tank that holds 23 to 36 gallons. Yes, the cost of gas SUCKS but we have ourselves partially to blame (regarding the cost to fill up and the frequency) because of our choice to drive a big vehicle.

[@williamrizzo1285]

Well done Mike! I would like to add that only 40% of a barrel of oil is used for fuel, 60% is used for other products like plastic for example.

[@davidgolightly3416]

You did a pretty go job of discussing the issues. I worked in the oil, gas, and chemical industries for 30 years. Because of the regulations to convert to renewable energy, many energy companies invested in those industries instead of drilling for oil when price of oil was down. Also the people who blame enery companies for not drilling on leases, are also the ones who provent companies from drilling on those leases.

[@jombyalters520]

I recall the facts differently with domestic drilling. OPEC was being threatened but the domestic oil production had a weak point. Oil had to be x dollars to make a profit. It was more costly to produce/ectract than Overseas. OPEC decided let's increase production and flood the market. They flooded the market as long as they had to in order to collapse US domestic production. Pretty smart of them. Relatively short term pain for longer term gain.

[@unclecowboy2003]

From I see your right with them flooding the market to break companies here in the us also they have stopped our companies from exploring our oil for future extraction we also had a reserve of oil my son has been working in oil for almost twenty years now if we use our own oil and gas instead of exporting the limited amount they are letting them pump now and stop selling our refineries to the out country big companies the people in on our government are responsible for the mess we are in we need a complete vote out and term limits now just for starters we need some laws passed that protect our country instead they sell us out and become billionaire and trillionaies it’s gone on for many decades and we need to stop and get invested in our own country and people

[@joshloughner847]

It's great to hear you voice your thoughts on these crazy fuel prices, Mike. I started in the oilfield about 12 years ago working for a Frac company and now am on the drilling side delivering directional tools to rigs in the tri-state area. Couldn't agree with you more on the subject👍

[@mikerowan1132]

Then you know he left out a lot and never did tell us the reasons for high gas prices, I never worked in the hydro-carbon industry, but know more about drilling and fracking then what he said in this video.

[@friendeleven5123]

@@mikerowan1132 the shale boom was nothing more than a ponzi scheme.. Get cheap money, drill a well, drill another well as fast as you can to pay for the loan you took out to drill the first well.. Meanwhile, every other Tom Dick and Harry is doing the same thing, flooding the market.. Then add Saudi and Russia driving the price down even further and you have a massive glut of oil.. .And people think it was because of Trumps great leadership... We had cheap oil because of cheap money and greed...

[@SegoMan]

@@mikerowan1132 “Control oil and you control nations” - “Control food and you control the people.” _Henry Kissinger

[@petermavus4131]

Never thought I’d see the day Mike Morgan being a “talking head” on energy.

[@dandaniels4558]

He was in the business he knows alot more and the importance of fracking today. Hes totally right that going all electric and ending oil and all.foosil fuels can't happen quickly.its a long tedious process but you can't tell the green new deal morons that.they want it yesterday and want everyone to by a Tesla the day before yesterday. You can't fix stupid it runs Supreme in Washington actually both Washington's

[@petermavus4131]

@@dandaniels4558 We were energy independent.The “big guy” with the swipe of his pen put 11000 people out of work and began this mess.

[@catwoman3285]

Not a talking head, just common sense and facts

[@harrylieberman2813]

Here are just some facts, not to discredit in any way your expertise. You have many valid points, but, truth be told-Last year, 28 of the top oil and gas CEOs raked in $394 million in compensation-a nearly $45 million increase since 2020. Shell's profits were 280 percent higher than in the first quarter of 2021. Shell made $19.3 billion in total profits in 2021. Shell bought back $8.5 billion in stocks for wealthy shareholders. May 17, 2022 This is after all employees paid, all costs for running the company, just profit for a company, monies to set idle in a bank while the nation is starving in more ways then just gas. We all know that. And do you realize when we talk Billions unless you know someone, most people have no idea what a billion is! $19 Billion in PROFITS. And bought back $8.5 in their own stock. If any of you want to know what kind of a scam is buying back your own stock, just think of it as having the total best inside trading knowledge there is. This is a great video bringing some facts for discussion. I was just bring up one little fact of all the facts that make up this price gouging. No political view as I have none!

[@jamesnelson1756]

You seem pretty confident talking about this problem I have had a different experience. A few years ago, out of the blue, I inherited a share of an oil well on my deceased grandmother's land in ND. An oil company wanted to drill on property she once owned and she had retained mineral rights when she sold it 65 years ago. After a lengthy period of legal issues, permits and actual drilling, the well began to produce revenue. My share was about $300 a month, not much, but better than nothing. When Biden cut off the pipelines, (PLURAL) my revenue share decreased to just $40 a quarter. The oil company pumps just 1 or 2 days a quarter. They reduced pumping, not because there was no market, because without pipelines, trucks and trains haven't the capacity to move oil from the well to the refineries. I'm sure that was not a big reason for the unprecedented price rise. It did account for more than how you dismissed it as part of the reason. How much more of your discussion are you equally wrong on?.

[@ironwoodworkman4917]

I hear ya, But all he was saying is that the Keystone Pipeline is a small part of the North America oil system. This is a death by a thousand cuts. AKA ( Oil shut down )

[@dgm5186]

What pipelines did he cut off that were active in transporting oil?

[@Dbb27]

The pipeline is still in operation. Biden shut down a new build that would carry tar sands out of our port and wouldn’t affect our supply. Most of it is up and running. Companies have cut back for various reasons. Some are making large profits with little costs and without risk are making lots of profits. His discussion is spot on.

[@markweber4854]

You freakin' right-wing dimwits just can't help yourselves! Newsflash: Everything bad IS NOT Biden's fault... as much as FUX Noise would have you believe!