$10 to $20 per barrel of oil RISK Premium???

So even after oil has been removed from the Wells we pay extra because one of the suppliers countries may change their mind about selling it to us? This is some extremely crazy logic that the oil companies are coming up with to justify the cost of gasoline See the full article .

Do we think it might be a good idea to control our own Energy supplies instead of relying on these "Risky" countries to do it for us?

What does all this geostrategic strutting have to do with soaring prices at the gas pump? For one thing, the uncertainty created by Iran, Iraq and Venezuela has added a $10-$20 risk premium to the price of oil per barrel, according to Wall Street analysts. The politics of energy also doesn't bode well for future prices, as U.S. Secretary of Energy Sam Bodman seemed to suggest last weekend when he said Americans might have to get used to paying $3-plus per gallon for gasoline.

So the Iraq war was not about oil, except wait for it "The United States and its allies have a vital interest in the oil-rich region,"

The Bush administration may think it has one trump card in Iraq. U.S. interests obviously lie with the vast proven and potential Iraqi oil fields, said to be the world's largest. The Iraqi oil ministry has signed about 40 memorandums of understanding, many with U.S. companies, according to industry sources. Under them, the majors such as ExxonMobil, Chevron and ConocoPhillips are giving technical advice "free" to the ministry (a typical get-in-the-door strategy for the industry). Challenged at a congressional hearing in March, CENTCOM commander Gen. John Abizaid was frank in suggesting that, while oil was not the reason America went to war, it may provide a critical reason for staying. "The United States and its allies have a vital interest in the oil-rich region," Abizaid said. "Ultimately it comes down to the free flow of goods and resources on which the prosperity of our own nation and everybody else in the world depend."


About Dewayne Mikkelson

A technogeek in life and a webdeveloper by profession. Blogging is my favorite sport.
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