Comments on: No Spike in Oil Price Following IEA “Third Oil Shock” Announcement http://www.dailyreckoning.com.au/iea/2008/07/02/ An independent perspective on the Australian and global investment markets Sun, 08 Nov 2009 09:28:06 -0600 http://wordpress.org/?v=2.8 hourly 1 By: Has the Oil Rally Run Its Course? http://www.dailyreckoning.com.au/iea/2008/07/02/comment-page-1/#comment-50086 Has the Oil Rally Run Its Course? Mon, 03 Nov 2008 15:03:07 +0000 http://www.dailyreckoning.com.au/?p=2902#comment-50086 [...] No Spike in Oil Price Following IEA “Third Oil Shock” Announcement addthis_url = [...] [...] No Spike in Oil Price Following IEA “Third Oil Shock” Announcement addthis_url = [...]

]]> By: Freak'd http://www.dailyreckoning.com.au/iea/2008/07/02/comment-page-1/#comment-28907 Freak'd Thu, 03 Jul 2008 03:08:55 +0000 http://www.dailyreckoning.com.au/?p=2902#comment-28907 Apparently, according to Newsweek, oil price rises are mainly a result of an dastardly plot of those rotten Iranians - and so you guys must have rocks in your head!! Hahaha. See http://www.newsweek.com/id/47632 Investing tip - check Newsweek for what not to do. Apparently, according to Newsweek, oil price rises are mainly a result of an dastardly plot of those rotten Iranians - and so you guys must have rocks in your head!! Hahaha. See http://www.newsweek.com/id/47632
Investing tip - check Newsweek for what not to do.

]]> By: Coffee Addict http://www.dailyreckoning.com.au/iea/2008/07/02/comment-page-1/#comment-28900 Coffee Addict Thu, 03 Jul 2008 01:27:27 +0000 http://www.dailyreckoning.com.au/?p=2902#comment-28900 The big story of the day is the impact that all of this is having on General Motors. While they may be solvent at the moment, there are limits to how far they can trade the company into insolvency before seeking Chapter 11 protection. If the sums don't add up Wagoner and his co-executives will need to act sooner rather than later so as to protect themselves. My thinking is that the debtors in possession would liquidate most of the business rather than refinance. Who would refinance GM (with debt of equity ) anyway when it would be a lot cheaper (and more profitable) to just buy the production line assemblies, disigns and badges off the debtors. GM Finance will be swallowed separately. I’m not a hydrocarbon extraction engineer but I have heard that a lot of the problem is "mid stream" that is a lack of refinery capacity. Existing refineries are not (I guess) up to the task of refining (available) heavy, sour, high sulphur crude into petrol, diesel and kero/avtur. Without higher oil prices is there likely to be any investment in refineries, particularly given peak oil scenarios and the certainly almost everyone is now psychologically locked onto the vision oil substitutes, economical cars and a level of energy independence. The big story of the day is the impact that all of this is having on General Motors. While they may be solvent at the moment, there are limits to how far they can trade the company into insolvency before seeking Chapter 11 protection. If the sums don't add up Wagoner and his co-executives will need to act sooner rather than later so as to protect themselves. My thinking is that the debtors in possession would liquidate most of the business rather than refinance. Who would refinance GM (with debt of equity ) anyway when it would be a lot cheaper (and more profitable) to just buy the production line assemblies, disigns and badges off the debtors. GM Finance will be swallowed separately.

I’m not a hydrocarbon extraction engineer but I have heard that a lot of the problem is "mid stream" that is a lack of refinery capacity. Existing refineries are not (I guess) up to the task of refining (available) heavy, sour, high sulphur crude into petrol, diesel and kero/avtur.

Without higher oil prices is there likely to be any investment in refineries, particularly given peak oil scenarios and the certainly almost everyone is now psychologically locked onto the vision oil substitutes, economical cars and a level of energy independence.

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