Oil drop will ease our pump pain but hurt Alberta

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Oil drop will ease our pump pain but hurt Alberta Saturday, October 11, 2008
The Chronicle Herald -- CALGARY — Shrivelling oil prices will continue to knock down the price of fuel, while the oilpatch braces for rocky times as profit margins narrow and credit becomes tougher to come by. Crude oil ended Friday US$8.89 lower at $77.70 a barrel on the New York Mercantile Exchange, its lowest settlement price since Sept. 10, 2007, and a staggering drop from July’s all-time high of US$147. Since crude oil represents a big chunk of the cost of producing gasoline, the lower prices will in time filter down to the retail level — although other factors such as supply, demand and competition also sway the pump price. Some stations in suburban Ottawa were posting prices below 97 cents per litre Friday, though the Canadian average hovered around C$1.15 per litre, according to price-tracking website Gasbuddy.com. That’s down from the $1.30 level a month ago, when refineries along the U.S. Gulf Coast were recovering from hurricanes Gustav and Ike.
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JT Moderator	Message Posted: 10/11/2008 8:34:04 AM	Ignore JT Report Abuse
	Saturday, October 11, 2008 The Chronicle Herald -- CALGARY — Shrivelling oil prices will continue to knock down the price of fuel, while the oilpatch braces for rocky times as profit margins narrow and credit becomes tougher to come by. Crude oil ended Friday US$8.89 lower at $77.70 a barrel on the New York Mercantile Exchange, its lowest settlement price since Sept. 10, 2007, and a staggering drop from July’s all-time high of US$147. Since crude oil represents a big chunk of the cost of producing gasoline, the lower prices will in time filter down to the retail level — although other factors such as supply, demand and competition also sway the pump price. Some stations in suburban Ottawa were posting prices below 97 cents per litre Friday, though the Canadian average hovered around C$1.15 per litre, according to price-tracking website Gasbuddy.com. That’s down from the $1.30 level a month ago, when refineries along the U.S. Gulf Coast were recovering from hurricanes Gustav and Ike. Visit The Chronicle Herald for full article

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eddyp94 All-Star Author Ontario Posts:916 Points:229,330 Joined:Mar 2008	Message Posted: 10/12/2008 7:39:37 AM	Ignore eddyp94 Report Abuse
	we don't trust our government anymore...
brutus Champion Author Alberta Posts:1,772 Points:940,605 Joined:Feb 2003	Message Posted: 10/12/2008 7:38:45 AM	Ignore brutus Report Abuse
	Alberta might have to dip into their $17 Billion dollar Heritage Trust fund.
ilderton Sophomore Author London Posts:186 Points:115,360 Joined:Jul 2008	Message Posted: 10/12/2008 7:32:14 AM	Ignore ilderton Report Abuse
	gas hovering around the $1 mark in ontario, federal election on tues coincidence?
robertsss All-Star Author Hamilton Posts:761 Points:92,705 Joined:Jun 2008	Message Posted: 10/12/2008 7:19:58 AM	Ignore robertsss Report Abuse
	Someone said gas would be $200 a barrel in 5 years. Rubbish I say. By that time we will have alternative sources and more drilling will be done not to mention hybrid vehicles.
Z34 Champion Author Toronto Posts:7,159 Points:1,077,225 Joined:Sep 2005	Message Posted: 10/12/2008 7:09:59 AM	Ignore Z34 Report Abuse
	Cheaper gas from cheaper oil, is only a good thing, if you have an income from a JOB. What the oil speculators are saying, is that as the economy winds down, there will be less demand for fuel. By that time there will also be LESS DEMAND FOR EMPLOYEES. I don't know how cheap gas was during the great depression, but I do know it was too expensive for many people. Thus the invention of the "Bennet Buggie", where cars were towed by horses. I guess it was cheaper to feed the horse than to buy gasoline and in a pinch you could eat the horse. Try drinking gasoline. Why is that in a crisis, Canadians turn on each other like a pack of starving wolves, while in the USA a crisis generates a greater sense national unity. Are Canucks the world's greatest whiners? Vote on that, October 14-th.
plumb37 Champion Author Quebec Posts:2,400 Points:101,130 Joined:Jun 2008	Message Posted: 10/12/2008 6:41:51 AM	Ignore plumb37 Report Abuse
	No, why? I wouldn't kid anyone from Toronto, they may send me some bad meat. . [Edited by: plumb37 at 10/12/2008 8:43:18 AM EST]
mahenv7 Champion Author Toronto Posts:1,219 Points:246,165 Joined:Oct 2004	Message Posted: 10/12/2008 6:41:14 AM	Ignore mahenv7 Report Abuse
	Are u kidding me with this news
jlkirk Champion Author Calgary Posts:2,146 Points:506,475 Joined:May 2006	Message Posted: 10/12/2008 6:33:14 AM	Ignore jlkirk Report Abuse
	I live in Alberta , and this is fine with me a pull back and a spank to all those in the oil industry along with the investors in real estate is more than needed. Its funny over the past few years those making the big bucks thought they have a right on almost everything and love telling those that just make normal wages how to do things. Am I bitter you BET! Now with the rant over , I do believe this is just a correction that is overdue . Alberta will come out with a few dings and a headache but the reality is until people no longer burn gas in cars or heat there houses with fossil fuels OIL will continue to be KING! The world has not changed overnight so we will once again see the price move ahead on everything ! I bet with in 3 to 5 years oil will be around 200 a barrel . So if you have extra cash its a great time to be buying Oil stocks! as they are at a 50% discount!
plumb37 Champion Author Quebec Posts:2,400 Points:101,130 Joined:Jun 2008	Message Posted: 10/12/2008 6:22:30 AM	Ignore plumb37 Report Abuse
	Let them eat their "Heritage Fund". That should keep them happy for awhile. ,
rockinrog All-Star Author Ontario Posts:853 Points:683,630 Joined:May 2006	Message Posted: 10/12/2008 6:08:52 AM	Ignore rockinrog Report Abuse
	we all needed this correction....maybe the corporate greed bastards will wake up....doubt it though.
gas1prospector Champion Author Toronto Posts:2,010 Points:430,385 Joined:Aug 2007	Message Posted: 10/12/2008 5:07:29 AM	Ignore gas1prospector Report Abuse
	All of us in Canada would be better off if the Poliicians got off their duffs and stopped relying on commodities and the Automakers for jobs in this country and started searching out Industries that we can develop here. Too many of our resources are shipped elsewhere, turned into product that is then shipped back for sale here. We have to develop a better plan. We also have to end the Corporate Welfare and use that money for start-up Canadian companies. This country's economy shouldn't have to rely on what happens on World markets, but on innovative and quality procts that we can offer the world. [Edited by: gas1prospector at 10/12/2008 7:08:20 AM EST]
Dancin Champion Author Toronto Posts:1,671 Points:1,212,505 Joined:Mar 2004	Message Posted: 10/12/2008 4:58:19 AM	Ignore Dancin Report Abuse
	Alta. is overheated anyway, and a pause might be a good thing to allow non-oilfield activity a chance to catch up.
CoffeeTrader Veteran Author Victoria Posts:377 Points:69,650 Joined:Sep 2008	Message Posted: 10/12/2008 4:11:42 AM	Ignore CoffeeTrader Report Abuse
	Here Here...blkdth.
canit Sophomore Author Vancouver Posts:188 Points:79,170 Joined:Aug 2008	Message Posted: 10/12/2008 12:57:24 AM	Ignore canit Report Abuse
	Sorry for alberta but it sure is nice to pay less for gas
blkdth Rookie Author Edmonton Posts:28 Points:6,085 Joined:Oct 2008	Message Posted: 10/11/2008 11:44:40 PM	Ignore blkdth Report Abuse
	thank you fastfreddy38
fastfreddy38 All-Star Author Ontario Posts:860 Points:911,850 Joined:Aug 2005	Message Posted: 10/11/2008 11:43:17 PM	Ignore fastfreddy38 Report Abuse
	Well said!
blkdth Rookie Author Edmonton Posts:28 Points:6,085 Joined:Oct 2008	Message Posted: 10/11/2008 10:57:15 PM	Ignore blkdth Report Abuse
	its funny that b/c Alberta is debt free like rayman71 stated and we are having a surplus doesn't mean we did not work hard for it. we may being riding the oil train right now, but we got our debt free status before the oil price really jumped up!we work to get that debt free status!!we dropped the amount of $ people on social services get so that it was not worth getting it and forced many to go to work!! and we let our services degrade to get this way!we suffered as a people so that our future for our kids might be better.just cause the rest of Canada is not willing to bite the bullet to help themselves out for a better future don't blame us for doing it ourselves. word of advice for Ontario, we only pay a average of 1500/month for a family of 5 on S/S after all factors are reviewed. while Ontario pays nearly 5000/month for the same # of people there. i know this b/c of my sister in-law(2nd gen on it) she said she makes more on S/S than working why get off it! cut back there and make hard choices and you could get debt free to!!
plumb37 Champion Author Quebec Posts:2,400 Points:101,130 Joined:Jun 2008	Message Posted: 10/11/2008 9:04:41 PM	Ignore plumb37 Report Abuse
	TECH500 said ...... "I think Quebec should get there oil from OPEC !!!" Where do you think we get it from. We sure don't get it from Alberta. .
plumb37 Champion Author Quebec Posts:2,400 Points:101,130 Joined:Jun 2008	Message Posted: 10/11/2008 9:00:45 PM	Ignore plumb37 Report Abuse
	Tracer2008 ...... one doesn't have to live in Alberta to know what is going on there. Many of us have family and friends that live in Alberta, I am one of them. We do talk to them. That was a ridiculous statement. Take it back. .
Tracer2008 Sophomore Author Alberta Posts:110 Points:21,000 Joined:Sep 2008	Message Posted: 10/11/2008 8:11:18 PM	Ignore Tracer2008 Report Abuse
	I like how everyone here thinks Alberta had it so good when they don't even live here... Service was the $hts, wages were high because there was no one to work, and when you found someone to work there was a 50% chance he wasn't as good as he could have been because he didn't care Money is nice but its not the only important thing... Plus Jorja13 is right you guys in Eastern Canada constantly paid less for your fuel Bull$hit we had it 'so good' [Edited by: Tracer2008 at 10/11/2008 10:11:58 PM EST]*
dieselfreak Champion Author Toronto Posts:1,111 Points:722,650 Joined:Jul 2005	Message Posted: 10/11/2008 7:58:13 PM	Ignore dieselfreak Report Abuse
	Rocky times my butt. They are still getting a good price for what they have in the ground, and will merely pull back their exploration and new well drilling, until the price comes back. Nothing wrong with that, its just the way the business works.
choppercrv Champion Author Vancouver Posts:1,090 Points:796,925 Joined:Aug 2003	Message Posted: 10/11/2008 7:27:46 PM	Ignore choppercrv Report Abuse
	ok
jorja13 Veteran Author British Columbia Posts:319 Points:17,820 Joined:Aug 2008	Message Posted: 10/11/2008 6:36:53 PM	Ignore jorja13 Report Abuse
	caddilac, and coyote, you are both right. Ordinary Albertans paid more at the pump than some other provinces, and don't appear to have gotten much benefit from the huge oil profits. We always joke when we go to visit family in Alberta that their highways are in worse shape than ours, and we have more mountains! I know from family comments that a whole lot more money needs to be put into hospitals too.
Grismer All-Star Author Ontario Posts:567 Points:145,575 Joined:Apr 2008	Message Posted: 10/11/2008 6:20:07 PM	Ignore Grismer Report Abuse
	Keep conserving and keep demand as low as possible.
forty-niner Champion Author Winnipeg Posts:15,936 Points:822,570 Joined:Jul 2006	Message Posted: 10/11/2008 5:18:15 PM	Ignore forty-niner Report Abuse
	Right with all the money they all ready got from us-I don't think so.
caddilac Champion Author Ontario Posts:5,506 Points:520,835 Joined:Apr 2007	Message Posted: 10/11/2008 5:04:24 PM	Ignore caddilac Report Abuse
	I don't know why some think that Alberta had a good run. It was the oil companies in Alberta that had a good run, not the province or the people of Alberta. The people of Alberta got taken at the pumps just like the rest of us. [Edited by: caddilac at 10/11/2008 7:06:01 PM EST]
slarttybartfast All-Star Author Hamilton Posts:664 Points:149,920 Joined:Jan 2007	Message Posted: 10/11/2008 4:42:43 PM	Ignore slarttybartfast Report Abuse
	Alberta had a good run.... but its time to wake up and smell the coffee instead of the crude....
TECH500 All-Star Author Alberta Posts:970 Points:204,635 Joined:Apr 2008	Message Posted: 10/11/2008 4:12:37 PM	Ignore TECH500 Report Abuse
	I think Quebec should get there oil from OPEC !!!
g0flamesg0 Sophomore Author Alberta Posts:213 Points:183,210 Joined:Jun 2007	Message Posted: 10/11/2008 3:59:05 PM	Ignore g0flamesg0 Report Abuse
	Remember, as oil goes down, the Canadian dollar goes down which means a better profit for oil companies. $70/barrel is what it should be at for a good balance between profit and not making any money.
RobRD Champion Author Alberta Posts:1,365 Points:410,635 Joined:Jul 2007	Message Posted: 10/11/2008 3:36:49 PM	Ignore RobRD Report Abuse
	This will actually be good for the Alberta economy as the provincial government decided to abdicate from the responibilities and let the economy overheat to point where most construction budgets went over budget by 50 to 100% making many projects costs unsustainable.
fastfreddy38 All-Star Author Ontario Posts:860 Points:911,850 Joined:Aug 2005	Message Posted: 10/11/2008 3:27:27 PM	Ignore fastfreddy38 Report Abuse
	Right on!
star_deceiver All-Star Author British Columbia Posts:650 Points:131,805 Joined:Jun 2008	Message Posted: 10/11/2008 2:20:41 PM	Ignore star_deceiver Report Abuse
	keep on droppin
balljars Veteran Author Michigan Posts:460 Points:99,300 Joined:Aug 2008	Message Posted: 10/11/2008 1:51:20 PM	Ignore balljars Report Abuse
	You guys keep pushing it down and it will help us also
coyoteAB All-Star Author Alberta Posts:513 Points:25,055 Joined:Jul 2008	Message Posted: 10/11/2008 1:15:53 PM	Ignore coyoteAB Report Abuse
	What good did it do when he gave the Oil Companies 4 Billion dollars, instead of to the peoples needs, such as schools. Oil at 77.70 US isn't so bad for the Oil company--- that's 91.00 plus Canadian. Don't feel sorry for big oil, they certainly didn't flinch at 147.00 per barrel.
no_tyme Rookie Author Edmonton Posts:10 Points:23,365 Joined:Sep 2008	Message Posted: 10/11/2008 1:09:49 PM	Ignore no_tyme Report Abuse
	Friends of mine in London, Ontario are getting their gas for 95 cents a litre while we still pay over a dollar in Edmonton
slimpaul Rookie Author Alberta Posts:68 Points:85,335 Joined:Apr 2008	Message Posted: 10/11/2008 12:50:43 PM	Ignore slimpaul Report Abuse
	That's for not for spending on schools, health care (senior care and hostpials/clinics), roads, or even put some of it into the 'Heritage Fund', Eddie (Alberta Premier).
gasuper Veteran Author Calgary Posts:373 Points:88,140 Joined:Jul 2008	Message Posted: 10/11/2008 12:48:32 PM	Ignore gasuper Report Abuse
	just more confusion....
utley Veteran Author Edmonton Posts:387 Points:533,920 Joined:Aug 2005	Message Posted: 10/11/2008 11:39:47 AM	Ignore utley Report Abuse
	Let's not worry too much about Alberta. It can weather a little drop in the price of its precious commodity for a little while. It's time for this superheated economy to cool down a bit and for people to stop living in a bubble.
plumb37 Champion Author Quebec Posts:2,400 Points:101,130 Joined:Jun 2008	Message Posted: 10/11/2008 11:20:02 AM	Ignore plumb37 Report Abuse
	I know Victoria. Victoria is a friend of mine. You are no Victoria. [Edited by: plumb37 at 10/11/2008 1:22:12 PM EST]
2DRILL4 Champion Author Alberta Posts:6,630 Points:1,174,475 Joined:Mar 2005	Message Posted: 10/11/2008 11:03:00 AM	Ignore 2DRILL4 Report Abuse
	Where is Victoria?
jorja13 Veteran Author British Columbia Posts:319 Points:17,820 Joined:Aug 2008	Message Posted: 10/11/2008 10:53:23 AM	Ignore jorja13 Report Abuse
	Gas prices not going down fast enough, still paying 120.4 here, and I haven't seen any groceries go down yet.
BrianGriffin All-Star Author Victoria Posts:610 Points:67,850 Joined:Jun 2008	Message Posted: 10/11/2008 10:29:30 AM	Ignore BrianGriffin Report Abuse
	Where is Calgary?
bluebird1 Champion Author Toronto Posts:7,367 Points:1,501,650 Joined:May 2004	Message Posted: 10/11/2008 10:18:21 AM	Ignore bluebird1 Report Abuse
	They're in better shape than most in the country for sure. Also, who says its easing our pump pain....prices on more than just Oil need to drop before can say that. With gas in Southern Ont. at $1.072 being $4.87 / gal. Cdn compared to some areas in the US of under $3 there is no EASING. Are we so much a net gas importer that US refineries are overcharging us or is it Big Oil on our side of the border fleecing us???
plumb37 Champion Author Quebec Posts:2,400 Points:101,130 Joined:Jun 2008	Message Posted: 10/11/2008 9:19:13 AM	Ignore plumb37 Report Abuse
	I guess this means that Alberta won't be building the pipe line to the East any time in the near future. Life's a bitch!!!
plumb37 Champion Author Quebec Posts:2,400 Points:101,130 Joined:Jun 2008	Message Posted: 10/11/2008 9:15:35 AM	Ignore plumb37 Report Abuse
	So let Alberta use their "Heritage Fund".
peterzman Sophomore Author Vancouver Posts:198 Points:53,335 Joined:Aug 2006	Message Posted: 10/11/2008 9:11:11 AM	Ignore peterzman Report Abuse
	So the " blue Eyed " arabs are suffering like the rest of us
eddyp94 All-Star Author Ontario Posts:916 Points:229,330 Joined:Mar 2008	Message Posted: 10/11/2008 9:03:12 AM	Ignore eddyp94 Report Abuse
	they better get use to it,its going to get worse....
Mooseman1 Champion Author Manitoba Posts:2,052 Points:312,905 Joined:Jul 2007	Message Posted: 10/11/2008 8:56:36 AM	Ignore Mooseman1 Report Abuse
	It seems the few may suffer for the many.
mustangus Champion Author Ontario Posts:1,318 Points:354,260 Joined:Sep 2006	Message Posted: 10/11/2008 8:56:07 AM	Ignore mustangus Report Abuse
	Don't cry poor - you have to be prepared for the bad times as well as the good times. Learn to roll with the punches. We have to in the rest of Canada and the world.
Rayman71 All-Star Author Ontario Posts:520 Points:64,470 Joined:Aug 2008	Message Posted: 10/11/2008 8:50:11 AM	Ignore Rayman71 Report Abuse
	living in Onatario...I can feel the pain for Alberta...however....no debt and no a surplus won't be getting you any sympathy from Ontario's debt ridden province....enjoy the royalties why you can..Ontario would sure love to have your oil at 77 dollars per barrell.