Archive for oil shock

U.S. highway fund crushed by cutback in driving

Posted in Uncategorized with tags , , , , , , , , , on September 5, 2008 by highboldtage

U.S. highway fund crushed by cutback in driving

As drivers cut back on gas, The Department of Transportation says its Highway Trust Fund will be depleted and needs an $8 billion emergency infusion.

NEW YORK ( — An unprecedented decline in driving will deplete the federal Highway Trust Fund by the end of September prompting the government to ask Congress for an $8 billion emergency infusion Friday.

Gasoline sales are crucial to maintaining the nation’s highway infrastructure. About 90% of the fund’s total revenues comes from taxes on motor fuels, according to a July report from the Congressional Budget Office.

Without the additional money, the Department of Transportation will not be able to fully reimburse states for their highway investments. Already in September, department officials are projecting getting $4.4 billion in state requests but collecting only $2.7 billion in revenues.


How Will Drilling Help If Refineries Are Cutting Back?

Posted in Uncategorized with tags , , , , , , , , , on August 13, 2008 by highboldtage

Oil Rises $2.99 on Bigger-Than-Expected Gasoline Supply Decline

By Mark Shenk

Aug. 13 (Bloomberg) — Crude oil futures rose more than $2 a barrel after a U.S. Energy Department report showed a bigger- than-forecast decline in inventories of gasoline as refiners shut units and imports fell.

Gasoline supplies dropped 6.39 million barrels to 202.8 million barrels last week, the biggest decline since October 2002 when Hurricane Lili and Tropical Storm Isidore disrupted output along the Gulf of Mexico. Stockpiles were forecast to decrease 2.15 million barrels, according to a Bloomberg News survey.

“Refiners are cutting runs and imports plunged because demand is so weak,” said Michael Lynch, president of Strategic Energy & Economic Research in Winchester, Massachusetts. “Refiners weren’t making money so it made sense to shut units.”

OIL SHOCK! Interactive Oil Depletion Map

Posted in Uncategorized with tags , , , , , , , , , , , , , on May 29, 2008 by highboldtage

OIL SHOCK! Interactive Oil Depletion Map

British PM: “We are facing the third great oil shock in decades.”

Posted in Uncategorized with tags , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , on May 28, 2008 by highboldtage

World response needed to oil crisis: British PM

LONDON (AFP) — Britain on Wednesday gave the go-ahead for two new North Sea oil fields, as Prime Minister Gordon Brown warned the world faced a “great oil shock” fuelled in part by increased demand and tight supplies.

Business Secretary John Hutton said the fields some 150 kilometres (93 miles) northeast of the Shetland Islands, off northern Scotland, would peak at up to 50,000 barrels per day, with a total output of 50 million barrels.

He also outlined government plans for new oil and gas fields to be carved out of unprofitable parts of about 30 existing fields off Britain’s coast, which could see 20,000 barrels a day added to daily production.

The announcement came as Brown and his finance minister Alistair Darling met heads of the Oil and Gas UK industry body in northeast Scotland to push for greater output from Britain’s North Sea fields.

Afterwards, Brown said: “I met the oil producers today because we are facing the third great oil shock in decades.”