O.T.-Oil --where prifit goes???

After doing extensive research, I have found that with gasoline at $4.00 per gallon, Exxon makes about 33 cents per gallon and taxes amount to app. 87 cents. No wonder this country's leadership is doing very little to ease the pain. If we cut down on our consumption or with a meracle, we almost stop, where will this loss of taxes be made up? If we cut down will our taxes increase to what they are in other countries?

In Nebraska, our gas is usually higher then in the surrounding states. They say it is because of the taxes. Guess what? Our roads department was not getting enough money to make their budget, so now the state legislature has raised the gas tax again. So much for conservation making any difference-at least in Nebraska. Greg

http://www.ontariogasprices.com/tax_info.aspx
http://www.energy.gov.on.ca/index.cfm?fuseaction=oilandgas.faqs&subtopic=gaspricing
http://www.energy.ca.gov/gasoline/whats_in_barrel_oil.html

33 cents a gallon the oil companies make? So you are going to pocket $6.00 a bushel for your corn this year? or are going to have to pay input costs out of that $6.00/bushel?
That 33 cents brings the crude oil in on super tankers, refines a hazardous material, pays the corporate lawyers so the bunny huggers don't stop all fuel production, research, exploration, pays for equipment upkeep & replacment. And pays some stock returns so pension funds, your bank's investments etc are a worthwhile investment.
It's costing $3.15 a gallon for raw crude oil in the middle east. Now you go over there, purchase a truckload, bring it home, refine it, add taxes and see how much YOU have left in profit?

Then you have the per gallon gas tax at the pump. That money is supposed to pay for roads where the fuel is used instead billions go to pay for public transit in cities far far away so fewer people drive. Everybody on the cross town bus owes me a dollar.

buickanddeere---My point is not to question the profit of the oil companies, it is to question the taxes we pay!! Most people blame the exculating price of oil on the oil companies when it is my belief that we use too much in our daily lives. The supply of oil is not great enough to satisfy our thirst and supply the rest of the world. I feel that if the price of gasoline had went up in comparison to most everything else, we would be paying $6 to $8 a gallon. My question is reflected in the last part of my original post.

Some states that the reduced driving was hurting their bottom line just taxed the people more.

Geez...here I thought the oil co's announcements of their profits were at least a starting point, but now I find out they're really in bad shape, just hanging on by their fingernails???...C'mon, guys, we need the oil co's, we can't let 'em sink, let's send 'em food packages or something...
GREG: You're right: when revenue comes down, the irresistible urge is to raise taxes. Now, as to the gas tax, websites say NEB gas tax IS higher (44.6 cents per gal vs from 32.4 (WYO) to 43.4 (KS)) than adjacent states---BUT: other than the latest raise, that's been basically the same tax on $2 gas as on $4 gas, so the lions share of the raise isn't taxes...
(Website state/fed txs DON'T include local taxes, which may add several cents, but not $2-$4 differences).
Are gas prices really 12.2 cents cheaper in WYO and 8.6 cents cheaper in MO adjacent to Neb, and does anyone from Neb drive across the state line to buy gas??? With sympathy, Bud

The whole economy of the US is slowly being destroyed, but it's only profit.

If coastal and Alaskan areas are opened, it will just be the biggest sell out of our country ever, because the oil companies will buy the leases and just sit on them, not drilling, because there's more than enough oil for the next hundred years.

In NY on top of the per gallon taxes there is also sales tax (8%) calculated per dollar. The higher the price the higher the tax.

(quoted from post at 11:57:56 06/30/08) Geez...here I thought the oil co's announcements of their profits were at least a starting point, but now I find out they're really in bad shape, just hanging on by their fingernails???...C'mon, guys, we need the oil co's, we can't let 'em sink, let's send 'em food packages or something...
GREG: You're right: when revenue comes down, the irresistible urge is to raise taxes. Now, as to the gas tax, websites say NEB gas tax IS higher (44.6 cents per gal vs from 32.4 (WYO) to 43.4 (KS)) than adjacent states---BUT: other than the latest raise, that's been basically the same tax on $2 gas as on $4 gas, so the lions share of the raise isn't taxes...
(Website state/fed txs DON'T include local taxes, which may add several cents, but not $2-$4 differences).
Are gas prices really 12.2 cents cheaper in WYO and 8.6 cents cheaper in MO adjacent to Neb, and does anyone from Neb drive across the state line to buy gas??? With sympathy, Bud

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Those close to the borders are known to, they have fits about it on the news at night. NE is the 9th highest taxed state in the nation.

(quoted from post at 12:11:08 06/30/08) If coastal and Alaskan areas are opened, it will just be the biggest sell out of our country ever, because the oil companies will buy the leases and just sit on them, not drilling, because there's more than enough oil for the next hundred years.

Click to expand...

It would be a powerful lever against the middle east if they were drilled and ready to go. "if you (OPEC) don't raise production and lower the price, we will".

Remember, the big oil companies - like exxon - have BIG oil wells and some produce upwards of 200,000 barrels/day. They're making BIG bucks from the oil they produce from those wells. 200,000 bpd x $140/barrel = $28,000,000 / day for the BIG wells. That's why their profits have skyrocketed. They share the loot with the politicians through their lobby's in DC to max their profit. Sitting on leases is one way to limit production and competition, and drive up prices. They should at least pay annual lease dues for untapped leases to discourage this.

Ya, you guys are right, we should just nationalize all our oil companies. Let the government run them, then we"ll be better off. Capitalism doesn"t work. The free markets don"t work. Socialism is best.

And I"m sure none of you were crying for the oil companies back in the 80"s when oil was at $10/barrel and they weren"t making any money, now were you?

This has been coming for years and a lot of people have been ringing the bell, guess we were all to busy to notice, until now. Slowly, incrimentally, the environmentalists have been having their way, shutting off access to our domestic supplies. Can"t drill here, can"t drill there, and definately can"t build a new refinery ever. We are currently importing REFINED gasoline. 30% of what we use has been refined in another country. The governor of Kansas just single-handedly vetoed building a new refinery in western KS, would have brought 18 billion dollars to the state, and increased out ability to refine more oil. But no, she put a stop to that.

But it"s all a big conspiracy on the part of the oil companies, right?

Very respectfully, you old time nnalert need to pay attention to who is supporting these extreme environmentalists groups like GreenPeace and The Sierra Club. It"s your party. Not trying to put anyone down, just stating the facts.

Just a little perspective on where I"m coming from. I just had to close my transportation business. Been working it hard for 6 years, now I"m done in. But I"m not blaming the oil companies.

China, Mexico, and Finland are drilling new wells in the Gulf of Mexico, but we can"t. China is trying to get contracts on the shale oil in Canada, even though Canada wants to sell it to us. We have TRILLIONS of barrels in tar oil in the West, and our own shale oil in Colorado, but again, we can"t get it because left-leaning judges partial to the environmentalists have imposed injunctions stopping it. Just like the finds in Alaska and North Dakota. As soon as we find it, they stop further development. These are the facts my friends. Belly-ache all you want about how much the oil companies are making. I"m no apologist for them, and I too have a problem with how much many of their executives take home, but I don"t hear anyone upset over how much the execs at Big Medical are taking home, or the Big Hedge Fund guys, or any other billionaire executives. Don"t fall into the class envy argument. There always have and will always be richer and not so. They were around before all of this started. Put the blame squarely where it belongs, and put your votes behind those who would develop our own domestic supplies.

Best to all.

And to answer the original question, oil execs are getting 1.5% of the profits. The rest goes to investors. The unions are a huge part of that. Teachers and Teamsters get about 35%. Another 30% or so is in Mutaul Funds, (anyone invested in those?), and another 35% or so to individual investors. So it's not as if the oil execs are raping the profits and stealing an unfair share.

The nnalert here in Minnesota raised the gas taxes over SIX BILLION DOLLARS without giving us a chance to vote on it. They say it was to help fix the roads. But they made it so the fund can be raided and put in the general fund. In other words, we'll just raise the taxes and not give the taxpayers a say in the matter. This fall there will be a huge push to run every one of them tax grabbers out of office.

Capitalism does work if you have numerous producers of a product, but if you have a handful like in the gas business then it don't work because they can charge what they want without any pressure from the few other people in the same business. Just look what happened to the steel industry years ago when a couple of people controlled all the steel business. That's what antitrust laws are supposed to be for but we have a Justice Dept. that favors business and turns a blind eye to it.

Quote "there"s more than enough oil for the next hundred years". Unquote

Terribly untrue unless the entire world begins to ride only bicycles for all personal transportation.

Yeah, right. How many companies build commercial airliners? You don't think there's intense competition in price between them? Sometimes I wonder about you economic experts. Probably got your economic smarts the same place B. H. external_link did.

Of all this invested money, are you getting more than what you're paying out? I don't think so.

I suppose that would depend on how much you had invested. I have none. High fuel prices broke me and sent me out of business.

That was my point, the free markets do work. The oil execs where questioned about this last month in front of congress. They came right back with, "This is not a free market any longer". They cannot explore, develop, and bring to market as they wish to. They are restricted by the government. Get it?

We have a Justice Dept. that has been rearranged by the Bush administration. Cheney had a secret meeting with the oil executives.
I have said on this board numerous times about how oil should be regulated because it's a monopoly. Where else can you go for gas, home heating oil, diesel related to every product that you eat, breath, smoke, drink, etc?

Really. So if you were the CEO of Exxon, and oil is at $140 per barrel, and you knew where you could get a billion barrels, you wouldn't go get it? Maybe that's why you're not the CEO of Exxon.

Stop with all the conspiracy theories. They've already said they want to bring it to market, but are not allowed to becasue of acts of congress or abundant judges. You either don't understand that, or wish not to believe it for some reason.

And if you do have investments in oil, they are certainly doing better than the rest of the markets.

"said they want to bring it to market"
So you believe everything they tell you?

How was the Justice Department rearranged? And so Bush and Cheney conspired with the oil companies to cause this, is that your point? The FACT that we have made a huge find in North Dakota and a judge stopped development there has nothing to do with it, correct? And we have a billion barrels in Alaska waiting to come to market, but again, a suit brought by environmentalists and sustained by a leftist judge who imposed an injunction against bringing that oil to market has nothing to do with it, correct? Mexico, China and others can drill new wells in the Gulf but nnalert in Congress passed laws to stop us from drilling there also has nothing to do with it, correct? Answer these questions before you rant about Bush and Cheney again. I'm not defending them, but just address these issues first.

I'll make your answer for you, because I know what your argument will be. "It will be 10 years before that oil comes on line and affects the markets". WRONG. It won't take that long to come to market. AND, if we begin drilling now, the speculators in the markets that everyone is so angry with will begin bidding down futures, which will affect prices NOW. AND, OPEC would begin increasing production, just like they always have in the past when we started developing our own supplies, so prices come down and it is less profitable for us to do so. All these things would have the same affect, lower prices now. And besides, Clinton vetoed drilling in Alaska 10 years ago. That oil would be on the market now if he hadn't. Aren't you concerned about your kids? Then drill today for them tomorrow. Now, rant some more about Bush and Cheney.

No, they just spent truckloads of money to find it, but they don't want any returns for that investment.

I'm through with you. Nothing will change your mind, especially facts. It's all a conspiracy, The Man is keeping you down.

"How was the Justice Department rearranged?"
Come on, what do thing Bush was doing, it's been in the news for a couple years. Especially with his Mexican puppet and who was hired and fired.

ADMINISTRATION
Bush Blocked Justice Department Investigation
By Murray Waas, National Journal
© National Journal Group Inc.
Tuesday, July 18, 2006
Updated at 8:40 a.m. Wednesday

Attorney General Alberto Gonzales testified before the Senate Judiciary Committee today that President Bush personally halted an internal Justice Department investigation into whether Gonzales and other senior department officials acted within the law in approving and overseeing the administration's domestic surveillance program.


President Bush made the decision to deny the security clearances for the investigators, Alberto Gonzales said in his testimony before the Senate.







The investigation, by the Justice Department's Office of Professional Responsibility, was halted when lawyers who were going to conduct the investigation were denied the security clearances that would have allowed them to view classified documents related to the surveillance program. President Bush

sorry about your business. No investments here either, but you would have to have 200-300k invested to get enough return for how much fuel costs and all the related price increases.

They probably just spent fed money, tax breaks and grants.

Mexican Puppet? Classy.

Every attorney inside Justice serves at the pleasure of the President. He can remove them for any, or no reason. That's the law.

Nothing you quoted has to do with "rearranging" anything. Every president influences department functions. This is all leftist media blather. So your point that he rearranged the department was incorrect. He cannot, and hasn't.

If it had risen slowly since the 50's then we wouldn't have thought anything about paying $8-10 gallon. With it doubling in a years time people and the economy can't adjust that fast.

There are those on here who will tell you that the oil companies are making so little profit on their investment it's hard to see how they keep their doors open.

I tend to take that with a grain or two of salt; but they keep on repeating it, so it must be so. After all, nobody on here would lie about a thing like that.

Saw an ad on TV--by the oil companies--that says most of their production still comes from right here in the good ol' US of A. So they're not paying the ragheads for most of it, they're getting most of it from right here. Add in what they get from Canada and Mexico, and North American oil producers--not necessarily the retailing companies--must be making a few bucks at $140+ a barrel.

And of course none of the oil companies own any of this production, so they're losing their shorts selling it for the $4.29 a gallon I saw this morning.

God Bless the starving oil companies, and DAMN those greedy producers!

That's what I thought, some of those oil companies must own it from the graveyard to the exhaust pipe. Pure profit. I wondered why the airlines didn't own some, a business purely run on fuel and they just buy on futures.

And many thousands of people do. I don't begrudge them their money. But again, however much they have in there is doing a lot better than any stocks you could have in the market, so you would be way ahead in that respect. Making money in oil versus losing money in the stock market.

Yep. Tell your kids there's just no hope. The American dream is over, it's all lies. Forces beyond our control are running our lives. No free will, no amount of work will pay off in the long run.

One example, there are many. They change people usually at the change of an administration, not when somethings not going their way. Same point, Bush rearranged the justice dept to suit his needs.

LET'S FACE THE FACTS- our GOVERNMENT is in the oil business....and their end is 100% gross profit! At least the oil companies WORK for their share by pulling it out of the ground, futzing with it and then retailing it. The gubmint just holds its hand out. Kee-rist, even organized crime doesn't get that kind of payola!

Can you imagine the government getting 22% of every steak sold? or every chicken sammich?

I don't begrudge them their money either, but I don't want somebody's hand in my pocket telling me to give my money to your investment.

"Can you imagine the government getting 22% of every steak sold? or every chicken sammich?"

Ever hear of INCOME TAXES? Farmers who sell the cows and the chickens pay them. Then there's the corporate income taxes of the processors AND the retailers...PLUS the income taxes paid by the workers in both the retailers and the processors, because that's part of the cost of that steak or that chicken sandwich that gets passed along as well...PLUS 7% sales tax here in Indiana on top of those other taxes. It's not hard to see where 22% of the retail price of a steak or a chicken sandwich might end up being taxes already.

Just because you don't realize it's there, doesn't mean it's not there already.

hey red what major oil companies are going to IRAQ TO RUN THE OIL PRODUCTION... in case you don't know same ones that was kicked out years ago....



MAY GOD BLESS THE USA

Are there some different ones that should be going?