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NOTvuffett (< 20)

Liars and Idiots

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July 08, 2010 – Comments (3)

How many barrels of oil a day is the doomed BP well spewing? Nobody knows for sure, but estimates range up to 100,000 bbl a day.  The truth is probably much lower but it is a bunch.

The Obama administration put a six month moratorium on all drilling in depths greater than 500ft.  A Federal judge overturned the moratorium and the administration immediately announced they would fight the ruling.  Subsequently the DOE made estimates on the lost production which the administration will probably cite in its argument before the court.  It can be found here:

http://finance.yahoo.com/news/DOE-raises-production-lost-to-apf-1488535740.html?x=0&.v=1

Here are the relevent passages if you can't be bothered to read the original article:

WASHINGTON (AP) -- The government said Wednesday that the moratorium on drilling for oil in the Gulf of Mexico would result in crude production cuts of 31,000 barrels a day in the fourth quarter. That's an increase of 5,000 barrels a day from last month.

The Energy Department's monthly Short-Term Energy Outlook also forecast a drop of 82,000 barrels per day in 2011, up from a June estimate of 70,000 barrels per day.

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So what are we to believe? That shutting down all deepwater drilling will only result in the loss of a volume that is of the same order of magnitude as a single ill fated well? Only the assumption that other sources would be ramped up can these numbers be plausible.  But the conclusion that domestic capacity would be materially affected is inescapable.  That is the point- ideology drives this administration and they are not above using lies and obfuscation to achieve their goals.

 

 

 

3 Comments – Post Your Own

#1) On July 08, 2010 at 6:54 PM, NOTvuffett (< 20) wrote:

Wow, just now I got the news that the ruling overturning the moratorium was upheld.

 

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#2) On July 09, 2010 at 12:03 AM, 1315623493 wrote:

How are they lying? I think they are doing the best they can and taking the measures they deem necessary given the circumstances. How would you know that the same thing couldn't happen at another well? Nobody knows. It's easy for you (probably anti-Obama anyways), who doesn't have to make these huge decisions, to state the administration's actions are ideologically driven in this case. The moratorium was justified given the circumstances. Arbitrary and overkill? Probably. Lies and ideologically-driven decisions. No.

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#3) On July 09, 2010 at 3:00 AM, ajm101 (32.83) wrote:

It's a drilling ban, not a production ban.  How much do you think drilling would impact production in 2 months?

Or do you think that the amount that is leaking would be production otherwise?  First, it is a gusher.  It would be producing at a lower volume to manage the reservoir.  And even taking that into account, it was being plugged for later production.  Even if the explosion hadn't happened, that well would not be producing yet.

You should probably be more knowlegeable before accusing people of being idiots or liars.

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