Total Posts:4|Showing Posts:1-4
Jump to topic:

Obama's Bungle on Oil Leases

JaxsonRaine
Posts: 3,606
Add as Friend
Challenge to a Debate
Send a Message
10/20/2012 10:07:58 PM
Posted: 4 years ago
http://www.forbes.com...

Obama acts like he's taking away leases that companies aren't using. From any angle you look at it, it just isn't true.

Leases can expire before a company determines where/if there is economically viable oil.

Obama did shorten the timeframes for leases, and increased the costs. Yeah, he's a big champion for oil.
twocupcakes: 15 = 13
darkkermit
Posts: 11,204
Add as Friend
Challenge to a Debate
Send a Message
10/20/2012 10:15:55 PM
Posted: 4 years ago
I don't see why it would be a bad thing for Oil companies not to use the oil fields so they could use it later time when it would be more profitable.

So the plan is to basically make sure there won't be enough oil in the future when it is needed or in case of emergencies.
Open borders debate:
http://www.debate.org...
JaxsonRaine
Posts: 3,606
Add as Friend
Challenge to a Debate
Send a Message
10/20/2012 10:17:43 PM
Posted: 4 years ago
The only bad thing is the government making it hard for these companies to drill...

...and Obama acting like he purposefully took away leases from people who were 'just sitting on them'.
twocupcakes: 15 = 13
Chaos88
Posts: 247
Add as Friend
Challenge to a Debate
Send a Message
10/21/2012 1:50:55 AM
Posted: 4 years ago
At 10/20/2012 10:15:55 PM, darkkermit wrote:
I don't see why it would be a bad thing for Oil companies not to use the oil fields so they could use it later time when it would be more profitable.

If they own the land, then they are paying taxes on it (or should be). These property taxes should be based on the value of the land. As oil increases in price, so do the taxes on these oil fields. So to hold on to this land and not use it, would cost money all the while, and it might not be profitable after a decade or two.

If they do not own the land and buy the lease, as oil increases in price, so would the lease (it should go to the highest bidder). So, again, it isn't more profitable to drill later as it is now. Plus, if they aren't producing oil, how are these companies going to survive until they do decide to drill?

So the plan is to basically make sure there won't be enough oil in the future when it is needed or in case of emergencies.