Petrol prices could double, minister warns
 

Soaring petrol prices could reach £2 a litre if the situation in Libya and other oil-producing nations in the region worsens, the Overseas Development Minister has warned.


Alan Duncan fears the record $147-a-barrel price reached for oil in 2008 will be smashed unless calm returns to the Middle East and North Africa in the coming months.

The minister, a former oil trader, said that $200 a barrel is quite possible, and if oil-producing nations are hit by co-ordinated terrorist action on top of the revolutionary unrest, the price could reach $250 a barrel, which would see the advent of the £2 litre.

He said in a newspaper interview: "I've been saying in government for two months that if this does go wrong, £1.30 at the pump could look like a luxury. $200 is on the cards.

"It could be very serious. If crude oil doubles, you're going to have a serious spike [in prices]. Try living without it for a week."

His comments came as the Government tried to sidestep some of the heavy criticism it has been facing for doing little to alleviate the problems caused by rises in petrol prices to businesses and to individuals, especially those in rural areas without easy access to public transport.

In an effort to ease some of the pressure, the Government confirms that island and remote communities are to be granted a 5p reduction in fuel duty. A planned rise in fuel duty is widely expected to be scrapped in the forthcoming Budget.

The suggestion that oil prices could reach $200 a barrel prompted renewed warnings that it could lead to a double-dip recession because of the increased pressure on household income.

A survey by Theos, a think tank, suggested that fuel price rises combined with cuts in public services are the issues most likely to bring widespread protests in Britain.

http://www.independent.co.uk/news/uk...s-2233128.html

Who cares, we'll use #tigerblood to power our cars. #winning

seems like they are close to double right now

2011 - world war 3 due to fuel costs.

end of world as prodicted.

It would take a perfect shit storm to get oil to $200 and hold it there. I'm not saying it couldn't reach $200, but to remain there for a long period of time would take a serious cluster fuck somewhere.

The other side of me thinks that the powers that be simply won't allow that to happen. The US will invade every country it needs to invade to get a handle on things. $200 a barrel and holding at that price would be devastating in every sense of the word.

its in the US still cheaper than in the netherlands where its allmost €1.70 per liter... from what €1.00 is taxes..

Buy silver. It's correlated to the rise and fall of oil. Load it up!

I think it has less to do with the middle east and more to do with the growing middle class of countries like china and india. as these countries grow GDP wise at insane rates the wealth is bringing up more and more people into the middle class.

as the middle class grows in these countries their buying power increases and so does their energy use.

the west basically propped up part of its "downfall" by helping these countries to grow. the middle class here purchases all their goods. there hasnt been a total shift in wealth. there has been a shift in the middle class. and with along it fuel prices will indeed rise.

Fuck everyone. Libya produces two percent of ALL oil produced, and 95% of it goes to Europe. Not sure why it would effect anything. I bet you if I clenched my ass cheeks for a few moments, I could produce as much oil as Libya (if only for a few moments).

Supply and demand? They supply only a small fucking percentage of oil, and demand is down right now. Sheep.

that's not how it works.


google opec and read up.

Prices here just now are simply ridiculous. The UK will be on it's knees soon.

Yet we still allow anyone into the country and drain even more money from us. Amazing!

I'll be sure to let the citizens of both Iraq and Afghanistan know that's not how it works.

I know what OPEC does and that has nothing to do with the US doing whatever it needs to do to accomplish whatever it is trying to accomplish, for whatever reason they are trying to do it. There are TWO warships off the coats of Libya right now and US special forces are on the ground and inside of the country. At the moment it's only for humanitarian and training purposes (so they say) but don't think for a second that if a chance is there to lock down one more country in the region that they won't take it.


But there is only one price for oil. 99.999% of it could of to Europe and we'd still have the same problem. Oil price goes up for Europe, it rises everywhere. And also works the other way around.

there is not one single time in the history of america where we've invaded a country to keep the price of oil at a certain level.

I'm so sick of the fucktards in power that don't get fucking serious about other fuels/power. Just fucking do it already so that everyone can let that cesspool over there destroy itself.

Speculators is the main reason for the spike in oil prices.

Anyone doubting that need only look back to a few years ago when oil prices skyrocketed and then crashed.

Or look a bit further back to the rolling blackouts in California - turned out, there was plenty of power all along, but energy traders (ie. Enron) were purposely withholding / misallocating supplies to cause artificial shortages.

If oil speculators were required to take delivery, most of them would disappear.

Oil supplies are ample and yet the price is rapidly increasing - that's a sure sign that much of the price increase is due solely to speculation ... and just like last time, the price will eventually crash, but in the meantime, many businesses and individuals will be hurt.

Ron

prepare for the cluster to start fucking

No shit, but not just for the reasons people think. The conflict is causing the prices to go up due to the fear of a shortage of course, but a big reason is banks. US Banks cannot lend money to people the way they used to due to new regulations so they are investing more in hard items such as oil, especially offshore oil.

Oh and by the way, has anyone checked BP Stock lately? Guess how much their stock has DOUBLED in value since the "end" of the oil spill? 2 times? 3 times? 10 times? Keep going...

sigh

10 more years and we're all going to be living in small colonies in the desert locked in an epic battle to the death for petrol.

Buy a bike now before they cost $2000.

The outcome of the unrest in the Middle East is anyones guess.

Will they get the democracy they yearn for?

Will it be a democracy like Iran?

Will they end up hating the West more or less?

Will they band together to use their oil power?

If they do what will they want?

How will the West respond?

Will this end well for us, them or anyone?

Middle eastern oil is among the easiest to extract, and yet the biggest importer of oil to the U.S. is Canada. There's plenty of available oil.

The middle east conflict is just an excuse for speculators to drive prices higher - at some point, many of them will cash out ... when that happens, just like last time, oil prices will come crashing down.

Ron

The oil speculators are what drive the prices up on fear for max. returns.
:thumbsup

Summed up nicely on all accounts.
:thumbsup:thumbsup

no one should be tricked by this guy's words...

listening to him is like preparing to be ass-f... by speculators - who are biggest reason why oil prices are going up....

The wars bring profits by themselves which is one of the key reasons for all the warmongering and for keeping the war going as long as possible. To get cheap oil the US uses economic hitmen or if necessary they fund a coup.

They could and they will, I have no doubts about it, black gold will be more and more expensive with every day.

Happens every year like clockwork... prices start to climb in the Sping and peak in the Summer then stay high until end of Summer then they start going back down.

BINGO! instead of spending billions on creating weapons to fight for oil they better invest some $$$ in "green" technology ... but hey, some ppl think there will always be enuff oil :2 cents:

The problem is, green technology is cheaper. The profit margin on oil is far greater.

Nothing has really happened to actual stem the flow of oil in all this middle east stuff. A bunch of protests, some violence, but no one has actually stopped the oil from being pumped out of the ground. Yet, the price of oil is going up because they take any excuse to drive the price up. There would be no way to do that with green technology.

Good. The more expensive oil becomes, the more investments get put into renewable & green energy. It's 2011, fuck oil. Let's start weening ourselves off, and start seeing some good ole' fashioned innovation.

that is a factor too - the Chinese had to place restrictions on who can buy cars in Beijing since the traffic was getting worse by the minute