[Prof_Chomsky]

jeff744 jeff744:

Prof_Chomsky Prof_Chomsky:

This could be the greatest thing ever for Canada. If the world bans our oil on the national markets there will be no commercializing it. We can declare it a national resource again and use it all internally at cost (about 40$ a barrel).

Think about the economic boom we’d have. Canada would have 40$ oil forever. Industry would flock here to capitalize on our super cheap domestic prices and stable economy with educated workers.
Sure beats the deal we have now with the oil companies. We get 5% of profits until the oil companies break even, then only 9-15% (depending on the contract) afterward… What a rip off.

Let’s start a movement to get our oil banned globally today

Yeah,seeing as most of that oil is in provinces that rely on it and are extremely protective of all resources, good luck keeping Canada in one piece.

Clearly I'm joking... But let's play devil's advocate for a minute. 10% royalty avg on 100$ oil is 10$ No problem. We'll pay 50$ so Albertans can make the same profits they do today, AND enjoy 60 cent a liter gasoline

[herbie]

You make the same error as the drill, drill, drill retards in the USA.
The oil will sell to the highest bidder. And the price will be the World price.
Why would anyone sell it for less than they can get?

[SprCForr]

herbie herbie:

You make the same error as the drill, drill, drill retards in the USA.
The oil will sell to the highest bidder. And the price will be the World price.
Why would anyone sell it for less than they can get?

The scenario was set as:

Prof_Chomsky Prof_Chomsky:

If the world bans our oil

[Caelon]

SprCForr SprCForr:

The scenario was set as:

Prof_Chomsky Prof_Chomsky:

If the world bans our oil

True, but the supposition that there would actually be supply at $40 is a big stretch. As a drilling company I would just move my rig to where I could make more money. Any existing oil that has insufficent return at $40 would be capped an left in the ground. That leaves Canada with diminishing supply until the price rises enough to encourage drilling for replacement oil. So then a large part of Canada would require imported oil at the world price.

[herbie]

SprCForr SprCForr:

herbie herbie:

You make the same error as the drill, drill, drill retards in the USA.
The oil will sell to the highest bidder. And the price will be the World price.
Why would anyone sell it for less than they can get?

The scenario was set as:

Prof_Chomsky Prof_Chomsky:

If the world bans our oil

Oh hell we'd get dinged double to finance pipelines to PEI...