-Caveat Lector-
On Wed, 3 Jan 2001 21:50:49 -0500 Ynr Chyldz Wyld <[EMAIL PROTECTED]>
writes:
>-Caveat Lector-
>
>From: "Nessie" <[EMAIL PROTECTED]>
>>If anybody remembers the contrived gas shortages of the 1970s,
>
>Yes, it was later shown that there WAS no 'shortage', and in fact the
>big oil companies had had plenty of
>reserve oil anchored offshore (as you observed), and the whole thing
>was manipulated by them just so that the
>prices could be artificially inflated to an extent that the public
>wouldn't have accepted otherwise...
I worked for the oil companies in the 70's. I was involved in their
offshore drilling and production. In the first place, I can tell you
that there was no shortage. Every tank, tanker and barge was full. Not
only was the price raised, but there were government handouts put into
law. The government gave the oil companies a tax free gift when they
allowed the oil companies to write off all expenses incurred in the
search for new sources of oil. This allowed the oil companies to search
for new oil without any cost to the company. The result was that the
companies drilled holes all over the place, but capped them BEFORE they
broke through to the oil lying below, and writing off the whole thing as
'unprofitable' based on the data from the level they STOPPED DRILLING AT.
Once the whole thing died down, all they had to do was come back to
these "unprofitable" wells and drill a few more feet to find very
profitable deposits of oil. What a deal! Raise prices AND get the
taxpayers to fund finding more oil. I strongly suspect the same sort of
thing is happening with the current energy crisis.
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