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The Water Cooler
General Discussion
The Problem in Cushing (Oil Glut)
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<blockquote data-quote="SMS" data-source="post: 1615275" data-attributes="member: 42"><p>Or is it $85 because of the difficulty in getting it out and to market, as mentioned in the OP, and therefore a larger than average supply on hand?</p><p></p><p>If that's the case, building a new output pipeline will, in the end, reduce the overage at that location and drive prices back up, no?</p><p></p><p>I'm still missing something....my brain hurts.</p><p></p><p>You can't say..."help us get the oil out, we can't sell it!" on one hand but then on the other say "We keep bringing it in because it's selling cheap". You wouldn't send your product to a location that has output problems and a price lower than market would you?</p></blockquote><p></p>
[QUOTE="SMS, post: 1615275, member: 42"] Or is it $85 because of the difficulty in getting it out and to market, as mentioned in the OP, and therefore a larger than average supply on hand? If that's the case, building a new output pipeline will, in the end, reduce the overage at that location and drive prices back up, no? I'm still missing something....my brain hurts. You can't say..."help us get the oil out, we can't sell it!" on one hand but then on the other say "We keep bringing it in because it's selling cheap". You wouldn't send your product to a location that has output problems and a price lower than market would you? [/QUOTE]
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