hey DC, i can't help wonder where we'd be today if JFK, wasn't assissanated, on NOV 22,1963?
i wonder where we'd be if cheney didn't invade IRAQ? I wonder where we'd be if i finshed 3rd grade? i wonder i wonder i wonder, i wonder????????????????????????????????????
i mean it . I wonder where we'd be w/o bugs bunny? i wonder where we'd be if the coyote, caught the roadrunner?........................................................................................................................
ahhhhhhhhhhhhhhhhhh the almost coulda?????????????????????????????????????????
Hope Exxon does not get it's wish in fiscal cliff resolution, otherwise surely US coal stocks will be dead in water.
Coal stocks need few months to a year without this one hanging on their head.
No wonder big money CAN win.......based on the things you mentioned.
Is a Carbon Tax a Done Deal for the US? Ask Exxon
November 26, 2012
We know President Obama is going to tax the rich, but I bet many didn’t think he would weasel in the carbon tax as quickly as he is going to now. A Romney win would have been bullish for coal producers in the US – but Romney lost, and now so has coal, at least in the near term. The biggest winner from Obama? Natural gas.
Exxon Mobil Corp (XOM) is now supporting Obama in bringing a carbon tax to the US. Why would Exxon – and other big energy companies – join forces to bring on the carbon tax? The answer is simple: profits.
Exxon has made significant purchases, buying unconventional North American gas companies. For example, it recently bought Canadian firm Celtic Exploration for over C$2.5 billion. Let’s not forget that a couple of years back, Exxon bought out XTO Energy for over US$30 billion.
How does a carbon tax benefit Exxon? Natural gas and coal race neck-and-neck when it comes to electricity generation in the United States. By increasing the cost to produce coal, natural gas becomes more attractive for utilities. This means a better bottom line for Exxon… and a fatter paycheck for its executives."
Ask yourself; How does a politician with a despicable performance get reelected? How do they achieve their most radical goals? Exxon is providing an excellent example. Simply appeal to the greed of those you can tempt and promise to provide for those who wish to remain indolent.. Simply put, divide and conquer. Exxon should fully realize obama despises the oil industry but they will realize, too late, that after he destroys coal, he will turn to natural gas and destroy it along with oil, in order to achieve his zero fossil fuel ideology.
This is going to be one interesting ride.
Interesting observations, but there are other scenarios in play that might well favor coal:
1. The amount of money to be made by exporting NG to Europe and Japan is too great to resist.The administration is blocking it for now, but the politicos will devise a way to skim off the top and thereby increase their advantage. They always do. Prediction: Within two years NG exports will be a reality and the price will rise commensurately. Of course an excise tax will be attached. Coal will benefit from these price increases.
2. Some of the more stringent EPA regulations have been blocked by the courts. Bureaucrats and politicians hate to lose (especially publicly). One hopes this will have the happy result of the Green fascists within the administration ratcheting down their aspirations.
3. Counter intuitive to the short-term horizon of most investors, increased global coal usage is projected. Cf.the the most recent Arch Coal presentation located on its website. These are not just "happy numbers" glommed onto to a PowerPoint, but reasonable projections more or less in line with EIA reports.
4. The carbon tax might well be part and parcel of the current negotiations in Washington, but the final product most likely will be vitiated from the original proposal.
I would offer it a different way:
'Proof that there will always be more people who want to be GIVEN things than who want to EARN things'
If the few support the many, and the many can control their destiny, they will.