Oil price prediction

[froggy]

The following is an interview with Boone Pickens in the Dallas Morning News on June 4, 2005 concerning his predictions on the price of oil:

"Striking while oil is hot
Boone Pickens' calls that prices would keep rising have paid off big

08:41 PM CDT on Sunday, June 5, 2005
By SUDEEP REDDY / The Dallas Morning News


As oil surged toward $55 a barrel last week, Boone Pickens and his energy investment funds had their most profitable day ever.

Legendary oilman Boone Pickens manages investments at BP Capital, the firm he launched in 1997. But the 77-year-old sat quietly in his Dallas office without celebration. When making bets in the volatile oil and gas markets, Mr. Pickens says, he's taught his team to look past daily fluctuations as they manage some $2.5 billion for him and wealthy investors.

"You don't get up high on a high day and you don't get your chin on the table on a low day," said Mr. Pickens, who declines to disclose publicly the precise day-to-day changes in his funds.

The legendary oilman gained his fame as a corporate raider in the 1980s, driving up the stocks of energy firms such as Gulf Oil Corp. and Unocal Corp. with his hostile takeover attempts.

Boone Pickens predicted in September that crude oil would hit $60 a barrel before it reached $40 a barrel again. <font color="blue"> He has also predicted $3 gasoline by next year.
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Today, he's offering public predictions about oil and gas prices while managing investments at BP Capital, the firm he launched in 1997 after selling Mesa Petroleum.

So far, his predictions have been on target.

Last May, as crude oil flew past $40 a barrel, Mr. Pickens offered that it would hit $50 a barrel before it hit $30 again. He went even further in September, betting oil would hit $60 before it reached $40 again.

The latest prediction held true in electronic trading, though oil hasn't topped $58.28 in regular trading.

Mr. Pickens isn't strongly pushing the $70-before-$50 view now, but he says oil only has one direction to go over the long term as the supply-demand fundamentals get tighter.

"We're still convinced that production globally has maxed out," Mr. Pickens said. "If it isn't, it's very close."

Even as oil dipped below $47 last month, Mr. Pickens said he was secure in his view about the general trend.

"I think you'll be back to $60 before year-end for sure," he said. He has also predicted $3 gasoline by next year. "

[sneaky_pete]

He's not my favorite oil man, but I agree completely with his predictions. I find oil for a living, and all the signs I see point to higher and higher prices sooner or later - there may be short-term fluctuations, but overall the trend will be UP for crude oil, diesel fuel, gasoline, heating oil, propane, electricity, etc.

[GAFarmer2]

Heck, you can't argue since we are using it WAY faster then the earth is making it. [img]/forums/images/graemlins/grin.gif[/img]

[SkyPup]

With the recent hurricanes in the Gulf of Mexico and BP-Exxons Thunderhead Oil Platform damage, fuel should be &gt;$3 a gallon by Labor Day.......

[slowrev]

Yep, My prediction is that the price of oil will go up. I think that is a safe prediction [img]/forums/images/graemlins/smile.gif[/img] Might drop a bit from time to time but overall will go up and be maybe 3.00 / gal by next memorial day, for the cheap stuff. Heating oil will be very high this winter, maybe I should go back into the heat pump business ?
It is 2.49 here for premium now.
Maybe I will start using synthetic gas ?

Ben

[gsxr1100]

bring on the prices!

Just filled up my Suzuki GSXR1100 on the way to work at 5:30 am....107 miles and took 2.159 gallons of super duper.

Car gets 24 to 30mpg...For the increase in $$$$ I am not complaining. Is it a scam, yup but there is nothing we can do.

Plus people complain and whine in general but soccer-moms are still buying SUV's like they are going out of style. Never mind the wiesels! [img]/forums/images/graemlins/grin.gif[/img]

[gsxr1100]

home heat in our area will be over $2.00 per gallon without a problem. It was $1.65 to $1.85 last year.

[Dargo]

</font><font color="blue" class="small">( bring on the prices!

Just filled up my Suzuki GSXR1100 on the way to work at 5:30 am....107 miles and took 2.159 gallons of super duper. )</font>

Oh yeah!? The gas lasts so long in my little Honda Z50 Minitrail that I have to add Stabil to it so it doesn't go bad in the tank. [img]/forums/images/graemlins/grin.gif[/img] Beat that! [img]/forums/images/graemlins/tongue.gif[/img]

[gsxr1100]

nice.what a _______! [img]/forums/images/graemlins/grin.gif[/img] [img]/forums/images/graemlins/grin.gif[/img] [img]/forums/images/graemlins/grin.gif[/img]

but the million dollar question is can your Z50 do 0 to 6.0 in 2.9 seconds....all while having a hot coffe in your backpack!! [img]/forums/images/graemlins/grin.gif[/img] [img]/forums/images/graemlins/grin.gif[/img]

[bczoom]

</font><font color="blue" class="small">( but the million dollar question is can your Z50 do 0 to 6.0 in 2.9 seconds....all while having a hot coffe in your backpack!! [img]/forums/images/graemlins/grin.gif[/img] [img]/forums/images/graemlins/grin.gif[/img] )</font>

Not mine but my chop saw (which also burns little fuel) could cut your GSXR in 1/2 in 2.9 seconds and I could have coffee in a backpack. [img]/forums/images/graemlins/shocked.gif[/img] [img]/forums/images/graemlins/wink.gif[/img] [img]/forums/images/graemlins/grin.gif[/img]