Oil prices plunge after long run-up

[happyslug]

26. Blame the new pipeline

Nebraska is at the edge of that part of the US getting oil from Alberta Canada. Do to the lack of pipelines from Alberta to the rest of Canada and the US, you had a "captive" oil situation, more oil then could be used OR shipped out, thus prices stayed low.

This has been expected to change, not only when the new pipeline goes through BUT the reversal of another pipeline from Texas to Nebraska, to a pipeline shipping oil from Nebraska to Texas (This change as to the older pipeline was expected about now).

That change (More the reversal of the old pipeline then the construction of the new pipeline) would end the oil surplus in that part of North America, with local gasoline prices going up to the National average. Prior to that switch in direction of the one pipeline, the area was producing more oil then it could USE or SHIP OUT. With the reversal of that pipeline, more oil can be shipped out, thus increasing the price of gasoline even in Nebraska to Alberta area.

The recent drop in price elsewhere in North America is do to an overall drop in demand world wide. Sooner or later the drop elsewhere will match the increase in Nebraska, the Dakotas, Montana and Alberta. Will take a few months but it will happen.

Now, this is a result of a reversal of one old pipeline, when the new pipeline is completed, that same area will pay world wide oil prices no matter how much oil is produced or used.