T. Boone Pickens why should we listen to him
why should we listen to T. Boone Pickens
America is dependent on foreign, that we all know.
We are in crisis right now over the price of oil, the
lack of oil and where our oil is coming from.
According to the T.Boone Pickens website,
Everyday 85 million barrels of oil are produced worldwide.
21 million of those barrels are used here in the
United States. That is 25% of the world's oil
demand for 4% of the population. That is alot
Unfortunatly we cannot just stop using oil right
at this moment. It is something that we all use
every day in some sort of way. Here are a few
of the ways that oil is used everyday.
1. Some medicines, such as penicillin, are made
by organisms, but most are manufactured from
chemicals, and many of these are made from
petroleum products. Acetylsalicylic acid, or
ASA, is the active ingredient in many of the
well-known, over-the-counter pain relievers.
ASA is manufactured from petrochemicals.
One of the first uses of oil, dating back
thousands of years, was as medicine.
2. Other early uses included illumination and as a
boat resin to help keep ships sea-worthy.
Synthetic shoes are made from a petroleum
product. Many rubber soles are also made from
petroleum. Natural rubber becomes sticky when
hot and stiff when cold, but man-made rubber
stays much more flexible. Car tires are made
from synthetic rubber, which makes them much
safer to drive on. Today, the demand for synthetic
rubber is four-times greater than for natural rubber.
3. The color of most pen ink is the result of dyes.
These dyes are made from petrochemicals.
You will probably be surprised to know that a
plastic bottle is made from the same petrochemical
as the fiber we call polyester! All plastic products,
many of the materials used to make the clothes you
wear, or the carpet you walk on, plus hundreds of the
other products we take for granted, are made from
petrochemicals. As the name implies,
a main ingredient in petrochemicals is oil.
4. Compact discs and casette tapes ae made using
petroleum products. All plastic products (many of the
materials used to make the clothes you wear, or the
carpet you walk on, plus hundreds of the other products
we take for granted) are made from petrochemicals. As
the name implies, a main ingredient in petrocehmicals is
5. Food additives are yet another petrochemical. Many of
these additives increase the shelf-life of canned food.
Tihs keeps the food fresh longer, and allows more people
throughout the world to eat healthy.
6. Detergents are substances that act as cleansing agents
when mixed with water. There are two main types of
detergents: soapy and soapless. Most soapless detergents
are made from oil products. The soapless detergents
include powders and liquids used to wash clothes and
dishes in a dishwasher. Some are made using petrochemicals,
while others are made using alcohols and ethylene oxide
that are petrochemical products.
7. Fertilizers increase crop yields, as well as make the
plants in your windowsill look nice. Some of the chemicals
in this fertilizer came from petroleum products. Pesticides
are among the many chemicals that my be used to protect
crops. Much like fertilizers, oil is an important ingredient
in many pesticides. Some people think that our food production
would only be half of what it is today if pesticides were not
used. Without the use of pesticides, food would cost much more than
at present, and many people would have to pay more to eat
8. A candle is made from wax. Wax is a raw petroleum product.
It is used to make candles, milk cartons and polishes.
Through refining, petroleum can be turned into many types of
petrochemicals. One of these is synthetic (man-made) fibers,
which can be woven into curtains and carpets. Man-made
fibers are often wrinkle-free, so they look better. Many also
do not absorb water, so mold and mildew are much less of a
9. Ethylene is one of the byproducts of distilling oil. (Distilling
simply means heating. Since oil is made of various substances,
these substances will boil off at different temperatures as oil
is heated). It can be made softer and used for film and garbage
bags, or harder to make milk crates.
10. The plastic of the bandage is made from oil. Also, the non-stick
pad that covers the wound is man-made cloth which is manufactured
from petrochemicals. The medical industry relies heavily on oil-based
products to improve much of their equipment and medicine.
11. Make-up, nail polish and lipstick are all made, at least partly,
from oil. They are mixtures of such compounds as oils, waxes, perfumes, and
colors, many of which can be made from petrochemicals. Nail polishes,
for instance, are mixtures of pigments, solids, and solvents. The
pigments give the polish its color, and the solids form the film that
sticks to the nail and provides gloss and flexibility. Hair dye is also
created using petroleum products.
12. Many household rugs are made from man-made petro-chemicals.
These man-made rugs are constructed with synthetic fibers. Man-made
fibers have many advantages over natural fibers. They do not absorb
water, so they drip-dry very easily and quickly. For this reason, they
do not rot.
Some examples of man-made fibers are polyester, nylon, and acrylic.
Acrylic can be made into a number of products, including rope and
So what can we do to cut our depency on oil, foreign and domestic.
I unfortunatley do not have the answer to this question, but I think
I know of a man who does. Who is this man? He is T. Boone Pickens.
Some of you may Know him from his commercials or some may know him as
a giant in the oil industry, and If you are from Oklahoma you may
know him as one of the Biggest contributors to OSU.
Let me give you a little history of this man first. The breadth of
T. Boone Pickens' career is staggering. He built the largest independent
oil company in the United States and flourished as an entrepreneur after
leaving it, generating hundreds of millions of dollars in the process.
Among his lengthy accolades, Financial World named him CEO of the Decade
in 1989 and the Oil and Gas Investor listed him as one of the "100 Most
Influential People of the Petroleum Century.
"The thing you have to understand about Boone is that it's all about action,
" longtime associate Bobby Stillwell told Grant's Interest Rate Observer in
2004. "There's no sitting around." Pickens is afflicted with the inherent
restlessness that drives most entrepreneurs. That restlessness manifested
itself early in his life. While he was still a teen, the Holdenville, Oklahoma,
native expanded his newspaper route sales by acquiring surrounding routes
one by one.
Traditional corporate life chafed Pickens. The Oklahoma State University
graduate left his first adult employer, Phillips Petroleum, and started what
would become Mesa Petroleum with $2,500 and a healthy dose of moxey. He
built his company into an independent powerhouse that challenged and changed
the good-old-boy corporate culture in America. During this time, his face
appeared regularly on every significant business publication in America. He
put a spotlight on the rights of the true owners of American businesses, its
shareholders. He pounded on the doors of Japanese boardrooms, demanding that
American investors have the same access to Japan and other foreign markets
as foreign investors have in the United States. When at 68 he left the
independent oil company he had nurtured for forty years, he reinvented himself,
built a new, highly successful company, and made more money than he ever had
before. During the past few years, his uncanny on-the-mark forecasts on the price
of oil have made him the focus of major news programs and led CNBC to label him
the "Oracle of Oil."
During the span of his career, Pickens has made hundreds of millions of dollars-
for others as well as himself - and he isn't timid about spreading it around. "I
like making money. I like giving it away," he has often said. The breadth of his
philanthropy - more than $600 million - includes medical research, athletics, and
academic projects. In 2006, his charitable activities, which included $175 million
and the establishment of the T. Boone Pickens Foundation, placed him on the
Chronicle of Philanthropy's list of top U.S. philanthropists for the second
straight year. His Foundation is focused on improving lives through grants
supporting educational programs, health and medical research and services,
athletics and corporate wellness, the entrepreneurial process, at-risk youth,
and conservation and wildlife initiatives.
"Entrepreneurs search for - and create - value," Pickens wrote in Boone Pickens:
the Luckiest Guy in the World. "That underlying value is what my life is all
about - whether the focus is the energy business or some other endeavor. Today,
we enjoy a robust economy and significant shareholders' say in the companies
they own. Takeovers, solicited or otherwise, have become an accepted business
practice; today, the Business Roundtable does not attack the acquirers, win or
lose. Countless gambles played a part in bringing that combination together.
Our role in the journey was worth the risks."
His life, stunning achievements and stinging losses alike, is chock full of
lessons, most of which he has readily shared over the years. His impact on
American culture reflects his many interests and passions, including his
unyielding belief in the entrepreneurial spirit, his leadership in corporate
fitness, the need for alternative fuel development, and his prudent stewardship
of American lands. Pickens, a proud alum of OSU (it was operating as Oklahoma
A&M when he graduated), has donated the gist of his professional papers to his
America is addicted to foreign oil. It's an addiction that threatens our
economy, our environment and our national security. It touches every part
of our daily lives and ties our hands as a nation and a people.The addiction
has worsened for decades and now it's reached a point of crisis.
In 1970, we imported 24% of our oil. Today it's nearly 70% and growing.
As imports grow and world prices rise, the amount of money we send to
foreign nations every year is soaring. At current oil prices, we will
send $700 billion dollars out of the country this year alone - that's
four times the annual cost of the Iraq war.
Projected over the next 10 years the cost will be $10 trillion - it will
be the greatest transfer of wealth in the history of mankind.
Can't we just produce more oil?
World oil production peaked in 2005. Despite growing demand and an
unprecedented increase in prices, oil production has fallen over the
last three years. Oil is getting more expensive to produce, harder to
find and there just isn't enough of it to keep up with demand.
The simple truth is that cheap and easy oil is gone.
What's the good news?
The United States is the Saudi Arabia of wind power.
Studies from around the world show that the Great Plains States
are home to the greatest wind energy potential in the world - by far.
The Department of Energy reports that 20% of America's electricity can
come from wind. North Dakota alone has the potential to provide power
for more than a quarter of the country.
Today's wind turbines stand up to 410 feet tall, with blades that stretch
148 feet in length. The blades collect the wind's kinetic energy. In one
year, a 3-megawatt wind turbine produces as much energy as 12,000 barrels
of imported oil.
Wind power currently accounts for 48 billion kWh of electricity a year
in the United States - enough to serve more than 4.5 million households.
That is still only about 1% of current demand, but the potential of wind
is much greater.
A 2005 Stanford University study found that there is enough wind power
worldwide to satisfy global demand 7 times over - even if only 20% of wind
power could be captured.
Building wind facilities in the corridor that stretches from the Texas
panhandle to North Dakota could produce 20% of the electricity for the
United States at a cost of $1 trillion. It would take another $200 billion
to build the capacity to transmit that energy to cities and towns.
That's a lot of money, but it's a one-time cost. And compared to the $700
billion we spend on foreign oil every year, it's a bargain.
An economic revival for rural America.
Developing wind power is an investment in rural America.
To witness the economic promise of wind energy, look no further than
Sweetwater, Texas. Sweetwater was typical of many small towns in middle-America.
With a shortage of good jobs, the youth of Sweetwater were leaving in search
of greater opportunities. And the town's population dropped from 12,000 to
When a large wind power facility was built outside of town, Sweetwater
experienced a revival. New economic opportunity brought the town back to
life and the population has grown back up to 12,000. In the Texas panhandle,
just north of Sweetwater, is the town of Pampa, where T. Boone Pickens'
Mesa Power is currently building the largest wind farm in the world. In
addition to creating new construction and maintenance jobs, thousands
of Americans will be employed to manufacture the turbines and blades.
These are high skill jobs that pay on a scale comparable to aerospace
jobs. Plus, wind turbines don't interfere with farming and grazing, so they
don't threaten food production or existing local economies. A cheap new
replacement for foreign oil.
Natural gas and bio-fuels are the only domestic energy sources used for
transportation.Cleaner Natural gas is the cleanest transportation fuel
According to the California Energy Commission, critical greenhouse gas
emissions from natural gas are 23% lower than diesel and 30% lower
than gasoline. Natural gas vehicles (NGV) are already available and
combine top performance with low emissions. The natural gas Honda
Civic GX is rated as the cleanest production vehicle in the world.
According to NGVAmerica, there are more than 7 million NGVs in use
worldwide, but only 150,000 of those are in the United States.
The EPA estimates that vehicles on the road account for 60% of carbon
monoxide pollution and around one-third of hydrocarbon and nitrogen
oxide emissions in the United States. As federal and state emissions
laws become more stringent, many requirements will be unattainable with
conventionally fueled vehicles.Since natural gas is significantly
cleaner than petroleum, NGVs are increasing in popularity. The Ports
of Los Angeles and Long Beach recently announced that 16,800 old diesel
trucks will be replaced, and half of the new vehicles will run on
alternatives such as natural gas.
Cheaper Natural gas is significantly less expensive than gasoline or diesel.
In places like Utah and Oklahoma, prices are less than $1 a gallon. To see
fueling stations and costs in your area, check out cngprices.com.
Domestic Natural gas is our country's second largest energy resource
and a vital component of our energy supply. 98% of the natural gas used
in the United States is from North America. But 70% of our oil is purchased
from foreign nations.
Natural gas is one of the cleanest, safest and most useful forms of energy -
residentially, commercially and industrially. The natural gas industry has
existed in the United States for over 100 years and continues to grow.
Domestic natural gas reserves are twice that of petroleum. And new discoveries
of natural gas and ongoing development of renewable biogas are continually
adding to existing reserves.
While it is a cheap, effective and versatile fuel, less than 1% of natural
gas is currently used for transportation. We currently use natural gas to
produce 22% of our electricity. Harnessing the power of wind to generate
electricity will give us the flexibility to shift natural gas away from
electricity generation and put it to use as a transportation fuel - reducing
our dependence on foreign oil by more than one-third.
How do we get it done?
The Pickens Plan is a bridge to the future - a blueprint to reduce foreign
oil dependence by harnessing domestic energy alternatives, and buy us time
to develop even greater new technologies. Building new wind generation
facilities and better utilizing our natural gas resources can replace more
than one-third of our foreign oil imports in 10 years. But it will take
On January 20th, 2009, a new President will take office.
We're organizing behind the Pickens Plan now to ensure our voices will be
heard by the next administration. Together we can raise a call for change
and set a new course for America's energy future in the first hundred days
of the new presidency - breaking the hammerlock of foreign oil and building
a new domestic energy future for America with a focus on sustainability.
You can start changing America's future today by supporting the Pickens Plan.