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The Saudis may have to completely change their economy after the crash of oil prices. The Middle East head of the International Monetary Fund thinks the Saudi Arabian government is going to have to admit its reliance on oil as the focus of its financial success isn’t enough. Via The Telegraph: (emphasis mine)

IS ANOTHER oil shock in the making? All indications point to that considering the rise in world crude prices, not just in the spot market, but also in the futures segment. In the past, the rise in the spot price of crude as, for instance, ahead of both the Gulf wars, was not accompanied by a sympathetic jump in the forward price simply because the market expected the spike to be short-lived. But, this time, the forward price has been going up sharply. Crude oil has jumped 13 per cent in three weeks. Oil for July delivery reached a record...

Just as certain as death and taxes is the knowledge that we shall one day be forced to learn to live without oil. Exactly when that day will dawn nobody knows, but people in middle age today can probably expect to be here for it. Long before it arrives we shall have had to commit ourselves to one or more of several possible energy futures. And the momentous decisions we take in the next few years will determine whether our heirs thank or curse us for the energy choices we bequeath to them. Sunset industry? Oil production could soon peak...

Oil is making headlines again. Never far from newsworthy, such is its over-riding economic and political importance, the spotlight has returned as harsh as ever. The price of benchmark US light sweet crude recently reached its highest level for 13 years, and the cartel of petroleum exporting nations, OPEC, maintained its decision to cut production - potentially fuelling yet more rises. Add increasing violence in Iraq delaying its return to full oil production, and it is understandable that oil analysts have been getting the jitters. Not to forget President George W. Bush, who in an election year really does not...

I've been looking over several websites that discuss the "peak oil" issue. If you haven't heard already, I looks like world oil production is close to, or has already peaked. This is bad news. Most of the alternatives to oil are unrealistic. Solar, wind, biomass, etc. All fail to supply us with the amount of energy we need. The only alternative I see is nuclear. With breeder reactors, we have about 1,000+ years of energy. The trouble is that it takes a lot of energy to build the things. The more we wait, more difficult it will be to make...

Will The End of Oil Mean The End of America?Robert FreemanMonday, March 1, 2004 CommonDreams.org In Zen and the Art of Motorcycle Maintenance, Robert Pirsig tells the story of a South American Indian tribe that has devised an ingenious monkey trap. The Indians cut off the small end of a coconut and stuff it with sweetmeats and rice. They tether the other end to a stake and place it in a clearing. Soon, a monkey smells the treats inside and comes to see what it is. It can just barely get its hand into the coconut but, stuffed with booty,...

For education and discussion only. Not for commercial use. As world demand for energy rises, even Saudi Arabia may not be able to meet it New estimates of world oil reserves are making the conservation goals of the 1970s more relevant than ever. It's time the White House and Congress paid heed. According to a recent New York Times report, internal memos of Saudi Armaco, that country's government owned oil company, capacity is likely to continue at today's rate of 10 million barrels a day through 2011. But U.S. energy experts say Saudi Arabia would have to pump 13.6 million...

This topic has probably been covered before-- apologies. I've been hearing and reading more and more on the subject of Peak Oil. Some are predicting global depression to mass extinction. My BS detector is buzzing, but my practical side is saying "it's possible." Where do you stand? Is Peak Oil for real or another Y2K?

Analysts claim early peak in world oil production By OGJ editors HOUSTON, Aug. 12 -- The world is drawing down its oil reserves at an unprecedented rate, with supplies likely to be constrained by global production capacity by 2010, "even assuming no growth in demand," said analysts at Douglas-Westwood Ltd., an energy industry consulting firm based in Canterbury, England. "Oil will permanently cease to be abundant," said Douglas-Westwood analysts in the World Oil Supply Report issued earlier this month. "Supply and demand will be forced to balance—but at a price." The resulting economic shocks will rival those of the 1970s,...

For education and discussion only. Not for commercial use. Today's civilization depends on an abundant and relatively cheap supply of oil. It fuels most of our vehicles, aircraft, ships, and trains. It provides the raw material for fertilizer, some clothing fabrics, most plastics, and many chemicals. Oil heats many of our homes and businesses. So when experts discuss when oil production will begin to decline, the world pays heed. The question now making the rounds in energy circles: Has production already peaked? If it has - or if a peak lies only a few years away - the repercussions would...

<p>Civilization as we know it is coming to an end soon. This is not the wacky conclusion of a religious cult, but rather the result of diligent analysis sourced by hard data and the scientists who study global “Peak Oil” and related geo-political events.</p>