Posted on 02/11/2018 7:05:18 AM PST by NOBO2012
I thought we ran out in the ‘70s....
“Why has gas risen 60 cents/gal. in the past three months?”
Because the petroleum industry does a lot more than just use the money to sell more gas. It is used to support countries to keep them from going broke and going next door to look for food, it re-invests and replaces employment all over the world to include the US, and is used to do interesting things like block the production of huge shale oil deposits in Russian to keep them off the market. And that takes capitol. It also puts oil producing countries into financial binds like Venezuela. Oil is a very useful and used commodity. Some of it is good and.....
rwood
“Peak oil” is NOT a scam. The cost of getting oil out of the ground in ever-dwindling amounts is growing every year. The E&P oil industry is continually racing to drill more & more wells to make up for the rapid depletion of those recently drilled. When was the last time you heard of a super-large deposit discovery that wasn’t inaccessible by conventional means, requiring hugely expensive technology to reach? The whole industry is built on debt, and the collateral, the oil, is barely worth drilling for at $60/ bbl, let alone $20-$30. This too shall bust. BTW, the EIA estimates of fracked well capacities has been wildly off the mark for years.
It will depend on consumption, it’s a renewable resource. Like trees, it comes back over time.
If you want to make a leftist head explode, tell them that peak oil was a lie created by evil oil companies to make even bigger profits.
ROFLMBO. Cute little rebuttal, but waaaaay off the mark in just about every way. There are more proven reserves today than there were 20 years ago when the Left came up with that "peak oil" canard.
The industry is not "built on debt", it is flush with cash. Jobs in the industry pay more than any other, land leases pay top dollar, and they aren't begging DC for handouts all the time.
As for new discoveries, just because you personally haven't heard about them, doesn't mean that they do not exist. http://instituteforenergyresearch.org/studies/new-oil-finds-around-the-globe-will-the-u-s-capitalize-on-its-oil-resources/
Further, if some enterprising young engineer finds a way to efficiently extract the oil sands at the Canadian border, then Canada instantly has more reserves than Saudi Arabia overnight, and become the world's first trillionaire. You think people aren't working on that?
Finally, the deepest well ever dug was less than 5 miles deep. The earth's crust is 20 miles deep. Do you seriously believe that we've found it all already? ROFLMBO!!!
One of the reasons is that the US dollar has been declining in value vs. other currencies and that oil is sold with a US dollar standard.
The concept of “peak oil” as sold to us by by the liberals that use the term certainly is a scam. Not only do we have the “fracking” and 4 D (the 4rth being TIME) underground seismic imaging that have added centuries worth of domestic oil (now profitable at $50 per barrel and over) to what is available we also have huge swaths of land and offshore areas that HAD BEEN CLOSED TO EXPLORATION for decades.
To be sure the pressure from deeper deposits certainly are “refilling” the old wells. Some say oil comes from natural processes deep within the earth and may not be made of just prehistoric remains.
Oil and gas has zero to do with prehistoric remains.
The very idea that it could is insulting to one’s intelligence.
Amen! Every time I hear the phrase “fossil fuel” I shake my head.
BTW - My dad (a WWII vet) was a geophysicist.
Well yes, it is a scam.
Sure, the oil is there, but getting it out of the ground is the issue.
Peak oil is essentially impossible. Why? The Earth has virtually unlimited sources of oil. The limiting factor is the cost of exploration and extraction. When the price of oil goes up sufficiently more oil will be found and extracted.
Historically proven reserves are lower when prices are too low. When prices go up proven reserves increase because the higher price makes extraction of more reserves feasible.
Oil supply and demand has always been a political problem. Most of the United States issues over the last 50 years regarding oil production have been entirely political in nature. In other words it’s the government’s fault of course.
Eventually life as we know it will cease.
Peak mankind.
You heard it first right here.
Remember “peak oil” was another global warming style scam.
“Hubbert’s original prediction that US peak oil would be in about 1970 appeared accurate for a time, as US average annual production peaked in 1970 at 9.6 million barrels per day and mostly declined for more than 3 decades after. However, the use of hydraulic fracturing caused US production to rebound during the 2000s, challenging the inevitability of post-peak decline for the US oil production.”
#9 If you live in California, any price increase is due to the democrats and pensions.
That’s why we have producers.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.