But I wonder why the price of oil and natural gas appear to be in a long-term uptrend? If the supply is plentiful, why would prices go up?
Also, your views seem diametrically opposed to that of a number of seemingly well-credentialed and experienced people who contend that production capacity will peak. Peak production is, of course, very different than running out. Not all of those in the other camp seek to peddle books - why the considerable difference in conclusions, given the same information?
I've never said that production won't peak.
We simply don't have the infrastructure to produce enough to supply the world market at a fixed price.
The lack of oil is not what is driving up prices.
It's the inability to produce it fast enough.
No one outside the industy realizes the changes which have occurred over the last twenty years which make it impossible to produce with the same efficiency as we once had.
The crash of the industry in the mid-80s destroyed our infrastructure to the point that we have not recovered to this day.
Couple that with billions of dollars of lawsuits over bogus insurance claims, environmental fiascos, strangling rules and regulations from our federal government, lack of dedicated personnel and you have the scenario which faces us today - attempting to supply a need far greater than it was in 1985 with an industry which is a shadow of it's former self.
That is what is driving up the price.