Do High Petroleum Prices Mean We've Reached 'Peak Oil'?

FoxNews ^ | 6/20/08 | Jasmin Malik Chua

[Blood of Tyrants]

With the cost of crude oil surging to record highs, a heated battle of blame is in full swing, with a lineup of suspects that includes the oil industry, Congress, commodity speculators, environmentalists and developing countries in Asia.

Meanwhile, predictions that we've reached a peak in oil production or will very soon — dismissed only a few years ago as being alarmist and without merit — are receiving more serious consideration.

The problem is, nobody really knows how much oil is down there. The only thing that's certain: Dead organisms produced a limited amount of oil long ago, and eventually there won't be enough to sustain the current rate of consumption.

Further complicating matters, global consumption is spiking.

An average of 86 million barrels of oil are guzzled per day across the globe, according to the U.S. Energy Information Administration, up from 74 million barrels 10 years ago.

[Blood of Tyrants]

That oil comes from dead organic material is NOT for certain at all. The truth is they don't know how oil is formed. Another truth is that estimates of prove oil reserves in the 1980's say that we should be out of oil by now yet the amount of proven reserves is in still in the TRILLIONS of barrels.

Also, new extraction methods are being developed to extract hard to get shale oil from the ground.

[xmission]

That oil comes from dead organic material is NOT for certain at all.

Amen, although I never hear that on the MSM.

[agere_contra]

Abiotic oil is almost certainly not true, but, yes, abiotic hydrocarbons are a fact. Those dinosaurs on Titan didn’t die in vain!

[tessalu]

I think that commodities trading is the real reason for the high oil prices, and it should be stopped immediately. It would probably be better if the government controlled all oil refineries, so that games will not be played with oil.

[Max in Utah]

Also, new extraction methods are being developed to extract hard to get shale oil from the ground.

Heat from high-level nuclear waste?

(somewhere, a greenie just had a cardiac event)

[MD_Willington_1976]

How about super heated CO2 that is sequestered from power plants... oh right, they already do that for the tar sands.. ;p

Your idea is cool too... they already remove a lot of radiological stuff from crude.

[TexasGunLover]

I think that commodities trading is the real reason for the high oil prices, and it should be stopped immediately. It would probably be better if the government controlled all oil refineries, so that games will not be played with oil.

You've got to be kidding... that's one of the most socialist, liberal posts I've ever seen on FR (and there have been a lot more lately).

I think that the price of my beer and scotch are too high. The government should nationalize all breweries so the prices can be what I want them to.

FREE MARKET... if you're not for it, you're not a conservative. We don't need government in any business... period.

[DuncanWaring]

I think that commodities trading is the real reason for the high oil prices, and it should be stopped immediately.

If you stop commodities trading, nobody will be able to buy (or sell) oil.

It would probably be better if the government controlled all oil refineries, so that games will not be played with oil.

Name one thing the government does well (graft, waste and corruption don't count).

You want the folks that run the MVD running the petroleum industry?

[Codeflier]

Your post just made me pull my hair out1

[Michael.SF.]

"It would probably be better if the government controlled all oil refineries, so that games will not be played with oil."

[Michael.SF.]

so that games will not be played with oil.

Where to begin?

How about the basics: Do you believe Crude oil comes from refineries?

[Technogeeb]

It would probably be better if the government controlled all oil refineries

A model that was so successful for the Soviets.

(And no, I'm not calling you a communist. You pretty much did that to yourself).

[JoeSixPack1]

Real Estate investors got lonely and tried their hand on the oil commodities market.

[Max in Utah]

How about super heated CO2 that is sequestered from power plants...

Deserves a mention... that stuff is a great solvent and it's gotta tee off the enviro weenies.

Besides, I like my petroleum carbonated.

[mountainlion]

We are at maximum supply in the market. Peak oil will never be reached. If Iran released the 14 tankers it has parked supply would go up and price would go down. Simple supply and demand.

[PA Engineer]

No. It means Americans are beginning to reach Peak Tolerance with leftards.

[ChildOfThe60s]

Peak oil will never be reached.

Yep, you got it. Because eventually, as demand outstrips supply, the price would become so great that much use would simply shut down. In the worst scenario, the price causes economic collapse, causing demand to plummet far below available supplies. No peak oil.

[SaxxonWoods]

Agree with you in general, but it may be that we have reached “Peak ‘Cheap’ Oil.”

[Waco]

30 years ago, when the folks that know the business wanted to drill in more places so as to bring on line new oil and prevent disruptung price hikes, the queer-baits in the RAT party had it their way, instead. Happy disney world?? Happy pro sports? Byte me.

[zeestephen]

The usual “lineup of suspects” in this supply crisis also includes a dozen, sovereign, non-democratic governments.

At least two thirds of the known oil reserves in the world are under the control of authoritarian regimes.

They do not have the political will or the political desire to manage their petroleum assets like a modern business.