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| Africa North |
| Opinion: Is world on verge of oil price spiral? |
| 2011-03-09 |
| OPEC has been exceeding its quota for months and cannot easily raise production without cutting into global spare capacity. Recent attrition in old fields has largely offset new capacity. Libyan oil production has fallen by 1,000,000 bpd so far, with world production at 88,000,000 bpd. When supply is tight, oil prices hinge on spare capacity. Libyan losses have cut that capacity by 1/3. Plans for new Libyan production have stopped. The editor of Petroleum Review said, "We cling to the comfort blanket that spare capacity exists, but it is mostly fictional, or inoperable. If you take 2m bpd off the figure, the whole dynamic of global oil supply changes." What there was of Middle Eastern political order has disintegrated in the last month. The world's economic fate now hangs on the success of Wahabi repression. Any sign that the Saudis are losing their grip risks an oil shock large enough to derail the global recovery. Global recovery is itself a mirage. |
| Posted by:Anguper Hupomosing9418 |
| #1 Personally, I'm more concerned about whether our OWG-NWO Oil-Gas, etc. Perts are right, or wrong, in their Math as per World Oil-Gas, Minerals, etc. Reserves 2040-2070. RENSE > [Telegraph.UK]WHY OIL [+ Muslim Middle East] IS SO IMPORTANT TO CHINA?, i.e. competing wid other World Powers for a steadily-diminishing supply of [Cheap?]oil. ARTIC: > RUSSIA may run out by circa 2020. > NIGERIA + Other AFRICAN PRODUCERS = circa 2025? Despite its Trubles + Radical Islamism, the MUSLIM MIDDLE EAST + PERSIAN GULF remains the most likely reliable source in LT for supplying AMBITIOUS RISING CHINA WID VITAL GLOBAL SUPERPOWER-VITAL ENERGY. In addition, CHINA'S AMBITIONS + END OF CHEAP OIL = DECLINING OIL SUPPLY > means that, at some time = point in the future, THERE MAY NOT BE ANY ROOM TO SHARE DECLINING OIL = ENERGY SUPPLY WID OTHER MAJOR NATIONS??? [BP DEEPWATER HORIZON,+ "In the End, there can only be One" = HIGHLANDER Movies here]. |
| Posted by: JosephMendiola 2011-03-09 23:39 |