When economists talk about "supply" and "demand," they use the term to refer to the whole curve--supply (or demand) as a function of price.  They also talk about the "quantity supplied" at a particular price.  In an ordinary market situation, you have an upward sloping supply curve (suppliers will supply more at a higher price) and a downward sloping demand curve (consumers will demand less at a higher price) and a point where they cross--when the quantity supplied and the quantity demanded are equal at a particular price:  the market-clearing price.

A whole lot of what economicsts do has to do with the shape of those curves:  Do they slope steeply, or are they relatively flat?  Is the whole curve shifting out or back?

Well, I understand that. Since spare capacity is lacking now and in the future -- especially for light crude -- that supply curve is flattening out as time goes on. We don't have the capacity at all to refine large amounts of sour heavy oil, which is why Venezuela does not run the world and why any Saudi production increases are not important now. In addition, EROEI decreases with heavy oils from point of production to consumption and therefore price increases. This is also true for all other "non-conventional" sources.