![]() | Why the US Political System Is Unable to React to Peak Oil: Institutions | The Oil Drum | More goings-on around the world | ![]() |
61 comments on Uncertainties About Russian Reserves and Future Production
Comments can no longer be added to this story.
| Show without comments | PDF version
61 comments on Uncertainties About Russian Reserves and Future Production
Comments can no longer be added to this story.
| Show without comments | PDF version
Search The Oil Drum with Google
Support The Oil Drum
Recently on TOD:World
TOD:Campfire
- What "Lower Consumption" Means
- Tricking and Treating the Future
- Meeting Energy Decline Part-Way - Potatoes?
TOD:Europe
- The Future of Nuclear Energy: Facts and Fiction - Part IV: Energy from Breeder Reactors and from Fusion?
- The US stimulus and "green jobs"
- EROWI - energy return of water invested
TOD:Canada
- In this house, we obey the laws of thermodynamics!
- The Round-Up: October 24, 2008
- Compressed Air Energy Storage - How viable is it?
TOD:Australia/NZ
- The Bullroarer - Saturday 7th November 2009
- The Bullroarer - Friday 30th October 2009
- Details of Solar Flagships Released
TOD:Net Energy
Blogroll
Energy Sites
- The Coming Global Oil Crisis
- Die Off
- Dry Dipstick
- Energy Bulletin
- From the Wilderness
- Life After the Oil Crash
- Peak Oil Crisis
- Peak Oil News and Message Boards
- Powerswitch
- Rigzone
- Matthew Simmons
- Wolf at the Door
Environment & Sustainability Sites
- The Daily Green
- EcoGeek
- Eco Street
- Green Car Congress
- Green Options
- green.alltop.com
- Gristmill
- RealClimate
- Sustainablog
- Treehugger
- WorldChanging
Blogs
- The Big Picture
- Casaubon's Book
- Cleantech Blog
- Clusterf
k Nation (Jim Kunstler) - The Cost of Energy
- David Strahan
- The Energy Blog
- Entropy Production
- European Tribune
- GraphOilology
- Health After Oil
- jeffvail.net
- Mobjectivist
- Peak Energy (Australia)
- Peak Energy (USA)
- R-Squared
- Resource Insights
Finance & Economics Blogs
- Calculated Risk
- The Crash Course
- Ecological Economics
- Econbrowser
- Environmental Economics
- Infectious Greed
- The Mess That Greenspan Made
- Mish's Global Economic Trend Analysis
Organizations
Peak Oil Primers
Beware email scams!
Beware email scams claiming to be from this site. We do not have any job openings. If anyone contacts you about a job at The Oil Drum, do not reply to them, and definitely do not give them any personal information or send them money. Read more here.
“So one may almost say that the theory of universal suffrage assumes that the Average Citizen is an active, instructed, intelligent ruler of his country. The facts contradict this assumption.”
—James Bryce (1909, 35)
User login
Contact
- Content: editors at theoildrum dot com
- Tech support: support at theoildrum dot com
Personnel
- Editors: Nate Hagens, Gail the Actuary, Prof. Goose
- DrumBeat Editor: Leanan
- Contributors: ace, Engineer-Poet, Heading Out, jeffvail, JoulesBurn, Sam Foucher, Robert Rapier
- TOD:Campfire: Glenn, Jason Bradford
- TOD:Europe: Chris Vernon, Euan Mearns, Francois Cellier, Jerome a Paris, Luís de Sousa, Rembrandt, Rune Likvern, Ugo Bardi
- TOD:Canada: benk, Libelle
- TOD:ANZ: Big Gav, Phil Hart, aeldric
- Emeritus: Stuart Staniford
- Technician: Super G
License
This work is licensed under a Creative Commons Attribution-Share Alike 3.0 United States License.










GAIA Host Collective
In the case of SA, there seems to be the possibility of some of the major fields going into decline. Perhaps one of the major accomplishments of the SU will have been in delaying peak there thru failing to develop the economy to European, never mind US levels of oil consumption?
Russia may not be ready to go over a cliff in terms of geological ability to deliver. BUT, Russia is not SA. The Saudis are far more vulnerable to Western (US primarily) bullying, and therefore far more likely to deliver as much as they can.
This is in violent conflict with their self-interest which would be to throttle back production and allow price increases to compensate for reduced production.
Russia is in a far better position to protect its self-interest in this regard. The balance of incentives, in their case, IS to not be overly zealous in meeting world shortfalls. What do they gain? So in that sense, Russia too, for slightly different reasons, cannot in any way be thought of as way of postponing the day of reckoning.
Of course, if an addict becomes desperate enough, a very well defended source of the needed substance becomes a target in defiance of all ordinary calculations of risk v. gain.
Sing a happy tune.
This is a very relative estimate. Former Soviet Union suffer severe deficit of foreign currency. There was a fixed official rate of exchange of the russian ruble (less than a ruble per 1$ as far as I remember) which was just what it says - official and nothing more. On the black market the ratio was more like 5 : 1.
For the Soviet government it was a much better deal to subsidise the costs of their oil industry (which were mostly in rubles) but keep those hard currency flows going in. I know this sounds strange for people that lived in free market economies, but that was what socialism was like - lots of control and mad economic decisions.
Actually this is my reason to be cautios about any simple modelling of Russian production.
"In the case of SA, there seems to be the possibility of some of the major fields going into decline."
I meant to say "into rapid decline".