DrumBeat: September 10, 2006
Posted by threadbot on September 10, 2006 - 9:13am
Houston engineer develops reputation for accuracy over the long haul
Houston was rocking and rolling in 1980, with oil at $40 a barrel and some people in the industry predicting it would soar to $100.
One of the few dissenting voices, Henry Groppe Jr., forecasted that by 1985 oil would fall to $15.
"This guy's a nut," Houston energy analyst Matt Simmons recalled an oil executive telling him then. "He ought to be locked up in a straitjacket."
A global shortage of drilling equipment has stalled production in Colombia. Delays of more than a year are common.
Innovation and flexible work practices will decide how much oil comes out of the North Sea.
Australia: Tank low and running on fumes
Chevron's spectacular find is very good energy and geopolitical news. It also supports the optimists who believe we will never run out of oil. Most MSM reports, of course, looked for the lead lining, pointing out that Chevron's find wasn't that big, won't reduce the price of gasoline or even come on line for several years.
While validating the big discovery may bolster the view of the oil-supply optimists, even they don't predict a return to the days of cheap gasoline in a world where demand is growing so strongly.
That includes Peter Jackson, co-author of a recent Cambridge Energy Research Associates report that predicts worldwide oil production capacity could grow as much as 25 percent in the next decade.
He isn't letting his belief in plentiful future oil supplies change his auto purchase plans.
"The next time I change my car, I will get one that's double the fuel-efficiency," he said.
Russia on Friday outlined plans to build dozens of nuclear reactors over the next two decades to help meet its growing power demand. Sergei Kiriyenko, head of Russia’s atomic energy agency, confirmed Moscow’s commitment to nuclear, saying it wanted to keep it at the heart of the country’s energy mix, despite Russia’s vast oil and gas reserves.
No Gas Mains for Gazprom
Kommersant has learned that Gazprom has promised Ukraine to keep gas prices at $95 per thousand cubic meters until the end of the year. In return, the gas giant is demanding a share in the country's assets and a return to the question of control over its main gas pipelines. Russia's position is so harsh that Ukraine has apparently joined the global ranks of Gazprom's foes.
The most important day in our history may have come and gone and we didn't even notice: Peak Oil Day.
A massive expansion of North America’s ability to produce biofuel, including biodiesel and ethanol, is expected to dramatically increase the demand for crops which have traditionally been used in the manufacture of human food and livestock feed.