SEARCH BLOG: OBAMA and OIL
Once again, the story of "peak oil" rears its head. But you have to be careful what you are reading. Oil, no doubt, has a limit. The problem is... the limit being discussed is always about the "known reserves" of the stuff. Each year the "known reserves" seem to increase, which is why oil is still meeting demand. In the U.S., for example, production peaked several decades ago when the cost of exploration and the cost of taxation and the cost of regulation made U.S. production ... unproductive.
To ensure that situation continues, the Obama administration fights any new production efforts in the U.S. with resolute opposition such as the deep water Gulf of Mexico efforts. The Obama administration is determined to make energy costs so high in the U.S. that we will return to the "pristine" Medieval environment of simply burning anything organic in sight to stay warm or power our blacksmith forges.
Oil Production to Peak in 2014, Scientists PredictOf course oil is not the answer to our energy needs... it is only part of the answer. The problem is that the Obama administration believes that it can change the energy question and have its predetermined answers fit. You know, "Do you want to pay 500% more for your oil or cut back?"
By Jeremy Hsu, LiveScience Contributor
posted: 12 March 2010 09:25 am ET
Predicting the end of oil has proven tricky and often controversial, but Kuwaiti scientists now say that global oil production will peak in 2014.
Their work represents an updated version of the famous Hubbert model, which correctly predicted in 1956 that U.S. oil reserves would peak within 20 years. Many researchers have since tried using the model to predict when worldwide oil production might peak.
Some have said production already peaked. One earlier model by Swedish researchers suggested that oil would peak sometime between 2008 and 2018. And other researchers have argued there are decades to go before oil production goes into irreversible decline. The only thing they all agree on: Oil is a finite and very valuable resource.
... and higher taxes and larger government will be the correct answer.