Pilot
Veteran Member
- Joined
- Nov 20, 2004
- Messages
- 1,219
- Location
- Oregon
- Tractor
- JD 770, Yanmar 180D, JD 420 (not running), had a Kubota B6200
That's an interesting essay and has many good points. I also suggest folks read it. A couple points that may really be minor in the big picture:
When people claim the US hit it's peak in 1970, they overlook the fact that that was about the time that we banned offshore drilling. Had we not done so, the US peak would likely have come somewhat later; how much later I have no idea. My guess would be only a a year or two, but what do I know? We have made political decisions to limit our oil supply; if the situation gets as bad as the essay suggests, the politics will likely change and we will probably start drilling in many places we wouldn't consider drilling in today. How much that would affect things is anybody's guess. But when you hear arguments that the oil in Alaska or some other place will only supply US needs for a very short time, keep in mind that we have over 500,000 oil wells in the US--no one field will supply a huge amount. It's like turning off that unneeded light--it only makes a very small difference, but every little bit helps.
Discoveries: 70% of the earth's surface is under the ocean; we are just now getting into really deep ocean drilling and Brazil recently made a big deep discovery. Virtually all the deep ocean rigs are now at work.
Demand: India and China are getting into cars in a big way. When the recession ends, look for demand and prices to rise.
Price: Oil is priced in dollars. Our government policies--current and previous administrations both-- have contributed to a weak dollar. The weaker the dollar, the higher the price of oil. A strong dollar gives us cheaper (to us) oil.