Transocean and Peak Oil

Filed in dividend, GOld juniors, Gold Market, lead, shares by on September 13, 2010 0 Comments

I don’t usually make a habit of arguing with readers. But this was too good to pass up… Besides, sometimes an argument can lead to better understanding, which I hope this provides. “You want us to believe peak oil is real… that we’re really running out of oil left on the planet. That’s alarmist conspiracy garbage you’re using to sell newsletters. It’s not real. Move on.”— John L. “Peak oil doesn’t exist. We have more oil supply now than at any time in the last 27 years… World oil reserves have increased. Spare capacity has increased. We’re not running out of oil. Stop the BS. Do you even look at the data or do you just ‘know’ oil is running out? This article you wrote is complete garbage. At one point in your peak oil article, you say it’s real. At another point of the article you talk about the largest oil deposits on the planet. Sounds like a contradiction. Which is it, genius?” — Mark S. All I have to say, John and Mark, is this: You have it all wrong. I understand why people won’t listen to peak oil theories. They’re skeptical of radical schools of thought, opting instead to listen to “experts” who say everything is okay, that oil will keep flowing for decades to come. But it simply isn’t so. Peak oil does not mean the world is running out of oil; it means we’ve peaked as far as finding cheap oil supply. And we don’t believe the world will just “eventually” run out of cheap oil in 10 to 12 years. It’s already happening. Peak oil critics don’t fully grasp the concept of peak oil is —which is also a common problem among the public. People are confusing peak oil with oil running out in the world. That’s not what’s happening here… Peak oil refers to the peak in flow rates of oil, and the inability to find oil on the cheap. (Why do you think BP was drilling so deep offshore?) The United States has already reached its peak oil date. In fact most oil producing countries have reached their production peaks— and the good ole days of discovering easily accessible, conventional crude are behind us. Sure, there’s oil in the tar sands in Canada, and heavy oil and oil shale in the world— but it’s pricey and, more oft …

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Transocean and Peak Oil

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