The End of OPEC? Massive Oil Find in Australia.

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Beef Supreme_sl

shitlord
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Siddar_sl said:
Were at the point now where ether price of Oil drops are North America will become the new middle east of energy.
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B

Beef Supreme_sl

shitlord
1,207
0
Famm_sl said:
This sentence aint too perfect your self bro.
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From the internet:

"Most of the oil sands of Canada are located in three major deposits in northern Alberta. These are the Athabasca-Wabiskaw oil sands of north northeastern Alberta, the Cold Lake deposits of east northeastern Alberta, and the Peace River deposits of northwestern Alberta. Between them, they cover over 140,000 square kilometres (54,000 sq mi)-an area larger than England-and hold proven reserves of 1.75 trillion barrels (280?109 m3) of bitumen in place."

Soooooooooooooooo...
 
jeydax

jeydax

Death and Taxes
1,388
851
Siddar_sl said:
There were lots of idiots predicting $600 oil just a few years ago. It was never going to happen simply because of market forces. Increase price of Oil and suddenly lots a of production that wasn't viable at the lower price suddenly becomes viable at higher price. At current $100 price conversion of coal into gasoline is most likely profitable. That makes trying to sustain even the current $100 price for oil nearly impossible in long run.

Fanaskin is right there were a huge number of idiots involved in Peal Oil fad. There were just a larger number of people that always knew Peak Oil was bullshit in the near to medium term.

Many people my self included are wondering why oil price is so high given the flood of production entering market and slow pace of global growth that has actually reduced total demand for oil.

Were at the point now where ether price of Oil drops are North America will become the new middle east of energy. How you sustain prices while at same time North America changes over from a oil importing region to a oil exporting one is simply not logical given the slow down in global growth.
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I'd put a $10 on the market realizing the over supply and that oil will come down to $50/barrel soon. I know up in ND they are starting to stop issuing permits for drilling and will be focusing much more on distribution instead. Right now there is a group of people making quite a bit of cash because of how cheap the supply currently is and the market price of oil, but that will not last long.
 
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Northerner

N00b
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jeydax_sl said:
I'd put a $10 on the market realizing the over supply and that oil will come down to $50/barrel soon. I know up in ND they are starting to stop issuing permits for drilling and will be focusing much more on distribution instead. Right now there is a group of people making quite a bit of cash because of how cheap the supply currently is and the market price of oil, but that will not last long.
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Well, there are lots of people out there who will take your bet. The players up here see a price of $75 (or lower) as more than two standard deviations out of model at any point in the next five years.

Now, they have been wrong before and we've also seen prices well below that in the last five years. Still, I don't think I'm in any position to second-guess the geeks who make a living modeling price behavior when there are hundreds of billions of dollars at stake. My $10 is on more than $135USD/bbl before we see $75USD/bbl, if we ever even see $75 again. Even in a sluggish world economy the demand for oil is increasing.
 
Borzak

Borzak

Bronze Baron of the Realm
24,609
31,930
jeydax_sl said:
I'd put a $10 on the market realizing the over supply and that oil will come down to $50/barrel soon. I know up in ND they are starting to stop issuing permits for drilling and will be focusing much more on distribution instead. Right now there is a group of people making quite a bit of cash because of how cheap the supply currently is and the market price of oil, but that will not last long.
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No because once it starts to fall they shut down marginal wells, and the price will rebound eventually. Drive thru oil producing country when the price is high and every pump jack you pass is pumping, when the price falls 25% of them are sitting there doing nothing.
 
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