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Peak Oil: Are We In The Eye Of The Storm?

General discussions of the systemic, societal and civilisational effects of depletion.

Re: Peak Oil: Are We In The Eye Of The Storm?

Unread postby Loki » Fri 26 Sep 2014, 23:32:53

ROCKMAN wrote:wt - Once again you show your economic ignorance. Any economist will tell you that as the price of a widget increases more will be produced. Increasing prices will always induce greater production. The fact that those reserves don't actually exist shouldn't inhibit one from drawing the appropriately optimistic chart of future crude oil production.

Dumb ass geologist. LOL

Why can't we just import more widgets from one of Saturn's moons? :P

Your emphasis on the key role of oil price and the irrelevancy of the date of PO is well taken. The anti-PO folks studiously avoid any reference to price. Not to mention the fact that the apparently permanent rise in oil price has been compounded by the decline in median income in the wake of the Great Recession. Double whammy.

We're seeing a slow decline, at least in the US, Europe, and Japan. I suspect Copious will be able to harp about the vast expanse of McMansion suburbs for some years to come. At least I hope so. From a purely selfish point of view I'd prefer a slow grind down.
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Re: Peak Oil: Are We In The Eye Of The Storm?

Unread postby eastbay » Fri 26 Sep 2014, 23:51:03

Keith_McClary wrote:
copious.abundance wrote:Oops. It's, like, 2 million bpd above that. So much for that prediction!
That's growth of 0.34% per year. We should try to find out who predicted that most closely and give them proper credit.


World oil production's not really reflecting any growth in production capability at all. Those two additional mbbs/d we witness are merely a reflection of every available oil field producing flat out including the Saudi's who are now pulling as hard as possible on what was once, long ago, widely referred to and frequently touted as their "excess capacity."
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Re: Peak Oil: Are We In The Eye Of The Storm?

Unread postby Subjectivist » Sat 27 Sep 2014, 06:58:52

I have two phrases going through my head this morning, we are in the calm before the storm is the first and, the bulb burns brightest right before the end.

Call me cynical and paranoid, but with the media shoveling 'good economic news' at us in a flood it is a good parallel of the Housing Bubble, the Dot.com bubble, the 1929 Stock Market Bubble and so on. I grew up with old fashioned incandescent light bulbs, and as the filament inside slowly eroded the temperature would rise because the resistance through the filament would increase. When the erosion reached the critical point the filament would get extremely hot and the metal would no longer be strong enough to hold together. The light would get very bright for a few seconds, then break.

That is the feeling I get about our economy today, everyone in the media or politics is making it sound as if the glory days of 2005 are upon us and things couldn't be better, but my eyes and job status tell me that is a horrible lie. I do see a few new houses being constructed, but in 2005 I saw dozens of houses being built, new subdivisions popping up like mushrooms, big box retail outlets and new malls building all over the place. Where is all that growth now? It sure isn't going on in Toledo Suburbia like it was before the '08 crash.
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Re: Peak Oil: Are We In The Eye Of The Storm?

Unread postby ennui2 » Sat 27 Sep 2014, 11:27:20

the shale oil phenomenon will be over in a couple of years


This is usually where the doomers falter, by placing their bets on a hard date, usually right around the corner.

Take a look around at the doomersphere and make a note of how little activity remains. That is a good indicator of how far off doom really is, or how much anybody thinks can be accomplished anymore by trying to raise awareness. If the doomers still believed doom was as soon as 2 years around the corner, more of them would be waving their flags. Instead, they've backed off.

After oil prices tanked, doomers shifted their emphasis from oil to the dollar, and then tried to link the two (with dubious results). But now rhetoric about the death of the dollar and hyperinflation is also fading into the background, leaving only global warming as the main source of doom (which is a horrific problem, granted, but not one likely to cause overnight Mad Max conditions the way po doom was supposed to do).

John Michael Greer spends more time gleefully snickering over the "end of the US empire" and bashing the powers that be than he does talk about peak oil per se. His blog seems mostly political now, joining Orlov, who was always a West-bashing blog. Peak Shrink's last blog entry was over a year ago. Richard Heinberg is still plugging away, but his apologias are sounding more and more strained. Then you have Ruppert who just offed himself.

Who is left as the standard-bearer of peak oil doom? Nobody that I can see.

And since it was all based on Hubbert's curve, and Hubbert didn't really factor unconventionals into his model, the logical conclusion one should make is that unconventionals have led us into a totally unknown territory. You can make the case that fracked wells deplete precipitously, but then what about ultra-deep-sea oil, tar sands, arctic, methane hydrates? I am not saying scraping the bottom of the barrel is the thing to do, nor am I saying any of these things are a magic bullet. I am just saying that we don't have enough data to accurately predict the EROEI of these last-ditch measures. It's easy to just assume these things won't work, but that is fueled in part by the desire of doomers to validate their doomerism. So it would be unwise to discount the narrative of the much-maligned Yergin and others who posit that unconventionals might allow us to kick the can down the road by a few deacades rather than years, or to at least split the difference and say we've got a full decade.

But always remember that The Oil Drum "called" peak oil at around 2005-2006 and the subtext of this prediction was "doom" to soon follow, not the housing-crisis and not the fracking-boom. I even remember articles in TOD predicting blackouts due to natural-gas shortages for New England. How wrong they were. But TOD's articles had a "truthy" quality to them. They were well-written and internally consistent and full of charts and graphs. I think they tried to predict this the best they could with the data they had on hand. But it didn't work out, and as such, I can no longer trust any doomer blog that tries to crunch the numbers to predict imminent doom. I just don't think it's that predictable. That we're on a plateau of conventional oil I accept. That we'll have gas rationing, etc... around the corner? That takes more of a leap of faith. They're now talking about gas dropping below $3 a gallon here in New England. Part of that is a seasonal event, but still, it's a far cry from the price spike of 2008 I experienced in Southern California. And here it is 2014 instead of 2008. I never would have imagined gas would remain relatively stable for this long despite oil hovering around $100/bbl.
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Re: Peak Oil: Are We In The Eye Of The Storm?

Unread postby Strummer » Sat 27 Sep 2014, 11:40:47

That's a nice analysis you got there, except that outside of the USA, doom is in full swing. The fact that your little empire can resist it for a little longer, due to its draining of resources from the rest of the world, doesn't change anything. Just go to Greece or Spain or Ukraine and ask them. The doomer voices have gone quieter only because the majority of the "doomer scene" is US-based. The rest of the world is busy trying to survive in the slowly collapsing economies instead of endlessly babbling about it on the internet. People like Greer never had any relevance outside of America.
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Re: Peak Oil: Are We In The Eye Of The Storm?

Unread postby Keith_McClary » Sat 27 Sep 2014, 13:36:55

Strummer wrote:That's a nice analysis you got there, except that outside of the USA, doom is in full swing. The fact that your little empire can resist it for a little longer, due to its draining of resources from the rest of the world, doesn't change anything. Just go to Greece or Spain or Ukraine and ask them. The doomer voices have gone quieter only because the majority of the "doomer scene" is US-based. The rest of the world is busy trying to survive in the slowly collapsing economies instead of endlessly babbling about it on the internet. People like Greer never had any relevance outside of America.

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Re: Peak Oil: Are We In The Eye Of The Storm?

Unread postby dolanbaker » Sat 27 Sep 2014, 13:57:24

Per capita figures tend to hide the fact that only a small percentage actually see that increase!
Interesting to note that many of the "developed" countries have effectively flat lined since 2003 and Russia took a really big hit in the 2008 slump.
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Re: Peak Oil: Are We In The Eye Of The Storm?

Unread postby sparky » Sat 27 Sep 2014, 20:27:11

.
The Hubbert curve was for one set of fossil fuel ,
conventional ( no condensates ) land and shallow waters based
each type of resources , gas , coal , extra heavy , tar sands , fracking , deep and ultra deep off-shore , has its own curve based on its own resource base , its economics and the timeline of exploitation .We are now facing a set of overlapping curves of various size and profile

This site concern is Peak Oil , I believe it should include all exploitable fossil carbons
as Rockman pointed out , whatever is called oil is hardly relevant since what matter is the useful final product

most have been known for a long time , even marginally exploited
the easiest , largest , most accessible resources are used first of course ,
that's based on the law of minimum effort for maximum return

the problem with unconventional resources is threefold
1- they require more , often much more investment
2- their extraction is difficult to multiply , 20 Mb/d of tight oil ??!! ... I don't think so :roll:
3-their depletion could match the conventional crude curve tailing off ,

That's nightmare number one ,
most resources would deplete at the same time making a prefect storm
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Re: Peak Oil: Are We In The Eye Of The Storm?

Unread postby ennui2 » Sat 27 Sep 2014, 23:09:17

Strummer wrote:Just go to Greece or Spain or Ukraine and ask them


But I don't buy the idea that these countries crashed or sparked wars due to peak-oil.

Peak oil was not advertised as a "where's waldo" sort of thing where every passing upheaval around the world would be tangentially attributable to it. It was advertised as the end of the world as we know it.
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Re: Peak Oil: Are We In The Eye Of The Storm?

Unread postby XOVERX » Mon 29 Sep 2014, 22:56:03

Last I heard, Steven Kopits was saying that the majors are severely cutting back on capex, due to price-cost realities.

If that is still true, the eye of the storm will pass quite quickly.
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Re: Peak Oil: Are We In The Eye Of The Storm?

Unread postby Loki » Mon 29 Sep 2014, 23:20:49

Strummer wrote:That's a nice analysis you got there, except that outside of the USA, doom is in full swing. The fact that your little empire can resist it for a little longer, due to its draining of resources from the rest of the world, doesn't change anything.

Hey, who's empire are you calling little? :x

ennui2 wrote:But I don't buy the idea that these countries crashed or sparked wars due to peak-oil.

Peak oil was not advertised as a "where's waldo" sort of thing where every passing upheaval around the world would be tangentially attributable to it. It was advertised as the end of the world as we know it.

Agreed on first point.

Second point is a strawman. Some advertised peak oil as TEOTWAWKI, others were less hyperbolic. Reality proved the latter correct. Or have you not heard of the Great Recession, the oil price spike of '08, the new normal price of gas at the pump, and the limp dick recovery? Unrelated phenomena? Not likely.

I don't think the primary cause of the Great Recession was peak oil, but oil price did act as a catalyst. We've plateaued in both price and production, but eventually the plateau ends and the cliff begins. How much longer? I don't know. Do you?
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Re: Peak Oil: Are We In The Eye Of The Storm?

Unread postby ennui2 » Tue 30 Sep 2014, 00:47:48

Loki wrote:Unrelated phenomena? Not likely.


I'm not going to fight this battle again other than to say this...

At the very least, peak oil, if not advertised on the backs of MZBs, was supposed to usher in "the end of suburbia". Well, despite cardboard subdivisions in exurbia (like Phoenix) depreciating to nothing, the suburban dream is still alive and well and I have the recent McMansions being put up one-by-one in my town to prove it.

When peak oil hits with the ferocity it was advertised to have, people will finally acknowledge it. It won't require all these Chris Martenson connect-the-dots stuff which are only dog-whistles for doomers in 2014.
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Re: Peak Oil: Are We In The Eye Of The Storm?

Unread postby Pops » Tue 30 Sep 2014, 10:28:25

In '05 gg3 wrote:I've lately started coming to the conclusion that what people say they would do in a collapse scenario is what they would like to do anyway.
Collapse scenarios: the new Rorschach test


Threadbear in 2008 wrote:Peak Oil theory is a kind of Rorschach test rendered in oil, instead of standard ink. Our reaction to the severity and potential solutions reflects our personalities, more than anything.


"How PO was advertised" assumes somewhere there is a marketing committee holding strategy sessions and faxing out talking points. Rather, PO discussions are entirely speculation about a future that manifests itself in the guise of the speakers' preconceived and unconscious bias - or perhaps in a few cases a conscious attempt to sell books. Granted some people want to make it "official" with associations and seminars and conventions in order to make a paycheck but they do that in honor of TV shows made about movies made about books made about cartoon daydreams as well.

Of course the same can be said about what the listener hears. Blaming our own reaction on what someone else "advertised" is a cop out.

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The biggest change in "Peak Oil" over the last however-many-years is that Peakers no longer say "geology trumps economics" - I can't even remember the last time I read that phrase. TOD emphasized that view I think, especially the bottom-up analysis, stated reserves, Mega-Projects, etc. The articles I read there were mostly by geologists so that should be expected. That was my view for a long time, maybe my inner Luddite subconsciously wanted to see the economists get their comeuppance, LOL

Geology will ultimately win of course but on the human time scale its always been about economics. Peak this decade or next in a simple volumetric sense means little in a fossil age spanning centuries. But on the human time scale the economic impact of the peaking of "easy" accessible, pressurized reservoirs that pump themselves is large. We are well into the decline of those and the beginning of the true extraction period where hydrocarbon fuels are "taken by force" from the ground. All the "new" technology is simply the increased use of force and increasing energy investment required to manufacture fuels via strip mines, fracking and technically complex drilling in areas pretty hostile to humans.

We're beyond the simple geologic peak of tapping oil reservoirs, I think predicting that was a cakewalk compared to predicting the machinations and knee-jerks and stampedes of every human involved in the FF economy.


Hubbert said:
"Our biggest problem is not the end of our resources. That will be gradual. Our biggest problem is a cultural problem. We don't know how to cope with it."

Aaron said:
"Don't fear Peak Oil... fear your neighbors' reaction to it."
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Re: Peak Oil: Are We In The Eye Of The Storm?

Unread postby Keith_McClary » Tue 30 Sep 2014, 13:14:04

ennui2 wrote:At the very least, peak oil, if not advertised on the backs of MZBs, was supposed to usher in "the end of suburbia". Well, despite cardboard subdivisions in exurbia (like Phoenix) depreciating to nothing, the suburban dream is still alive and well and I have the recent McMansions being put up one-by-one in my town to prove it.
Is this redevelopment of older close-in areas or at the exurban fringe?
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Re: Peak Oil: Are We In The Eye Of The Storm?

Unread postby h2 » Tue 30 Sep 2014, 14:43:11

These kinds of threads are filled with so many strawmen that it becomes almost comical. I have no idea what the poster above is talking about re the archdruid, jm greer, it's clear that whoever is making up things about what he is writing about is living ins a fictional world, since his entire project over the past years has revolved around pointing out the historical absurdity of the doomer world view, in favor of looking at historical examples of declining empires. When he sticks to this, he's been really solid.

The overall concept of peak oil that I first became aware of, though it's total obviousness did not take long to register, given that a finite world is not infinite, and given I am capable of grasping the simple basics of exponential growth, and what that means in terms of totals of consumed resources, unlike say, the shill type copious a blather, ie, the big picture is really not hard to understand, nor was it ever hard to understand.

As rockman noted I believe in the beginning of this thread, nobody ever doubted that higher oil prices brought on by a global peak in production would bring on further resource production, ie, the stuff that was not economical to produce at pre peak prices, at least nobody who has a clue about how things work doubted that, nor is it a surprise that the country with the largest by far number of oil wells drilled would be able to take advantage of a fracking bubble caused by hiigh oil prices caused by global peaks in petroleum production.

But the real strawman is the pretense that a bunch of doomers, who jumped on the peak oil train because it lets them be doomers, have anything to do with the serious discussions done mostly by real petroleum geologists (not stock market shills trying to squeeze the last sucker bets out of the suckers before the fracking bubble pops) always put the peak at around 2005 (worst case) around 2012 (mid case) and about 2020 (best case). You can cherry pick sources all you want, but when I first read dieoff.com, which had a nice collection of articles by guys like campbell, deffeyes, etc, that was what I learned, and that has never changed. Campbell for example, was very realistic about the scenario of what would happen globally when peak production hit, and what he thought would happen is precisely what did happen, which is kind of obvious if you grasp that money is just a way to give access to resources.

Further, a bumpy plateau was predicted, caused by exactly what we are seeing globally now, high oil prices caused by declining production brings on new production, aka, fracking, but then the high prices begin to disrupt economies, which were built on cheap energy prices, demand drops a touch, new production is pulled off line, rather, drilling is stopped, production begins to drop, prices begin to rise, blah blah, and so on. In other words, exactly what we are in now. You can paint all the pictures you want of your strawmen doomers you want, they have nothing to do with the actual issue, they are just like appendages, the barnacles that gather on convenient surfaces as a boat goes through the ocean.

Greer has been really good about working out the ongoing psychology that drives those barnacles, but he has never at any point taken them seriously beyond them being a historically interesting phenomena, worth writing a book on since they repeat through history so delightfully, and consistently.

I further have absolutely no idea about the comments re Heinberg, clearly some people are not reading a word that is being written by these guys, preferring instead to just pretend that bau is really going to happen, that's usually for financial reasons, ie, your paycheck and lifestyle depend on that belief being maintained, that's also normal, in fact, one of my favorite oil drum quotes they would have on their quote box was the observation that if your livelihood depends on not seeing something, you are very likely to not see it. I dont' do the quote justice, but it's true.

My feeling after reading endless copious abundance comments is that he's a stock shill of some type, because he does this very typical shill thing of always using strawmen, and NEVER responding to valid points, particularly not when it comes to prices or economics. And always misreading and misrepresenting the real people here and elsewhere while focusing his attention on the flakes, as if they have anything to say or do about peak oil as a physical event.

Sure ther'es a blog scene filled with flakes, nature bats last, I used to read that until mcpherson was stupid enough to confuse his desires for reality, specifically to say there would be no cars on the road by some date, I think it was 2012 or 2011, I don't remember. But he's a poorly read guy with no historical education at all, who really wishes humans would stop destroying the planet, a position I cannot fault anyone for taking, but it's important to not confuse your fears and desires for reality.

Long descents are too boring though, we want drama and explosions, we want to pretend we can live in our little compounds and hold off the enemy with our stockpile of guns etc, as someone noted a long time ago, that's just another way to create a new consumer, it's not a solution, just another market to exploit.

What's interesting is that greer some weeks back noted that usually when a bubble is about to pop, the mainstream begins to attack the voices that have been warning all along, this has historical precedents, and lo and behold, someone from the mainstream began to first attack the arch druid, then heinberg, for their ongoing comments that fracking is a bubble that is about to pop, most likely. No timelines, but the fact that major mainstream guys begin to feel it's worth their time to attack highly marginalized people basically means the messenger and the message is starting to get a little bit too close to home. I buy this, I don't pay any attention to doomers or survivalists at all beyond noting how easy it is for a guy like greer to write a book on the history that mindset, they are present around us here, but they don't matter in any way in terms of long term culture, it's just a fear of change as far as I can see, and a somewhat exaggerated sense of ego etc, ie, the feeling that you are so important that you actually matter in the midst of a massive material historical shift.

Long term, we'll get back to something sustainable, since non sustainable things can't sustain, but it won't look anything like what we want it to, and it certainly won't be reached by trying to sustain the non sustainable in terms of population and resource extraction. I'm as big a fan of mad max movies as the next guy, but those types of eras last a few years at most, in San Francisco for example there were a few episodes of criminal activity taking over the town in its early days, the COMMUNITY gathered and basically hung enough of the gang guys to put a stop to it, and that was that. History is useful if you want to understand the past and present and future.
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Re: Peak Oil: Are We In The Eye Of The Storm?

Unread postby h2 » Tue 30 Sep 2014, 14:47:21

Also, the US Army a year or two back, I forget when, did a big study that concluded that actual global production levels would start to go into permanent decline around 2015. That's about right, and you will note, is exactly in accord with roughly what the mid case peak oil scenarios predicted, the ones that are not the result of cherry picked selections and quotes so typical of generic shills out to prove that their junk stock reallly is worth buying despite everyone noticing it isn't.
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Re: Peak Oil: Are We In The Eye Of The Storm?

Unread postby Pops » Tue 30 Sep 2014, 16:50:04

h2 wrote: real petroleum geologists (not stock market shills trying to squeeze the last sucker bets out of the suckers before the fracking bubble pops) always put the peak at around 2005 (worst case) around 2012 (mid case) and about 2020 (best case).

I'd just point out that the median C+C+NGPL prediction of real petroleum geologists at TOD in 2008 had peak occurring in 2006 with the mean prediction peak slated for around 2009. No one there predicted it as late as 2020 and in fact none had it as late as today.

The average forecast for production in 2015 was around 75mbpd - we're at about 85mbpd now. Just a straight line prediction based on population growth would have been closer.

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Which isn't to say that since the majority of real petroleum geologists of the Peaker variety were too pessimistic means production will never peak, only that when calling out someone for building strawmen, one should avoid using straw.
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Re: Peak Oil: Are We In The Eye Of The Storm?

Unread postby h2 » Tue 30 Sep 2014, 18:39:12

this was in 1999 or so that I read those numberse, I don't remember when the papers were published, could have been early 90s. I'm referring however to strawmen created by people who like to pretend that there is a long series of failed predictions when nothing of the sort exists. There's nothing straw about that that I can see. All of the best estimates have proven to be remarkably accurate in terms of timing and economic consequences, that's the strawman I'm talking about. Who cares what doomers say, they are just reading stuff other people wrote and pulling whatever they want from that, what's interesting is the actual material reality underlying our situation.

Personally, I see the peak at around 2005, I believe the worst case happened primarily because of the development of China as a consumer. If the peak was about 2005, and if we are now on the bumpy plateau, which was expected to last a while, then 2015 or thereabouts is about right for the beginning of an absolute global decline in production. Because the USA controls the worlds primary currency, it's been able to play a bit of a shell game with production vs cost of production, aka the fracking boom, which is increasingly looking like a bubble that is going to pop, though it's very hard to know when bubbles truly pop beforehand, all you can do is see the instability, how far the system wants to push that instability depends I think on how powerful the wealthy of that system are relative the rest of the society, in our case, it's too powerful, so they can push it pretty far, and have.

Strawman is by the way a term I generally avoid because it's overused and tends to lead to nothing, but in this case it's really accurate, you make some straw dolls, assign them various characteristics, then have them do mock battle, ideally by creating two polar binary extremes, neither of which represents reality at all, then having them battle it out like handpuppets.

If I cared enough to look up the old papers I could find the exact sources, but my memory is pretty clear on the time frames talked about in the late 90s, I remember because it was annoying to think we might have to wait until 2020 for the actual peak to hit when the inevitable outcome was so obvious on material grounds, so the numbers stuck in my head. I want to say it was Deffeyes who was offering the 2020 date, I think he in general was the most conservative of the big names writing on this, if I remember right.

These are of course all estimates based on current consumption levels at the time and various other factors, I don't think most people for example foresaw a state of perpetual war being engaged in the mideast, or the often US supported and backed overthrows of bad but stabilizing leaders of big oil producing nations, it's hard to be sufficiently cynical I think when you are a geologist, but even with that caveat, the predictions have been largely accurate from what I can see.

I'm interested in the big picture though, the systems side of things, so personally I could care less if the US army is right about the decline starting in absolute terms in 2015, or if it, due to various chaotic events, like Libya failing again, Iraq failing ongoing, etc, if it's somewhat stretched out til 2016 or 2017, that makes a difference only to a shill who needs to sell his stocks before the @### hits the fan and the bubble pops, again. The per field decline rates are largely known, the replacement rates rates are known, and the discovery rates are known, if I remember right, it's coming back to me now, for example, discoveries and production hit the same point on the graph about 1985, and it was noted that the lag was about 20 years for bringing new discoveries online (ie, discoveries vs production crossed around mid 80s, discoveries heading down, and production up, but since you can't produce undiscovered oil, the outcome was pretty obvious in the mid 90s, which is why you will never see guys like copious abundance say a word about that fact), so we'd hit peak about 2005 or so, I'm rusty on the details since I'm not paid to follow this stuff, but the details in this case don't make any difference when you are talking about a finite resource peaking, it peaks, then it goes into decline, it's not rocket science, check any coal field you want and you will find the same story written over centuries now, best goes first, worst goes last, best peaks, declines, then you go to worst, gets more expensive to extract, etc, exactly what we are in now that is. so to ignore that, well, that's what you make strawmen for, and the only people who need to make these are people with money in the game.
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Re: Peak Oil: Are We In The Eye Of The Storm?

Unread postby Graeme » Tue 30 Sep 2014, 19:50:12

Peak Oil Is All About Cheap Oil

Russell Gold writes in the Wall Street Journal that perhaps the idea of peak oil is a myth. After all, technology keeps getting better and better, allowing us to extract more oil from old fields. Of course, it's expensive to do business this way:

When the oil industry overcomes an obstacle and boosts oil production, costs typically increase. That opens the door for a better and cheaper energy source that will eventually displace crude oil.

So at some point, the cost of getting more and more oil likely will get so high that buyers can't—or won't—pay....Already, economics is bringing about some changes. Despite the abundance of oil that fracking has delivered, global oil prices remain high. This has kept the door wide open for alternative sources of energy and spending on energy efficiency.

...."There will be peak oil, but it will be [because of] peak consumption," says Michael Shellenberger, president of the Breakthrough Institute, an energy and climate think tank in Oakland, Calif. "What we all want is to move to better, cheaper and cleaner sources of energy."


This is a good example of a common misconception about peak oil. The theory has never really been about the absolute limit of oil in the ground—though, of course, there is an eventual limit—it's been about the amount of oil that can be profitably extracted. Older fields, where you literally just have to drill a hole in the ground and wait for the oil to gusher up, are cheap fields. As the older fields play out, we have to use new technology to extend their lives. And we also have to look for oil in other, more expensive places: polar oil, deep-sea oil, tar sands, and so forth. As we do this, oil gets more and more expensive.


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Re: Peak Oil: Are We In The Eye Of The Storm?

Unread postby h2 » Tue 30 Sep 2014, 19:59:53

Yes, you really had to laugh when they talk about no peak oil, just no cheap oil, as if the two are unrelated. That to me is just absolute intellectual desperation. Kind of pathetic, but kind of comical too. It's expensive because the max production has been achieved, give or take a million barrels a day, and max production has been achieved because the flow rate, what peak oil is about, has reached a limit, or peak. But that's what it looks like when you are a society that is so dependent on a commodity, you stop actually being rational and make up fairy tales etc. All of this was discussed decades ago now, so it's just almost tear inducing to see such articles appear.

"There will be peak oil, but it will be [because of] peak consumption"

I think the thing there is that these guys are trying to sell the liberal fantasy that you can just replace a high energy yield resource which was cheap with low yielding non sustainable technologies like solar power, hydro, and wind. I am using the word sustainable here in the actual sense of the word, not the silly fake green sense of slowing consumption slightly by producing non sustainable goods like LEDs and priuses etc. I am a huge fan of sustainable life, in fact, there is no other kind, that is, everything else will fail and die, since what isn't sustainable doesn't sustain, no matter what greenwashing nonsense people choose to believe. Solar power works great, has for millions, no, billions, of years, we call them plants.

I seem to remember that some noted that it was likely that when peak oil actually hit, we'd start seeing this exact meme, ie, it's the cost, not the availability, as if the cost and the commodity scarcity and extraction difficulty are not one and the same thing.

But it's comical, so I think laughing is the best solution. Or crying, depending.
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