pstarr wrote:I read that much and I got bored. The rest has to be nonsense?The fields they are finding have bigger and bigger payouts.
What is bigger and bigger? I remember when Kashagan was the next big thing. When was that? Back around 1998 when the OOIP was thought to be 60 billion barrels and then it was downgraded to 10 billion barrels. Is anything coming from that sulfurous pit? No.
There have been ZERO super giants to replace the North Sea, Cantarell, North Slope . . . . much less Ghawar. Now they are all tiny pikers and the real decline is 6.7%
GoghGoner wrote:scssvop wrote:As the price to discover oil becomes higher, the price of oil will rise to cover those costs. I don't think oil will be here forever, but I think it will still be here for a long time to come at a reasonable cost.
I remember reading oil prices over $80 cause economic distress in some research by the Wharton School of Business a few years ago (sorry, no link). I have also read numerous articles, many from Saudi Arabia, that agree with that assessment. Since oil is currently at or above this reasonable cost, I don't understand your statement at all.
GoghGoner wrote:scssvop wrote:As the price to discover oil becomes higher, the price of oil will rise to cover those costs. I don't think oil will be here forever, but I think it will still be here for a long time to come at a reasonable cost.
I remember reading oil prices over $80 cause economic distress in some research by the Wharton School of Business a few years ago (sorry, no link). I have also read numerous articles, many from Saudi Arabia, that agree with that assessment. Since oil is currently at or above this reasonable cost, I don't understand your statement at all.
rangerone314 wrote:scssvop wrote:Thank you for the warm welcome. I have to admit I have never heard of EROEI. I did a quick search though. From what I understand, it is a concept of diminishing return. Correct?
I always thought concern about EROEI was silly because extracting energy would become quite likely become unprofitable BEFORE EROEI goes to 1:1 because in monetary terms the Energy Invested is just one cost of several...
If you managed to stay profitable despite EROEI being less than 1:1, it would indicate you are using some energy input that is (cheaper) and that the energy output is of some form that is more useful to parties willing to pay (profitable)
If it took 5000 units of solar energy to extract 4000 units of petroleum energy, I would say that is a fair exchange.
TheDude wrote:
Did you get anything out of the SLB/Smith merger, too?
scssvop wrote:The good news is that as the price of oil rises, demand for alternative resources and fuel savings rise.
GoghGoner wrote:scssvop wrote:The good news is that as the price of oil rises, demand for alternative resources and fuel savings rise.
Well, the response to this comment could easily fill a book but a couple of quick points:
The alternative source so far is ethanol in the United States. One problem with that alternative is the price of corn is now arbitraged to the price oil. Since the United States, not only consumes mainly corn but also is the largest exporter in the world, the rising price of oil greatly increases world hunger and reduces consumption of other goods. (really we are not replacing oil with ethanol but with natural gas since that is the main input).
The second quick point is that Prius drivers actually put more miles on their vehicles than non-hybrid drivers because it is cheaper (see Jevons paradox). Hybrids do not reduce oil consumption.
The third quick point is if everybody starts consuming less goods then Capitalism is no longer viable. Furthermore, in reduced growth scenarios, the national debt is too burdensome and the government defaults.
schmuckduck wrote:Hey everyone.
I used to post here way back in 2004 under the name "pterodactyl". My old login details don't work anymore though so I've re-registered with this name.
I'm interested in all aspects of peak oil, particularly how things are likely to play out in Australia.
Nefarious wrote:Welcome
Nothing wrong with your profession.We all do what we have to in order to put food on the table. Hell I work in the offshore oil industry
concerned pilot wrote:Oh I don't feel bad about it at all, I just know some environmental types frown on aviation, and I figure there are more then a few on here.
I'm hoping down the road that biofuels (algae based) really take off, or whatever scientific wizardry the pointy heads can come up with. In the mean time I’m just watching, reading, and hoping that this is blown out of proportion.You haven't read enough!! The hard truth of the matter will scare the shit out of you!!
Either way, peak oil or not, we do need to change how we live to something a bit less destructive.
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