This is one of the best summaries I have ever seen about peak oil. It condenses pretty much all the important factors in one short article. It's quite hard to argue that we are mostly producing what was discovered a long time ago, and less and less new discoveries occur. This "supply gap" has to be closed eventually with higher prices. Once radically higher oil prices are here, many options are possible: lower consumption, more expensive resources, non-oil alternatives. But that's why investing in energy makes sense: to profit until that point is reached. And besides, even everything equal, oil investments should maintain their value better than the U.S. dollar.
Regarding CO2 caps, this sounds like a negative for oil prices, as the fossil fuel consumers/producers end up paying in favor of non CO2 alternatives. This comes at the expense of oil investors.
Nuclear clearly stands to benefit at some point from the declining production of oil AND the CO2 problem. But we might not be there yet, and again we will see probably higher oil prices first. Only then will the public opinion, streamlined permitting, and new research budgets kick in.
Our comment:
This is one of the best summaries I have ever seen about peak oil. It condenses pretty much all the important factors in one short article. It's quite hard to argue that we are mostly producing what was discovered a long time ago, and less and less new discoveries occur. This "supply gap" has to be closed eventually with higher prices. Once radically higher oil prices are here, many options are possible: lower consumption, more expensive resources, non-oil alternatives. But that's why investing in energy makes sense: to profit until that point is reached. And besides, even everything equal, oil investments should maintain their value better than the U.S. dollar.
Regarding CO2 caps, this sounds like a negative for oil prices, as the fossil fuel consumers/producers end up paying in favor of non CO2 alternatives. This comes at the expense of oil investors.
Nuclear clearly stands to benefit at some point from the declining production of oil AND the CO2 problem. But we might not be there yet, and again we will see probably higher oil prices first. Only then will the public opinion, streamlined permitting, and new research budgets kick in.