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Archive for October, 2008

OPEC

By on 27 Oct 2008 in Other with 0 Comments

Despite the predictions that the Oct. 23 meeting would be contentious, OPEC decided in 90 minutes to cut its oil production by 1.5 million b/d and allocated the cuts among its members. The final cut was a compromise between the conservative Gulf producers who were arguing for a cut less than 750,000 b/d and the […]

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A Spreading Crisis

By on 27 Oct 2008 in Other with 0 Comments

Oil prices moved above $75 a barrel early last week as the markets anticipated a cut in OPEC production. By Wednesday, however, fears of a deepening recession, falling equities markets, a rising dollar, and increasing US stockpiles overcame concerns over the production cut to send the markets lower, closing out the week at $64.15. Early […]

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Investment in new production

By on 27 Oct 2008 in Other with 0 Comments

Hardly a day goes by without a report that investment in new oil production projects is being delayed, postponed or cancelled. A combination of falling oil prices, declining demand, the unavailability of loans, and fears of a global economic meltdown are more than enough to stop many projects.

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Quote of the Week

By on 27 Oct 2008 in quotes with 0 Comments

“I’m strongly of the opinion that we’re on the cusp of a global liquid fuels crisis. The forthcoming energy crisis, should it develop, could result in economic, political and social stresses, and turmoil on a scale not experienced for half a century.” Jim Gray, former CEO of Canadian Hunter Exploration.

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ASPO-7 Conference Barcelona 2008 – Notes

By on 27 Oct 2008 in commentary with 0 Comments

By Dick Lawrence The seventh annual European conference on Peak Oil was held in Barcelona, Spain on October 20-21.  The conference theme was “Peak Oil: From Below Ground to Above Ground”.   This could probably be classified as the first conference of the formally-incorporated organization ASPO- International, which came into being following the Cork (Ireland) conference […]

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The OPEC meeting

By on 23 Oct 2008 in Other with 0 Comments

This week’s price drop sets the stage for what may be the most pivotal OPEC meeting in years. If oil prices stay in the vicinity of Wednesday’s close, then OPEC will only be receiving on the order of $55 a barrel for its oil, below or close to the price the nearly all the members […]

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Collapsing Prices

By on 23 Oct 2008 in Other with 0 Comments

The week started with prices rising as the stock markets saw some improvement in inter-bank lending rates and the oil markets looked forward to an OPEC production cut on Friday. Oil climbed above $75 a barrel on Monday and Tuesday morning before the roof fell in. The reversal, caused by pessimistic earnings reports, sent the […]

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Financial turmoil

By on 20 Oct 2008 in Other with 0 Comments

So far it has been another week of violent price swings and falling markets as world governments dispersed countless billions in efforts to free up credit and shore up equity markets. In the last three days a veritable avalanche of government loans, programs, and interest rate cuts have been thrown at the problem from around […]

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Briefs October 20, 2008

By on 20 Oct 2008 in Other with 0 Comments

Cuba announced there may be more than 20 billion barrels of recoverable oil in offshore fields in Cuba’s share of the Gulf of Mexico, more than twice the previous estimate. Drilling is expected to start next year by Cuba’s state oil company Cubapetroleo. The US Geological Survey estimates that Cuba has a significantly lower amount-up […]

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The OPEC production cut

By on 20 Oct 2008 in Other with 0 Comments

All eyes will be focused on the OPEC meeting that takes place in Vienna this Friday. With prices falling another $10 last week, some form of cut seems inevitable. At an average of $68 a barrel for OPEC crude prices are now below the level required to permit Venezuela and Nigeria to continue spending at […]

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Oil amidst the financial crisis

By on 20 Oct 2008 in Other with 0 Comments
Oil amidst the financial crisis

The multi-trillion dollar coordinated government bailout of the world’s banking system boosted equity and oil prices for less than two days before a three-day plunge sent oil to $68 a barrel for the first time in 16 months. The $15 drop was enough to spur OPEC to move up its emergency meeting from after the […]

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Prices and the Bailout

By on 6 Oct 2008 in Other with 0 Comments

Oil prices, and nearly everything else, were dominated by the course of the $700 billion liquidity bill through Congress last week. On Monday oil fell by a record $10 to $95 a barrel after the House of Representatives rejected the first version of the bill. By the next day however, oil was back up to […]

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Gasoline shortages

By on 6 Oct 2008 in Other with 0 Comments

The effects of September’s hurricanes were still being felt across the southeast last week. While the refineries are nearly all back on line, 40 percent of the Gulf’s normal offshore production is still shut-in. The DOE continues to release crude from the Strategic Petroleum Reserve to make up for the shortfall. Gasoline shortages are expected […]

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China

By on 6 Oct 2008 in Other with 0 Comments

One of the key factors determining oil prices and global demand for oil over the next few years will be the course of China’s economy. Beijing continues to maintain that its GDP is now so big and its foreign exchange reserves so large that they can weather a deep, prolonged recession in the rest of […]

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India

By on 6 Oct 2008 in Other with 0 Comments

As power shortages and blackouts due to poor monsoon rains and increased demand spread across India, the issue of using expensive, subsidized diesel to fuel generators for backup power is becoming important. In one state, diesel consumption jumped by 14 percent in the weeks after the blackouts started. The issue is complicated by the policy […]

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Trouble in Detroit

By on 6 Oct 2008 in Other with 0 Comments

Now that gasoline prices are receding, lack of credit to finance new car sales has become Detroit’s number one problem. In September, US auto sales reached a 15-year low with sales of cars and light trucks falling by 27 percent to 964,000. There was some good news, however, when President Bush signed off on a […]

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Briefs October 6, 2008

By on 6 Oct 2008 in Other with 0 Comments

(clips from recent Peak Oil News dailies are indicated by date and item #) Russia’s oil production fell for the ninth straight month, down 0.4 percent in September compared to the same period last year, to 9.83 million barrels per day, the first time since 1998 that Russia will suffer an annual decline.  In terms […]

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Quote of the Week October 20, 2008

By on 6 Oct 2008 in quotes with 0 Comments

“One of the key questions the country faces is whether we will use our remaining wealth and fossil fuel to prop up the past or to transition to a different future.” — Carl Etnier, Energy Matters column (9/29, #15)

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