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Archive for February, 2009

Regaining Perspective On Things That Matter

By on 26 Feb 2009 in Other with 1 Comment
Regaining Perspective On Things That Matter

Everything flows and nothing abides, everything gives way and nothing stays fixed — Heraclitus It is easy nowadays to get caught up in the latest update to the S&P Case-Shiller Home Price indices or the slight rise in producer prices reported recently by the Labor Department. These indicators tell us about our immediate economic future. […]

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Week of February 23, 2009

1. Last Week 2. CERA — a Peak Oiler in the making? 3. Quote of the Week 4. Briefs February 23, 2009 Commentary: Top Stories from 2008 Read Online Library and PDF Subscribe

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Production and Prices

By on 23 Feb 2009 in Peak Oil Review Extra with 0 Comments

In a shortened trading week, high volatility continued due to the now familiar conflict between a widening world recession and OPEC production cuts. There were, however, surprises along the way. When the weekly US inventory report was released on Wednesday showed US crude inventories falling by 200,000 barrels as opposed to an expected 3 million […]

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The March OPEC meeting

By on 23 Feb 2009 in Peak Oil Review Extra with 0 Comments

With three weeks to go before the March 15th OPEC meeting, speculation is rife about what the cartel will do regarding additional production cuts. The traditional price hawks Venezuela and Iran continue to call for another cut, while the OPEC governors, as distinct from the decision-making Oil Ministers, are reported to be opposed to another […]

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Nigeria

By on 23 Feb 2009 in Peak Oil Review Extra with 0 Comments

There were more indications last week that the security, economic, and political situation in Nigeria continues to deteriorate. As more than 300 oil industry employees have been kidnapped in the last three years, foreign oil workers must travel by air or in military convoys, adding greatly to costs and reducing efficiency. In an effort to […]

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China goes shopping

By on 23 Feb 2009 in Peak Oil Review Extra with 0 Comments

With circa $1.5 trillion in foreign reserves, Beijing is taking advantage of low oil prices and the global recession to gain long-term access to sources of oil and other minerals around the world. In recent weeks China has announced concluded or pending deals with Russia, Saudi Arabia, Brazil, Venezuela, and Australia. In most cases, cash-strapped […]

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Briefs week of February 23, 2009

By on 23 Feb 2009 in Peak Oil Review Extra with 1 Comment

Mexico’s state-owned oil company PEMEX said crude output fell 9.2 percent in January as its largest field plunged at the second-fastest rate ever. (2/21, #4) Azerbaijan has cut its 2009 oil production forecast by a fifth to 45 million tonnes due to production problems and low oil prices, potentially ending a decade of rapid output […]

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Quote of the Week

By on 23 Feb 2009 in Peak Oil Review Extra, quotes with 0 Comments

“If the question is, what is Pemex going to do in the short-term to prevent their falling production, I’m afraid the answer is nothing.” [Their production fell 9% last month from January 2008.] — George Baker, energy consultant, publisher of Mexico Energy Intelligence

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Week of February 16, 2009

By on 16 Feb 2009 in Peak Oil Review with 1 Comment

1. Last Week 2. Peak Oil – What do we do now? 3. Quote of the Week 4. Briefs February 16, 2009 Commentary: Top Stories from 2008 Read Online Library and PDF Subscribe

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CERA Week

By on 16 Feb 2009 in Other with 0 Comments

Cambridge Energy Research Associates continues to make news with its annual energy conference in Houston which it dubs CERAWeek. Star attractions such as the CEO’s of Shell and BP told the gathering that despite the recent drop in demand, the prospects for long term growth remain unchanged and that the industry must continue to invest […]

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Production and Prices

By on 16 Feb 2009 in Other with 0 Comments

The trends that have developed over recent weeks continued. Prices started about $40 a barrel on hopes that the US stimulus program will be successful and then fell for 4 days to $34 a barrel due to pessimistic economic news and yet another increase in US crude stockpiles. On Friday, however, prices jumped 10 percent […]

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French realism

By on 16 Feb 2009 in Other with 0 Comments

Among the CEO’s of the world’s major oil companies, Total’s Christophe de Margerie has long been the most realistic about the prospects for further growth in world oil production. Last year he had hinted that production would peak at or below 95 million b/d.  Last Friday, de Margerie broke new ground by telling reporters in […]

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Detroit at the Crossroads

By on 16 Feb 2009 in Other with 0 Comments

This may turn out to be a pivotal week for the US automobile industry as GM and Chrysler are to submit restructuring plans on Tuesday in order to qualify for continued federal aid. The industry’s parts suppliers have already asked the government for $18.5 billion in loans and guarantees. So far the Obama administration has […]

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Quote of the Week

By on 16 Feb 2009 in Other with 0 Comments

“During the last week, we have had fresh estimates for oil demand which now forecast the biggest decline in consumption in more than a quarter of a century.  We have had yet another increase in crude oil stocks, leaving inventories at their highest levels in 15 years, and creating the biggest surplus against the previous […]

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Briefs week of February 16, 2009

By on 16 Feb 2009 in Other with 0 Comments

Russian crude output will drop by nearly 8 percent from last year’s level through 2013 if the government doesn’t provide further aid to producers, Energy Minister Shmatko said at a meeting that Prime Minister Putin convened to talk to oil executives. (2/13, #18) Most Russian oil companies still hope the oil price will magically go […]

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Oil Investment Woes During the Downturn

By on 12 Feb 2009 in Other with 2 Comments
Oil Investment Woes During the Downturn

Another flaw in the human character is that everybody wants to build and nobody wants to do maintenance —Kurt Vonnegut Last week we took a look at new oil production outside of OPEC. I found that phased start-ups are not being postponed despite a deteriorating economic situation that has resulted in low prices, large OPEC […]

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Week of February 9, 2009

By on 10 Feb 2009 in Peak Oil Review with 0 Comments

1. Last Week 2. Redefining ‘Peak Oil’ for the USA 3. Quote of the Week 4. Briefs February 9, 2009 Commentary: Top Stories from 2008 Read Online Library and PDF Subscribe

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Production and Prices

By on 9 Feb 2009 in Other with 0 Comments

The ongoing tension between bad economic news and OPEC production cuts resulted in a virtual stalemate last week. Oil started the week just above $40 a barrel and finished where it started with very little movement in between. Even a jump of 7.2 million barrels in the US crude inventory did little to move prices. […]

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The Eventual Rebound

By on 9 Feb 2009 in Peak Oil Review Extra with 0 Comments

The Eventual ReboundThere is growing recognition that cheap ($40 a barrel), plentiful oil is not going to last forever, and when the price rebound comes, it could be violent. A Merrill Lynch research report released last week notes that un-replaced oil depletion could result in a cumulative decline of global oil production on the order of […]

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Venezuela

By on 9 Feb 2009 in Peak Oil Review Extra with 0 Comments

The situation in Venezuela apparently took a turn for the worse last week and may be coming to a head. A US firm that says it is owed $100 million for drilling services is having difficulty in renegotiating new contracts and is threatening to pull out its drilling rigs. Local unions claim to have taken […]

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Briefs Week of February 9, 2009

By on 9 Feb 2009 in Peak Oil Review Extra with 0 Comments

         As development of the Canadian oil sands “stagnates,” capital investment over the next 11 years will be cut 31 percent from a forecast made only three months ago and will need WTI prices above $70/barrel to resume growth and expansion, according to the Canadian Energy Research Institute. The institute said its […]

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Quotes of the Week

 “If we don’t do anything, we are going to be importing 75 percent of our oil and I promise you, we are going to be paying $200 to $300 a barrel for it” in 10 years.  T. Boone Pickens, CEO investment management firm Senator Richard Lugar’s comments on a gasoline tax (Wash. Post op-ed 2/1/09, […]

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Week of February 2, 2009

By on 2 Feb 2009 in Other with 0 Comments

1. Last Week 2. Dangerous Oil 3. Quote of the Week 4. Briefs February 2, 2009 Commentary: Top Stories from 2008 Read Online Library and PDF Subscribe

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Week of January 26, 2009

By on 2 Feb 2009 in Peak Oil Review with 0 Comments

1. Last Week 2. Obama’s first week 3. Deflation, Reflation and Our Oil Future 4. Quote of the Week 5. Briefs January 26, 2009 Commentary: Top Stories from 2008 Read Online Library and PDF Subscribe

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Production and Prices

By on 2 Feb 2009 in Peak Oil Review Extra with 0 Comments

Oil prices climbed as high as $48 on Monday, collapsed to the low $40s on Tuesday and remained there for the rest of the week. The fall was precipitated by another round of bad economic news which once again outweighed the prospects of OPEC production cuts. Although OPEC officials maintain that the organization was on […]

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