Bad News for Peak Oil Fans

[Pangloss]

Looks like Saudi Arabia has a lot more oil than previously believed. They're talking about an increase of almost two-fold, and enough of it is from new sources that they're looking at a 33-50% capacity increase (from 10 to 15 million barrels per day).

 

Of course this is just a drop in the bucket compared with the 20+ mbpd increase we're looking at over the next 5-10 years from China+India alone, but I think it does underscore the point that you can never really say that we fully understand what's going on down there.

 

 

Arab News:

http://www.arabnews.com/?page=1&section=0&article=61713&d=7&m=4&y=2005

 

Bloomberg:

http://www.chron.com/cs/CDA/ssistory.mpl/business/energy/3122146

[TimeTraveler]

Hope it's true, but considering how much this type of information has been falsified to create inflated market prices, particularly by Saudi Arabia, I highly doubt it is true.

[darth tater]

Hope it's true, but considering how much this type of information has been falsified to create inflated market prices, particularly by Saudi Arabia, I highly doubt it is true.

 

I don't understand how the promise of an increase in the supply of a commodity would result in an increase in the price of that commodity.

 

It would seem that the way to increase oil prices would be to claim that the supply had been reduced, not increased.

[Pangloss]

Hope it's true, but considering how much this type of information has been falsified to create inflated market prices, particularly by Saudi Arabia, I highly doubt it is true.

 

Has it? That sounds interesting, do you have any other information on that that I could read up on? (I mean specifically about Saudi Arabia falsifying information about its oil reserves or production capacity.)

[Ophiolite]

A word of caution. The Saudi statement is that they might manage to increase their estimated reserves by around 200 billion barrels. The USGS estimate of their Ultimately Recoverable Reserves already stands at 374 billion barrels, roughly 115 billion barrels above the currently Proven Reserves of 261 billion barrrels. The USGS estimate of Ultimately Recoverable Reserves pretty much assumes current production technology and as the report noted the Saudis plan on "increasing what it produces from existing fields".

In short, this barely constitutes any change at all.

[klanger]

The press here in England in recent weeks have stated that the prices are going up considerably, the effect on the motorist is estimated at a £1 increase per litre, that puts our petrol/gas to £1.80 per litre that's roughly $3.40.

 

That will increase the cost of filling up my car from £40 to £90. an equivelent roughly of $165. for a tank of gas

 

Of course this will also have a knock on effect with increased prices throughout the country for food clothing and anything else that is moved by lorries/trucks to shops or workplaces.

[ed84c]

£1 a litre? I think that may be scarmongering a little........

 

 

Personally i hope the oil runs out so we dont have global warming

[Ophiolite]

£1 a litre? I think that may be scarmongering a little.....

Definitely. Klanger where did you see these reports?

[Guest webspinur]

I personally didnt see it, but there have been several people where I work that read it in one of the papers, which one I dont know as I dont buy newpapers. Gonna go now and see if I can call up anything on it on the net, will let you know what I find if anything.

[klanger]

#9 previous post was me lol .......... no I'm not blonde, hubby hadnt signed out and I didnt think to check

[klanger]

I cant find the origional piece, but did find an irish papers comment about it, where the increase (though it would now appear they have changed their minds) gets mentioned

 

http://www.uup.org/media/media_03_12_04_armstrong.htm

[Ophiolite]

Please tell me where in your link there is any reference to a one pound sterling per litre increase in price? There is reference to a 1.0p per litre increase - one penny per litre. 1% of the increase you refer to. What am I missing?

[darth tater]

The press here in England in recent weeks have stated that the prices are going up considerably' date=' the effect on the motorist is estimated at a £1 increase per litre, that puts our petrol/gas to £1.80 per litre that's roughly $3.40.

 

That will increase the cost of filling up my car from £40 to £90. an equivelent roughly of $165. for a tank of gas

 

Of course this will also have a knock on effect with increased prices throughout the country for food clothing and anything else that is moved by lorries/trucks to shops or workplaces.[/quote']

Do you happen to know how much of that is tax?

 

I understand that the taxes on fuel in the UK are awsome.

[klanger]

Darth tater this is an oldish post on the net but will give you some idea of the taxes involved.

 

http://www.nanlf.co.uk/concerns/transport/petrol_prices_and_taxation.htm

[klanger]

I ended up going to the BBC homepage and searching oil prices. That gave me a few of the recent headlines in the news that covered the increase in the price of oil per barral. Looks like ed84c was probably right about the scaremongering. The chances are some of the local rags got hold of this information and blew it out of proportion. Or my colegues simply misread the headline, knowing how some of the rags word things, it is more than possible that they were simply trying to make headlines that would be eye catching.

 

I havent bought a newspaper for years, not since they started hounding Lady Diana prior to her marriage. Some of these newspapers just dont seem to be happy unless they are tearing someone down. As far as I am concerned they played a huge part in her death. However, that would be a completely different topic.

[ed84c]

Britsih Oil taxes are high as we happen to care about the environment.

[klanger]

so in that case the taxes are used to ????? what is it the government spend those taxes on to help the environment?

[ed84c]

no, its meant to deter people from using too much oil, and therefore people in the UK take large interest in a cars mileage.

[klanger]

well yes that is true, a car is sold mainly on how low the mileage is. But that doesnt take away from the fact that we are charged over the top for petrol. Personally I think one way or another the government takes back more than enough tax from us in our earnings and spendings, if the extra on the cost of petrol isnt going directly to helping the environment then what is it spent on, it must be billions of £'s

[ed84c]

NHS maybe, education? even (wait for it) public services.

 

Dont get me wrong im not any sort of socialist hell bent on sky high taxes (far from it) however I do not want to end up in a society such as America, and i quote;

 

<Gilded> The American car "culture" is fun btw

<ed84c> ??

<Gilded> My English teacher was an exchange student in America and when she walked from school to home people stopped and asked her if there was something wrong

 

People in the US use pick up trucks that drive at 7mpg thats as much as a formula 1 car!

[darth tater]

Where I live in the US, gasoline is selling for about $2.35 pr. gallon. In my state, we have a combined tax of about 50 cents pr.gallon. That is federal, state road tax and state sales tax. Therefore, the gas actually costs about 1.85 a gallon. How does that compare with the actual price of gasoline in the UK?

 

I know that you guys buy by the liter, but we can figure it out.