Oil Market Analysts Issue Dire Warnings

While this year’s record high oil prices are unlikely to come down in the near future, analysts are warning the world’s traditional and emerging economic powers to curb consumption, saying that at the current rate, proven reserves will only meet demand up to 2030.

“The current model (of consumption) is suicidal,” Venezuelan Energy Minister Rafael Ramirez recently told journalists. “The United States, for example, will use up its oil reserves in 10 years, and after that it will go after its rivers, lakes and forests.”

..”Since oil began to be drilled in 1859, the world has consumed 900 billion barrels – nearly half of the planet’s reserves (according to an oil industry expert quoted by the Wall Street Journal), which means we’ll have oil for another 50 years at the most,” said Francisco Mieres, a professor of postgraduate studies on the oil economy at Venezuela’s Central University.

But because consumption is increasing every year, driven by economic growth rates like those of China – which have ranged between seven and 11 percent a year – “oil will perhaps only last until 2030, even including reserves like Alaska’s and the Athabasca tar sands” in Alberta, Canada, Mieres told IPS.

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