Peak Oil Review – Sept 15, 2008 by Tom Whipple

1. After the hurricanes

2. OPEC, production, and prices

3. In the Congress

4. Briefs

1. After the hurricanes

A last minute jog to the east left most Houston refineries without major wind and water damage from Ike; however the hurricane caused unprecedented damage to the electric grid around Houston and in western Louisiana. Some 16 refineries which produce about a quarter of US gasoline supplies were shut down from lack of power and crude or are facing delayed flooding from swollen rivers. About 4.5 million people could face weeks of power outages. In Beaumont, TX damage was so extensive that local officials estimate it could take more than a month to restore power. […]

2. OPEC, production, and prices

A combination of an unusually controversial OPEC meeting, a second Gulf hurricane, and an unraveling world economy combined to make last week memorable. The week started with Hurricane Ike aiming at Brownsville (TX), where it would do minimal damage to oil facilities, and various OPEC officials predicting that there would be no changes in production levels at the Tuesday meeting despite the $40 a barrel drop in prices over the summer. […]

3. In the Congress

Lawmakers will return to Washington today to pick up where they left off in the bitter fight over energy legislation in hopes that they can pass some sort of energy bill prior to the election. After months of criticism and rising voter concern about high gas prices, Congressional Democrats now seem willing to pass a bill that would permit drilling off the Atlantic and Pacific Coasts with Florida