[MrBill]

I have to agree. It really does not matter what others are doing if you expect prices to be higher in the future. It is simply a matter of choosing to sell today or tomorrow. Of course, your expectation of higher prices may not prove to be correct. But, if you have a finite amount of energy to sell it may be better to stretch it out in the hope of higher prices as over all demand, which is rising exceeds supply, which is limited. However, this only applies to countries and national oil cos. and not to publicly traded oil cos. who have to produce now in order to cover their costs and earn a sufficient return on their shareholders' capital.

[Doly]

$this->bbcode_second_pass_quote('MrBill', 'H')owever, this only applies to countries and national oil cos. and not to publicly traded oil cos. who have to produce now in order to cover their costs and earn a sufficient return on their shareholders' capital.

[MrBill]

Well, one obvious global implication is that as N. Sea, Norwegian, Mexican and US production declines that we will be more dependent on OPEC oil. The percentage of oil will increasingly come from nasty hard to get to places with unstable political and operating environments, which increases the chance of or uncertainty surrounding supply disruptions.

Perhaps one of the reasons that the Athabasca tar sands in good ol' Canada are looking more attractive despite what Jim Kunstler says?

At current rates of extraction there are going to be fewer exporters in less than 15-years, which is going to increase the pricing power of those who are left.