Donate Bitcoin

Donate Paypal


PeakOil is You

PeakOil is You

If US oil import is lowest in years, why is oil above $110?

General discussions of the systemic, societal and civilisational effects of depletion.

Re: If US oil import is lowest in years, why is oil above $1

Unread postby Econ101 » Sat 16 Mar 2013, 17:44:48

$this->bbcode_second_pass_quote('pstarr', 'Q')uinny it's not surprising Econ101 can't respond. He's a freshmen economics student who has yet to be taught the somewhat confusing relationship between energy, money, and debt, and so confuses basic energy math. Modern rotary drilling, by focusing kinetic energy more precisely on rock crystalline structure and flushing away debris, is more efficient, and so requires less energy inputs and therefore . . . increases, not decreases eroei.


:lol:

The bit therefore increases, not decreases eroei? I thought our oil was worthless it had such a low eroei? I thought that's why we were in such terrible financial trouble because of our low eroei? Now you are telling me a technological advance, turning a cutting bit instead of pounding a wedge, is raising eroei even though the rotating bit takes far more energy to make and the rig takes far more energy to operate? :o
Last edited by Econ101 on Sat 16 Mar 2013, 18:12:32, edited 1 time in total.
Econ101
Lignite
Lignite
 
Posts: 322
Joined: Sat 01 Sep 2012, 07:47:56

Re: If US oil import is lowest in years, why is oil above $1

Unread postby Econ101 » Sat 16 Mar 2013, 18:02:46

Apparently pstarr and I agree even though a more energy intensive bit is applied to the drilling process the overall eroei of the oil is enhanced in at least 2 ways:

1) Drilling is more efficient and less energy intensive
2) Total production is greatly enhanced

As a result eroei of oil actually went up with the introduction of a new, more energy intensive technology.

Now comes fracking. It certainly introduces a new more energy intensive component to the process but can it, in the same manner as the bit, increase overall eroei? It certainly can, and does in one primary way:

1) Total production is greatly enhanced. Staggering new energy supplies are now made available for a very modest increase in energy inputs.

IN REVIEW:

$this->bbcode_second_pass_quote('ECON 101', 'E')nergy in is fixed at the amount it takes to get the oil above ground.

Energy out is fixed at the amount that will ultimately be produced or EUR, which is constantly going up because of technological advances.


CONCLUSION:

$this->bbcode_second_pass_quote('ECON 101', 'B')oth the rotating bit and fracking enhance eroei because the increase in EUR is greater than the increase in energy inputs.
Econ101
Lignite
Lignite
 
Posts: 322
Joined: Sat 01 Sep 2012, 07:47:56

Previous

Return to Peak Oil Discussion

Who is online

Users browsing this forum: No registered users and 0 guests

cron