[skjhlkj]

I'm new to the peak oil thing, and I think it's gonna be terrible when we ran out of oil (economically).
I just saw the news that oil price spiked up to $93, and mainly because Mexico shut down productions (due to weather, I suppose).

But just exactly how tight is our oil supply? Is the demand greater than supply right now? How high is our winter demand for oil? I can understand the high summer demand for oil (driving season?), but is there any high demand for oil in the winter?

If, somehow, politics got stabilized in middle east, Mexico production came back, and U.S. dollars got stabilized as well, would price come back down?

boy, if oil price keep going up, we gonna have problems with inflation, recessions, and all sort of other problem.

[Satori]

check out the website Life After the Oil Crash,both the forum and the breaking news section will give you plenty to be depressed about,the Peak Oil site is obviously a great place for more information
there are also numerous books out on Peak Oil, a quick web search will bring up numerous references

[AirlinePilot]

I have found this link to be a good initial overview of what the basic problem is for new folks.

http://www.ccs.neu.edu/home/gene/peakoil/

Welcome to the suck.

[jedinvest]

But, is this it? Is this when we can no longer acknowledge that our future is limitless?? Is this not only when everybody gets it, but when there are effects, like gas prices going to $5.00 and possibly rationing in a matter of months??

[Satori]

$this->bbcode_second_pass_quote('jedinvest', 'B')ut, is this it? Is this when we can no longer acknowledge that our future is limitless?? Is this not only when everybody gets it, but when there are effects, like gas prices going to $5.00 and possibly rationing in a matter of months??

[joewp]

It's really tight. It's so tight that for the last several years the poorer countries around the world haven't been able to get enough fuel to continue living as they had. There's a thread here that highlights the troubles around the world. This will only get worse as oil climbs past $90 and into three-figure price territory. The effects are already being felt in the US, what do you think the housing crisis is a symptom of? On top of that, there's many people here who are hurting badly from near $3.00/gallon gas and $2.80/gallon heating oil, or will be soon.
$this->bbcode_second_pass_quote('', 'I')f, somehow, politics got stabilized in middle east, Mexico production came back, and U.S. dollars got stabilized as well, would price come back down?

[yull]

Our current supply is very tight. World oil production has now been stagnant for around 2-3 years as the Peak Oil plateau sets in. Current production now is only about 85.5 million barrels per day while demand for the 4th quarter of this year is expected to be 88mbd, so there is a clear shortfall. This is why the price of oil is so high.

[aahala]

Chances are the supply relative to demand is a lot less tight
than it was 48 hours ago. $93 oil tends to reduce the amount
demanded.

Now if you want to count as "demand" the folks wanting to
pay $60 or $40 or $20, or any dollar amount below current
market prices, that is always much greater than supply.

[inculcated]

$this->bbcode_second_pass_quote('aahala', 'N')ow if you want to count as "demand" the folks wanting to pay $60 or $40 or $20, or any dollar amount below current market prices, that is always much greater than supply.

[skjhlkj]

$this->bbcode_second_pass_quote('yull', 'O')ur current supply is very tight. World oil production has now been stagnant for around 2-3 years as the Peak Oil plateau sets in. Current production now is only about 85.5 million barrels per day while demand for the 4th quarter of this year is expected to be 88mbd, so there is a clear shortfall. This is why the price of oil is so high.

[Gazzatrone]

$this->bbcode_second_pass_quote('skjhlkj', 'A')lso, if the demand is going to be greater than supply, wouldn't the price of Oil just keep on going up?

I mean, I know that higher price would decrease demand. But oil is one thing that we need almost at any price. Sure the demand would go down if the price go to $250, but we still need oil. Our economic is build on oil.

[Revi]

$this->bbcode_second_pass_quote('skjhlkj', '')$this->bbcode_second_pass_quote('yull', 'O')ur current supply is very tight. World oil production has now been stagnant for around 2-3 years as the Peak Oil plateau sets in. Current production now is only about 85.5 million barrels per day while demand for the 4th quarter of this year is expected to be 88mbd, so there is a clear shortfall. This is why the price of oil is so high.

[RedStateGreen]

Study this page and I think you'll see what's going on.

According to that page, the US has a 20 day supply of oil. I'm sure the UK has a similar situation. That's the buffer between us and anything interfering with the oil supply.

There's an article on the front page of this site saying someone in Congress is agitating to dip into that. I think it's a bad sign if Congress isn't even aware of what's going on.