HIGH DEMAND X LOW SUPPLY

When two causes collide, the resulting effect can become much greater than the sum of its parts. Such is proving to be the case in regard to world oil demand. We don’t really have to “run out.” There just needs to be enough doubt in people’s minds regarding predictable pricing and the reliability of supply to create an extended crisis atmosphere.

Puru Suxena, in a post on 321energy.com writes:

“When discussing ‘peak oil’, it is also important to mention that over the past 35 years, we have discovered just one gigantic oil-field anywhere in the world! For sure, there have been some discoveries in different parts of the world but only a single world-class oil-field has been discovered in over 3 decades; Kazakhstan’s Kashagan Oil Field in the Caspian Sea. This is despite all the technological achievements over the same period. In other words, unless we have been incredibly unlucky and there is indeed a jackpot waiting to be found, this is not a healthy sign.”

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