Is Oil’s Ride Almost Over?

Big oil companies are scrambling to keep their reserves up. Land wells are showing signs of depletion. And the recent surge in offshore drilling could be oil’s final frontier.

“If you continue on the course you’re headed, that’s where you’ll end up.” -Chinese Proverb

If worldwide consumption of oil continues growing, we’ll end up in a global crisis. And there’s every indication that’s where we’re headed.

Peak Profits

Crude oil prices were threatening $60 per barrel yesterday. But whether or not oil falls back a little, one thing is certain-prices have successfully established a floor of $50.

And if $50 dollars a barrel sounds cheap now, just remember that this is nearly double what it cost three years ago.

Oil is predicted to average $65 per barrel in 2007. But this estimate is extremely low. Prices could easily spike to $100 per barrel if it turns out to be a volatile year.

Energy and Capital