Oil find unlikely to bring back cheap gasoline

Recent test shows big potential in Gulf of Mexico, but demand is growing strongly

News of a successful test in a potentially huge oil field in the Gulf of Mexico last week may have led some Americans to stop planning for hybrids and go back to dreaming about owning gas guzzlers.

Chevron and Devon Energy’s success with the Jack 2 project some 270 miles offshore and five miles below sea level has been heralded as confirmation that the U.S. can continue to count on the Gulf of Mexico as a key source of energy.

“Biggest find in a generation,” touted one news headline. “Oil relief in sight?” another asked, while another predicted “Huge supply has potential to cut prices years from now.”

While validating the big discovery may bolster the view of the oil-supply optimists, even they don’t predict a return to the days of cheap gasoline in a world where demand is growing so strongly.

Houston Chronicle