Monday, September 29, 2014

WSJ poohs the concept of "peak oil"

An Energy insert in the Wall Street Journal Monday explains “Why peak-oil predictions haven’t come true, and probably won’t,” a long historical survey of oil supply by Russell Gold, link here

Peak oil had been predicated as early as 1885.  There was a documentary film about it in 2004, and for a long time some observers said that domestic production had already peaked around 1970, before the Arab oil embargo of 1973-1974.

The main concern, of course, is the environmental cost of the new sources of fossil fuel energy – carbon emissions, the dangers of fracking (which might be overstated) and the debate over shale and the Keystone pipelines.
I moved to Dallas in 1979 and lived there until 1988.  But during the Reagan years an oil glut developed as the Saudis pumped more oil; history in Wikipedia here. The glut would lead to the Savings and Loan crisis in oil producing states in the late 1980s. 
Bloomberg is reporting that the US has passed Saudi Arabia as the world's biggest oil (or liquid hydrocarbon fuels) producer, here.  

No comments: