Change may only happen in small steps, but slowly and surely the geo-politics of oil are changing. The dynamics of Middle Eastern oil are in transition. Anyone who argued that the war in the Gulf was a war about oil should sit up and take notice. And anyone concerned about the climate should also be … Read More
oil demand
Big oil’s race to the bottom is underway and tar sands producers have a head start
Two stories from Canada’s Globe and Mail this week highlight the emerging reality that the oil industry in North America is downsizing; although the commentary mostly misses the underlying trend that is staring it in the face. Firstly, the G&M highlighted an analyst note from Toronto-Dominion Bank, which warned of a glut in oil supplies … Read More
BP: Peak Demand Will Happen Before Peak Supply
Various blogs on the site over the last few months have warned about what peaking global demand will do for the oil industry. Last August in the blog “What About the Demand-Side Warning?” we quoted Lorne Stockman, the author of report on how reducing oil demand might affect the tar sands.
IEA to Reduce Oil Demand Forecasts Again
The tar sands may be doomed. Two of the key arguments against exploiting it are gaining traction, and both may be enough to scupper investment. Yesterday I blogged about how the idea of a carbon-constrained world, which could fatally undermine tar sands extraction, was beginning to be debated in the mainstream press: the message being … Read More
Oil Demand from Developed Countries Peaked in 2005
For a while now there has been a growing consensus that, whilst many people worry about peak supply of oil, peak demand is also an issue, especially in developed countries. I blogged on this back in August, after an analysis by Oil Change, Greenpeace and Platform, argued we could be seeing a demand peak. Well … Read More
What About the Demand-Side Warning?
It’s interesting how peak oil continues to grab the headlines. If you log on to the Independent newspaper this morning the “Exclusive” headline is “Warning: Oil supplies are running out fast.” The paper’s story was based on an interview with Fatih Birol, the lead economist with the International Energy Agency (IEA) who talked how depletion … Read More
There’s nowt like high oil prices
While all the indications are that we are heading for an oil crunch soon, in the short term the high oil prices have finally had an effect on demand. There is an old saying in the world’s financial institutions that “nothing cures high prices like high prices,” and it certainly seems as true today as … Read More
US Begins to Break Foreign Oil “Addiction”
The US is starting to break its “addiction” to foreign oil as high prices, more efficient cars, and the use of ethanol significantly cut the share of its oil imports for the first time since the late seventies. According to a report in today’s Financial Times, the country’s foreign oil dependency is expected to fall … Read More
Twelve Dollars a Year
In the late winter of 2006, the citizens of Burlington, Vermont prepared to elect one of five candidates to a three-year term for an open mayor’s seat. At one forum, a citizen stood up and asked, “Within the next mayoral term, it’s likely the price of oil will hit $90 a barrel and gas will … Read More
$20 Trillion to Meet Oil and Gas Demand
The oil and gas industry will need as much as $21.4 trillion in capital expenditures between now and 2030 to meet sharply growing global demand for hydrocarbons forecast by experts, according to analysts. Larry G. Chorn, the chief economist for Platts, which provides energy and commodities information, argues capital spending is likely to exceed $1 … Read More
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