Re: An Energy Tsunami Ahead?
Yeah, people don't seem to be paying attention to this.
Demand is ever increasing as China and India increasingly industrialize. There isn't a whole lot of new technology that will replace oil as an evergy source, because oil is so relatively cheap.
I read a report recently that production at each of the majors will peak sometime in the 2008-2014 timeframe. Sure, they are still investing in exploration, but the new fields are small, low-quality, or expensive to extract. Overall, there isn't a whole lot of excess capacity worldwide. Several OPEC members (Venezuela) are already well past their peak production.
In summary -
Demand side: I can't see anything that is going to slow the growth in demand, except rising oil prices
Supply side: worldwide production is going to peak in the next 5-10 years (best case)
Result: $100 oil sooner than you think.
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