We've passed oil's peak, but...

ARTICLE: Oil Industry Sets a Brisk Pace of New Discoveries, By JAD MOUAWAD, New York Times, September 23, 2009

Unbelievable. Price + technology = new finds!

The oil industry has been on a hot streak this year, thanks to a series of major discoveries that have rekindled a sense of excitement across the petroleum sector, despite falling prices and a tough economy.

These discoveries, spanning five continents, are the result of hefty investments that began earlier in the decade when oil prices rose, and of new technologies that allow explorers to drill at greater depths and break tougher rocks.

"That's the wonderful thing about price signals in a free market -- it puts people in a better position to take more exploration risk," said James T. Hackett, chairman and chief executive of Anadarko Petroleum.

More than 200 discoveries have been reported so far this year in dozens of countries, including northern Iraq's Kurdish region, Australia, Israel, Iran, Brazil, Norway, Ghana and Russia. They have been made by international giants, like Exxon Mobil, but also by industry minnows, like Tullow Oil.

Weird how that works.

Comments

[Petrer]

Oil still has a HUGE future, given that I predict Americans can withstand up to $5 dollars/gallon, inflation adjusted...and 6-7 with European like adjustments (minus the socialistic consumption taxes, taking from the rich really never worked...)....sucks, but we can put up with it. And despite all that, we need the oil for other manufacturing processes anyway.

At 6-7, I also predict monthly bullshit hearings about "price gouging" from the House and Senate...no matter the party.

6-7 is HIGH, given that the "environmental mixtures" based on area (actually a great gouge for the oil companies) would be streamlined so, for example, a Californian can buy Nevada's "special" (bullshit) "blend."....those perfumes will disappear.

[Tom Barnett]

I agree we head that way, and that we're better off without cheap gas.