Bloomberg Video Simmons Says Global Oil Supply Has Peaked; Sees Oil Up to $300 February 1 (Bloomberg) -- Matthew Simmons, chairman of Simmons & Co. International in Houston, talked yesterday with Bloomberg's Rhonda Schaffler about the need to address energy use, his view that global supply has peaked and the likelihood oil prices could reach as much as $300 a barrel. (Source: Bloomberg)
<div class='quotetop'>QUOTE(IndyDoug @ Feb 1 2007, 07:35 PM) [snapback]384182[/snapback]</div> Ha! Good thing we're in Iraq!
Could this be another subtle clue? http://www.rigzone.com/news/article.asp?a_id=40538 MEXICO CITY Jan 29, 2007 (From the Wall Street Journal via Dow Jones Newswires) Daily output at Mexico's biggest oil field tumbled by half a million barrels last year, according to figures released Friday by the Mexican government. The ongoing decline at the Cantarell field could pressure prices on the global oil market, complicate U.S. efforts to diversify its oil imports away from the Middle East, and threaten Mexico's financial stability. The virtual collapse at Cantarell -- the world's second-biggest oil field in terms of output at the start of last year -- is unfolding much faster than projections from Mexico's state-run oil giant Petroleos Mexicanos, or Pemex. Cantarell's daily output fell to 1.5 million barrels in December compared to 1.99 million barrels in January, according to figures from the Mexican Energy Ministry.
Cantarell was abused. They shouldn't have shoved so much nitrogen down into the wells. That's how they were able to jack the production numbers up so high. The field peaked in 2004. The Burgan field has also peaked. The big question is how much longer are the big (and old) saudi fields gonna last. The Saudis are very tight lipped about what their reserves really are. We won't really know until they're forced to admit that they can't increase their production.
