Pound and Oil at seven-month high

ad9898_3

StevieJ wrote: »

What about oil and tar sands these (huge reserves) I am sure are not included in your figures and become very profitable at higher oil prices, also many wells are not milked dry so future extraction technology and also oil price again may change the economics.

The problem with oil shale and tar sands is they are extremely destructive to the environment, and perhaps more to the point the EROEI (energy returned on energy invested) is very low. To put it in context, Middle East oil has a ratio of 30:1, 1 barrel of oil will get you 30 barrels out of the ground, refined, and transported, Tar sands are about 1.5:1, which is next to useless to replace the 85 million barrels currently extracted each day.

ad9898_3

sabretoothtigger wrote: »

Apparently shell have 100bn barrels in reserve, at varying costs to extract I guess

To put that in context, that is just over 3 years of global useage. We consume 30 billion barrels a year, or as a visual 1 cubic mile of oil a year is used by the global economy.

StevieJ

sabretoothtigger wrote: »

this oil sounds a bit like gold. It'll peak but the average price will be much lower

supply and demand has a way of destroying inefficiency I think

Shell seem to be borrowing to pay that dividend but I thought they were worth a look also, do you own the b shares or the A shares



Apparently shell have 100bn barrels in reserve, at varying costs to extract I guess

I own B shares, any idea why the B shares have become higher value than the A? it was always the other way round (about 60p).

donaldtramp

ad9898,
Why are you spending your time educating/arguing with these folk? You know your stuff. I understand EROEI, peak oil, oilfield architecture, the technologies/problems associated with IOR and the consequences of all of this, the folk on here don't.
What's the point banging your head against a brick wall?
Pretty pointless if you ask me. There are far more intelligent oil forums on other websites....

Degenerate

donaldtramp wrote: »

ad9898,
Why are you spending your time educating/arguing with these folk? You know your stuff. I understand EROEI, peak oil, oilfield architecture, the technologies/problems associated with IOR and the consequences of all of this, the folk on here don't.
What's the point banging your head against a brick wall?
Pretty pointless if you ask me. There are far more intelligent oil forums on other websites....

Have they registered oilsupplycrash.co.uk yet?

ad9898_3

Degenerate wrote: »

Have they registered oilsupplycrash.co.uk yet?

Oh how I wish I hadn't studied this subject, I would be as carefree as yourself.

StevieJ

ad9898 wrote: »

To put that in context, that is just over 3 years of global useage. We consume 30 billion barrels a year, or as a visual 1 cubic mile of oil a year is used by the global economy.

But more to the point how many years of Shell production

ad9898_3

StevieJ wrote: »

But more to the point how many years of Shell production

Quite a lot, as long as they aren't being naughty and lying again.

sabretoothtigger

StevieJ wrote: »

I own B shares, any idea why the B shares have become higher value than the A? it was always the other way round (about 60p).

Not quite sure but B shares are the ones for uk people, I think its to do with taxes.

The A shares are for the dutch and have 20% of the dividend withheld by their government, its something like that


As part of a portfolio it seems a good share to me. I wouldnt use it instead of a savings account though, lloyds also had a great divi till it didnt


Peak oil is like peak coal I dont quite get how higher oil price would be bad for shell, they wont run out completely for years.
The commodity shortage argument has existed since the 70's, but its just been normal supply and demand in action to date afaik.





How does Iraq figure in the big scheme I wonder, surely a depressed market

Iraq seen out of OPEC quotas for years -Libya

• Buzz up!
• Digg it

• Reuters, Tuesday June 2 2009

ABU DHABI, June 2 (Reuters) - Iraq was unlikely to return to OPEC's production target system for several years, OPEC member Libya's top oil official said on Tuesday.


Unlike OPEC's 11 other members, Iraq, which desperately needs investment to boost output and repair infrastructure damaged by decades of sanctions, war and neglect, is not subject to the group's production targets.


"I don't see Iraq will be back in the quota system for several years to come unless it returns to production of 4 million barrels per day or so," Shokri Ghanem told an energy conference in Abu Dhabi.


Iraq has the world's third largest oil reserves and currently pumps between 2.3 million to 2.4 million barrels per day, with an ambitious plan to boost production to 6 million barrels in the next five years.

http://www.guardian.co.uk/business/feedarticle/8536781






http://www.telegraph.co.uk/finance/markets/questor/5235514/BP-shares-remain-a-buy-Questor-says.html

mewbie_2

sabretoothtigger wrote: »

How does Iraq figure in the big scheme I wonder, surely a depressed market

I've been musing on Iraq's reserves. Look at how successfully Saddam pretended he had WMD's? Or how much our governments wanted to believe him? I'm honestly not a conspiracist nutter.. and yet... I wonder how much oil there really is.