Insight and inspiration in turbulent times.
1.9 million. 13 trillion. 10 billion. These are the numbers that jumped off the page when I read PCI Fellow David Hughes’s latest “shale reality check ” report on the U.S. government’s forecasts of domestic oil and gas production.
Hughes’ recent findings point to not only increasingly overstated forecasts by the EIA, but also increasingly volatile assessments – both of which are highly troubling.
US growth is seen to decline to a meagre 160 kb/d by 2017. That is plausible given the high decline rates in tight oil fields.
Currently lower oil prices due to a combination of increasing oil supplies and subdued demand come at a high cost to the environment and the climate.
Some suggest we are nearing a time of oil and economic security not seen in decades. If only that were true.
Gasoline prices in the United States have risen sharply recently, leading some newspapers to round up the usual suspects.
Before contemplating the use of US oil and gas as a strategic weapon, it might be useful to review a few key fundamentals.
