Thursday, February 10, 2011

Wikileaks: Peak Oil possible as early as 2012

Yesterday the ever-reliable and estimable John Vidal reported that the Saudis have been overestimating their oil reserves by 40%. The data comes from Wikileaks cables.

Key point: "According to the cables, which date between 2007-09, Husseini said Saudi Arabia might reach an output of 12m barrels a day in 10 years but before then – possibly as early as 2012 – global oil production would have hit its highest point. This crunch point is known as "peak oil"."

More detail in the Oil Drum.
That ties in nicely with a 2007 report, BP PLC has lowered its estimate of the world's proven oil reserves, for the first time in more than a decade, in its annual Statistical Review of World Energy published on Tuesday.

This is not good news for devotees of Julian Simon, the Cornucopian.


Anonymous said...

that would put the price up a bit...


DocRichard said...

Demand goes north, supply goes south, result price rise, general inflation. Renewable energy becomes cheap option.