1. I bears repeating that the price of carbon-base fuels does not reflect the price. While arguments that cheap energy from fossil-fuels spurs economic growth, it is at the price of literally burning our children’s birthright and contaminating the environment they will live in. While it is difficult during hard times to keep a focus on the distant future we are still bound by both morals and ethics to do so.

    It is unlikely that hydrocarbon fuels will ever be fully displaced, especially in light and medium transport, this should not deter us from seeking to eliminate their use where we can.

  2. Oil price is a great indicator of the status of the world economy. Price goes up, economy is growing, price goes down, economy is contracting. That is for the global economy.

  3. I’m not so sure that this unofficial floor price of $70 is real. I think that once the rig is in place that they can make money at well below the $70 figure. they don’t make as much, but they make plenty of money even at $50.

    1. That sure appears to be what’s happening with gas. I’m sure that the total cost of (shale) gas production is well over the $2 gas is selling for today. (I had heard ~$6). I’m even surprised that the going-forward incremental cost of an existing well is that low.

      Does anyone have any data on what the raw production cost is for shale gas (on average)?

Comments are closed.

Recent Comments from our Readers

  1. Avatar
  2. Avatar
  3. Avatar
  4. Avatar
  5. Avatar

Similar Posts