X-Message-Number: 29437 From: "Mark Plus" <> Subject: Oil reserve trends Date: Mon, 16 Apr 2007 19:00:23 -0700 David Stodolsky, who normally cites interesting references for his arguments, accuses me of ignoring "factual information" about the trend in oil reserves, without citing any himself. I just go by what look like reputable sources on the Web, for example what appeared today on an oil-related site: http://www.oilonline.com/news/headlines/internet/20070416.Energy_I.23474.asp Energy Intelligence survey shows world oil reserves are not being fully replaced by: OilOnline Monday, April 16, 2007 The world is currently producing more oil annually than it is replacing with new reserves. That sobering conclusion emerges from a new survey of global liquids reserves published by Energy Intelligence. In contrast to the gradual rise in global oil reserves that has been reported annually in most surveys based on public sources, the new assessment shows that the trend in worldwide liquids reserves is actually one of stagnation and modest decline. The PIW Reserves Survey shows global oil reserves declining by almost 13 billion barrels, or 0.9%, over the last two years to 1.459 trillion bbl at the end of 2006 on a "proved plus probably" basis. Global oil reserves are liquid hydrocarbons, natural gas liquids, tar sands and crude oil, that are economically recoverable at current prices. The PIW survey uses a somewhat broader definition of reserves than the other surveys based on public sources and it applies that definition consistently and systematically across all countries, fully accounting for production declines and new additions. The main reason for the poor performance in growing reserves is a lack of additions to reserves from new discoveries, which account for 20% or less of additions in the last few years. The high oil prices and sharply increased upstream spending budgets of most oil companies have not yet provided any significant improvement in global additions to reserves, but more time may be needed. For 2006, the big increases in reserves were led by Brazil and Kazakhstan. Among the top 20, only eight countries saw increases last year, while the rest were flat or in decline. The PIW survey also confirms earlier suspicions about the overstatement of reserves by Kuwait and some other Opec producers. At the same time, the survey also indicates that reserves in Russia and some other non-Opec countries are much higher than is generally reported. __________________________________________ Mark Plus _________________________________________________________________ Can't afford to quit your job? Earn your AS, BS, or MS degree online in 1 year. http://www.classesusa.com/clickcount.cfm?id=866145&goto=http%3A%2F%2Fwww.classesusa.com%2Ffeaturedschools%2Fonlinedegreesmp%2Fform-dyn1.html%3Fsplovr%3D866143 Rate This Message: http://www.cryonet.org/cgi-bin/rate.cgi?msg=29437