Interesting article about Oil

wanghong

--------------------------------------------------------------------------------
5 i: ?" Z& |1 z- {# Y7 s5 wBelow is an Interesting article I found, which says that.....Do not
expect much from Crude Oil producers and future is not with the
, r4 j; J+ ]9 v" z1 B7 A" p% C" vcompanies producing Jet fuels but Biofuels. Also no wonder if some of
8 V) W+ v1 c  p5 e! Q& ~9 {these oil producer will go bankrupt or out of the business even if
- o3 I2 `( Q! V+ s: C* Bcrude prices improves. This implies also to good names such as Shell,
EXXON, BG, BP, Cheveron ....xyz.. oils
0 p! W$ H$ y$ L9 M, Q& S% D1 D
Recently OPEC reduced crude oil production twice over just a few
months. There are three wars going on in Gaza, Iraq and Afghandistan.
+ |2 f4 n: R8 ]( nA year ago these things would have spiked the price of crude oil by at
least $50.00 per barrel. Today, oil price declined by a record amount.
* v" o$ A" W7 g( @
$ i- t( N* S2 A- o% n: E; z
3 h$ u- X9 J: |, w- W! J6 X+ rThere are several reasons the price of oil is decreasing in the face
of so much news. These reasons are:
: |2 n8 m* N: {0 z
. H# w3 F5 T( s" ~! N& f
8 o- i( o  u+ }9 L2 k* n1. New oil has been found in Canada, Montana, North & South Dakota and
, e& E6 u$ [1 d  d. Z* tin the ocean near Brazil. Each of these oil fields has more oil than
Arabia.
2 {& d; ~% {8 T, i( Q: b! S
* \5 F2 S' X1 l3 L
2. New natural gas has been found in Pennsylvania and West Virginia.
' Y$ \0 w: {4 r1 M( k/ AThis is the largest find in North America.
1 v. r6 y, B; Y3 B+ o
2 X7 ~; g+ ]+ j! `9 p1 f
* e! @+ l3 m) y* s* V3. New methods of injecting CO2 and surfactants into oil wells is
being used to double their output.
; B3 K( n) s3 z% b% m
% s- p1 x" i3 Y5 X% o2 {1 u
4. Production of bio-fuels is beginning to reach critical mass. Bio
fuel is being produced from many plants and algae. The production
3 W. M  @3 B* t! A* Opotential per acre in some cases is astounding. Many countries are
$ R% F$ [  @, lracing to produce bio fuels.

5 Q) C& m9 B9 b# v1 r( |' [1 V& E3 i
8 V% C: O! y! E, O, d* f5. Virtually every restaurant in the US and all food processing plants
" S7 e- A# z+ Q8 H' d0 u# Yare now selling their used oil to bio-diesel producers. Every pork,
cattle, turkey and chicken processing plant will soon sell their fat
to bio-diesel producers. One pork processing plant in Oklahoma is
3 r1 }) ^7 a8 S. R! ]3 ]producing 30,000 gallons of bio-diesel per day from pork fat.


6. There are 99 nuclear reactors in various stages of planning and
& R- j, _' S  t* t# T0 a/ H8 a! Jconstruction around the world at this time. Several hundred more are
expected to be built in the future. Much of the energy they produce
will replace oil.

/ }5 [+ s$ O- R' ?6 X+ o" M8 [
7. Every company in any form of transportaion business is replacing
( J0 T3 \5 B5 q1 u' colder equipment such as trucks, airplanes, train engines, ships, etc.
: |. ~) c' C" [5 A$ ]1 ~with new more fuel efficient equipment. Airlines and railway companies
are experiencing 20% to 25% better fuel econony with the new
equipment.
: }# a0 Q1 O" F* ^# P9 V+ o

) P" i/ p/ E: H& bAirlines are flying airplanes with bio-fuel. They are finding the bio-
' ]  t, t7 B% \" `, [4 d) Hfuel is cleaner and performs better than jet fuel.
2 `' V: E; G' r) h

8. Cities and counties throughout the US are selling the rights to
" C. {* a/ S( g9 P' q1 ecapture methane gas from landfills. This is a huge source of gas
1 Y" A+ f. i' P: N( X3 s( [available at very little cost or risk. The gas is displacing crude
0 N" \* o0 G* s* h7 soil.


9 B  n0 k5 l' f2 {: a) T. d4 u9. Coal is being transformed into a clean burning liquid fuel. The CO2
" Z0 \9 J. P) m) G+ Mproduced as a byproduct is sold to oil companies for injection into
# D6 _2 |. {2 P) {  t' voil wells.

( X0 u% Y( u0 Q) Z8 n. b+ k
" o8 E# R' W9 N) y4 ^( f9 w6 p10. Solar, wind and ocean energy is displacing oil as an energy
) @8 h8 P# B2 g2 F1 M8 @source. Three new wind turbines are being erected every day in the US.

" W& A6 x7 e: ?6 Z9 T
7 k- S' R. G, A; q- l3 }Each of the above by itself will not make a large difference in the
6 j9 r( i% y! o6 z' r+ ]$ Aprice of crude oil but the sum of all of them together is world
changing. The important thing is that OPEC no longer has the ability
1 u; Q7 E# y3 Tto control oil prices.
# m5 ~" S( L) K' s* W- ~0 N

With the above scenario, I still believe that there are under
9 w) y1 C0 N1 J' S/ d! @9 I" a$ sperformed OIL companies and probably they are yet to get the justified
. d. [4 K9 B( k6 G8 |value .....
IAE- Ithaca , EPL Energy Partners Ltd, Opti etc ...
. [3 y+ |+ s2 k* W
" X2 B7 ]$ a. C7 W6 H
9 X$ q+ B  y8 p3 f, l6 K- G1 {The above articles are from WSJ .............PUBLISHED ON 9TH JAN
3 _0 v* i/ ~/ o# [% u9 `2009 ... FYI-Only