The explanation is simple. Oilmen are worried because they believe that many of the factors behind the record-breaking ascent last year remain in place. Much of the world’s “easy” oil has already been extracted, or is in the hands of nationalist governments that will not allow foreigners to exploit it.
Saturday, May 23, 2009
When oil demand begins to revive, a sharp rise in prices is inevitable
SHOOT: Or in more graphic terms, we'll see an oil shock, or an energy crunch. Our troubles are multiplying now at such a rate that it's becoming easier and easier for us to be sideswiped by something that we're not going to see coming, whether it's pandemic flu, fucked up weather, the lights going off, water or food shortages or just our own populations going berserk as a critical mass of people lose their jobs. Going to be tough to keep our heads when all about us are losing theirs...