Gary North on current economic affairs and investment marketsGary North -- Specific Answers
HomeContact MeTell a FriendText SizeSearchMember Area
Gain immediate access to all of our current articles, the question-and-answer forums, dozens of free books, and article archives. Click here for details on how to join.

About This Site
Academic Gaps
Articles
Capitalism and the Bible
Clichés of Protectionism
College Finances
Debt Management
Ellen Brown: Critique
Federal Reserve Charts
Gary North's Free Books
Get Published Here!
Gold Price & My Report
Keynes Project
Price Index (U.S.A.)
Questions for Jim Wallis
Remnant Review
Social Security/Medicare
Sustained Revival
Tea Party Economist
U.S. Debt Clock
Yield Curve
Your YouTube Channel
Gary North's Miscellany
Advertising
Blogging
Budgeting for Wealth
Business Start-Up
Career Advancement
Digital Tools
Education That Works
Evernote: Free Notes
Federal Reserve Policy
Fireproof Your Job
Goal-Setting for Success
Great Default
Inheritance Strategies
Insurance
International Investing
Investment Basics
Job and Calling
Keynesian Economics
Leadership
Marketing Case Studies
Obamanomics
Precious Metals
Real Estate
Retirement
Safe Places
State of the Economy
Stocks and Bonds
Video Channel Profits
War With Iran
Members' Free Manuals
Our Products
Contact Me
Help
Tell a Friend
Text Size
Your Account
My 100% Guarantee
Privacy Policy
Terms of Use


This site powered by MemberGate
home | Peak Oil
 

The World Is Running Out of Oil. The Cost of Finding New Oil Is Rising. The Price of Energy Is Rising. We Are Close to the Tipping Point: Downward.

Gary North

What is peak oil? It is the point at which oil production begins to fall, long term. This takes place because new oil reserves are not being discovered in sufficient quantity to replace the oil that is being pulled out of the ground. It is the peak production of the world's most important nonrenewable resource.

Is peak oil a real-world phenomenon? Yes. . . unless oil is somehow a renewable resource, created by some presently unknown process deep in the lower regions of the planet. If it is, then the vast majority of oil geologists are wrong. We had better pray they are wrong and that the late Thomas Gold -- a physicist, not a geologist -- and some little-known Russian geologists are correct. Then there is the "anhydride" theory offered by geologist C. Warren Hunt, which Dr. Hunt says is both earlier than Dr. Gold's and suspiciously similar. Hunt thinks oil comes from methane gas, which he speculates makes up the earth's core -- not iron.

Does this mean that the world is running out of oil? Yes . . . if Hunt is wrong, and even he thinks the present rate of oil depletion exceeds the rate of oil formation.

Does this mean that the price of oil will rise? Yes.

Does this mean that urban life is threatened, that millions of people will begin to move out of cities? Yes . . . though maybe not in my day. Your day, possibly. If you are under age 40, probably.

Is there evidence favoring peak oil? Yes. A lot of it.

Is there evidence opposing it? Written by oil geologists, not much. Written by lawyers, economists, and other advocates of the free market as a religion and the price system as a way to overcome all problems, yes.

Are we facing the end of civilization? No. It is technically possible to get oil from coal, at some price. It will be a high price. So, peak oil can be delayed. This will not be cheap.

Are we facing the reconstruction of the world's economy? Yes . . . unless a wholly new form of energy is discovered, such as non-life-threatening fusion or nanotecnology's alchemical-like creation of oil.

There are no free lunches. This refers not just to money. It refers to the expenditure of energy: the second law of thermodynamics. It takes energy to produce energy. On the day that it takes more energy to pump a barrel of oil out of a deep well than a barrel of oil can produce, oil will cease to be a relevant source of energy. That day is coming unless the world switches to another, presently unknown energy source, or unless oil is not in fact nonrenewable. Betting on the possibility that oil is a renewable energy source is risky. Yet this is what modern civilization is doing.

One man isn't: Richard Rainwater, the multi-billionaire investor. Read about his views here.

This oil geologist isn't. Read his 2003 report here.

Another oil geologist isn't. Read his 2000 presentation here.

Yet another oil geologist -- a retired professor at Princeton University -- says the peak occurred on Thanksgiving Day, 2005. Of course, this degree of specificity is a PR stunt. He knows this. What he means is that we are now on the down side of world oil production. In contrast, a European economist thinks this will not happen until Thanksgiving Day, 2035. Both agree there is a peak. Read their views here.

I have provided some free links to reports on peak oil. If these reports do not peak your interest, then the material I post in this department will not interest you. On the other hand, if you read these links, and they convince you that there is a serious problem brewing, then this department -- this entire web site -- will make a lot more sense.

It is time for you to start asking serious questions. This site has answers.

Update on Rossi's E-Cat
Gary North - February 12, 2014
This is good news. . . . keep reading
Buffett Sees It My Way on Oil
Gary North - December 09, 2013
So does his partner, Charlie Munger. . . . keep reading
China's Consumption of Energy
Gary North
China is now the 800-pound gorilla. . . . keep reading
Peak Oil vs. Perpetual Motion
Gary North - July 16, 2013
Do you believe in perpetual motion? Maybe you do. Take this test. . . . keep reading
How Soon With Low-Cost, Low-Pollution Natural Gas Replace 80% of Oil in the USA?
Gary North - March 21, 2013
The answer may surprise you. . . . keep reading
Juggernaut: China's Consumption of Oil and Your Future
Gary North - March 18, 2013
The Middle East Will not be able to meet this demand at today's price. . . . keep reading
Peak Oil or Peak Farmland: Take Your Pick
Gary North - March 16, 2013
Here is what the "greens" won't tell you: the world is getting greener. Why? Fossil fuels. . . . keep reading
Peak Gold Is a Myth! There Is No Shortage! The Earth Is Making More!
Gary North - February 02, 2013
Do not be taken in by the gold bug conspiracy. There is no gold shortage. There is no scarcity of gold. Let me show you why. But first, get on your tinfoil hat. . . . keep reading
Peak Oil Theory and the Price of Oil
Gary North - January 29, 2013
If peak oil is not real, please explain this chart of oil's price. . . . keep reading
Peak Oil, Yes. Peak Energy, Maybe Not.
Gary North
If accurate, this is good news for owners of certain kinds of energy. . . . keep reading
High Oil Prices vs. Economic Growth
Gary North
We are beginning to see discussions of this in the mainstream media. . . . keep reading
"Saudi Arabia Will Import Oil." From Where? With What?
Gary North
A new estimate by Citigroup: the Saudis are running low on oil. . . . keep reading
Doug Casey on Peak Oil
Gary North
The libertarian comes out strongly in favor of Hubbert's theory. The question now is this: What is the correct response? . . . keep reading
The Case for Natural Gas and Coal
Gary North
Seeing ought to be believing. . . . keep reading
Oil Was Under $40 in 2009. Why Is It So High Today? Will It Go Higher?
Gary North
Why the volatility? Is it over? Is this a new phase of the oil market? . . . keep reading
The Dumbest Statement I Have Ever Read
Gary North
This comes from an environmentalist. . . . keep reading
More HeadlinesMore Headlines
 Tip of the Week
Sign up for my free
Tip of the Week
Verification Characters:    Type     2  U  6  U  6     here   


Tip of the week archives
On what this icon
means, and how it
can help you,
click here
 Q & A Forums
General Q&A Forum
Advertising and Resumés
Affiliates
American History Topics
Backyard Food Gardening
Banking and Politics
Blog Sites and Web Sites
Books Worth Reading
Bumper Sticker Slogans
Business Forum
Buying Smart
Christian Service Forum
College -- The Cheap Way
Copywriting
Education Alternatives
Food Storage
For Women Only
Fukushima
GNC Benefits
GNC Testimonials
Gold and Silver
Great Default Forum
Health and Diet
Health Insurance
Homeschooling
Investments Forum
Iran War
Job, Calling, and Career
Leadership Development
Legacy Building
Less Dependent Living
Local Political Action
Non-Retirement Forum
One Good Idea
Police State
Privacy
Public Speaking
Real Estate Forum
Remnant Review Forum
Safe Places Forum
Taxation Policy
Typographical Errors
Video Production Basics

 Archives
Reality Check
 Discussion Forum
Search Discussion


Recent Forum Posts
• Investing in Christian Businesses
• Asset seizure risk
• 403B Sidelines
• Ammo hoarding
• Abandon Ship?
• The "Ultimate" Simple Portfolio?
• Where and how to go from IRA?
• Shorting Bonds
• The Whole Life of An Economic Ignoramus
• Suggstions for path to Financial Independance
• What currency is the best place to keep savings
• Angel investing via Angel List
• Super Bowl 50 - San Francisco Bay Area
• Inferior products good idea inferior company
• Anyone familiar w/Primerica company
• Best way to get out of a house
• Buy investment property now or wait for recession?
• Where will the prisoners live / go?
• Paterson, NJ
• cash out refinance appraisal
• A home in Brooklyn?
• owner finance
• The Best and Worst Places to Become a Landlord
• Price for 2 lots as opposed to one.
• Multi-Family Property?
• Seeking Rental Housing in Dallas-Fort Worth
• Any RE investors in the Birmingham AL area?
• Elderlly landlord having problems
• Foreclosures
• BUYING IN THE QUEEN CITY – CHARLOTTE NC
• Switzerland and Firearms
• On "Zip Code Searching On The Web"
• Crash Course in becoming an Expat
• Anyone tried Puerto Rico?
• Chattanooga, Tennessee
• Middle Class squeezed out of Chicago
• An Article on Chile
• 5 Amazing, Cheap Places to Live as an Expat
• Oil Field Job Security
• Moving to TriCities Area
• PJ ORourke on the Baby Boom
• Is Vegas DOOMED?
• Mint.com
• Second Passport- Mexico?
• Radiation dangers to US,World Confirmed
• Do You Sincerely Want to Be Rich? Why?
• Req. For No 401(k)/Other Pensions via Relocatio
• Cashing out 401K to pay student debt?
• SS @ 62 and still working
• Desolation or Prosperity?
• I take it Retirement Armageddon is not available
• Post Retirement Career
• Social Security - when to start collecting
• 401K Risk
• Detroit Retirees Fight 83% Health Care Cut
• Lump Sum Early DROP
• Underfunded pensions
• 401k strategy
• Can I Avoid Medicare Entirely?
• Looking for a Financial Planner/CPA
• Fed Slams Deutsche Banks 55Trillion in Derivatives
• Social Security
• Losing job in next recession
• Margaret Sanger article
• Obamacare
• Call 911 for Medical Help or Risk……?
• hymns
• How batteries will ... democratize energy
• E-Mail from JP Morgan Chase
• Forgetting passwords, form filling online etc...
• Police NOT Legally Required to Protect
• Food prices...
• The minimum wage and jobs for young blacks
• Free Audio Books
• The Director of Fun
• Wife's small business - Spanish Immersion 4 chldr
• Alternative to Quicken 2014 needed
• wds2014 in Portland, Oregon
• Max cash flow ideas with a spare $100k
• Getting Your First Client
• Starting Nature Trail business
• Book or Resource on Writing Business Plan
• start-up biz for kids...
• Fiji experts?
• When does a business NEED to be registered?
• How to beat inflation
• Should I hold’em, fold ’em or run.
• selling on Amazon?
• How to cope with rising minimum wage
• Does Cliff Notes have to get permission?