Energy tycoon Pickens predicts $3 gasoline within year

[TexasBushwhacker]

When someone IN THE OIL BUSINESS says we've hit peak oil, we've hit it!


http://news.tradingcharts.com/futures/6/7/65930576.html

"Apr 28, 2005 (Tulsa World - Knight Ridder/Tribune Business News via COMTEX) -- Energy tycoon Boone Pickens is known for making bold predictions about the price of oil and gas.

He's been right most of the time.

Pickens' latest prediction, though, may leave motorists a bit bug-eyed.

World oil production has peaked, and Oklahomas will be paying $3 a gallon for gasoline within a year, Pickens said Wednesday.

"We're getting ready to come upon some very serious energy problems for the world," he said.

Global oil output has peaked at about 84 million barrels a day, never to rise again, said Pickens, who spoke to the Rotary Club of Tulsa.

The problem is that world oil demand has been projected to rise to 87 million barrels a day this year.

"You can't get 87 out of 84. Something has to happen," Pickens said. "Demand has to come down, or supply must go up. I'm convinced that supply cannot go up."

Demand, he said, has overtaken the world's available supply of crude."

[Coastie for Truth]

1. Already $3.00 / gallon in San Francisco

[PSPS]

2. Frankly, I've always thought gas was too cheap

I thought it should have been at least $5 a galloon years ago.

What gets me is how the moribund press just regugitated bush's lie about the "shortage or refineries." Of course, his proposal to build refineries on closed military bases was never serious, just like all of his "proposals." But even if there were a bunch of refineries built on The Presidio, it would just increase the demand for oil, further increasing its price.

[LdyGuique]

3. Thanks for the article and a new source of info

That's the neat thing about the internet -- so much material available and so many people with unique interests and/or search methofds that keep pulling it in. I read the companion article on the site about North Slope oil.

One of the issues that no one is really discussing about peak oil is that the tankers that transport it are finite as are the docking points. Last week, all single-hulled tankers over 25 years old became illegal and will no longer be allowed into anyone's ports. Those under 25 years old will require advance notification. All single-hulled tankers will be illegal by 2010. Meanwhile, the primary ship-building yards are in So. Korea and they are maxxed out with other types of ships and no new double-hulled ships will be launched until 2008.

[TexasBushwhacker]

4. Good point about the tankers

Frankly, I didn't realize there were all that many single hulls still out there, of any age. At the same time, I can see why oil businesses aren't too excited about investing millions of dollars in building new tankers when our relationship with the OPEC countries is so strained. With China as such a competitor for imported oil, it will reach a point where OPEC can tell the US to shove it, at least periodically. With everything in the oil business, if it's not running 24/7, it's losing money. I lived in Houston all my life until 6 months ago and had worked for oil related businesses for the last 12 years. I'm SO happy to be out of that!

[KlatooBNikto]

5. Time for Harken and Arbusto to start digging their dry wells again.

[Boo Boo]

6. Boy, he's really goin' out on a limb there, huh?

A daring prediction from T. Boone Pickens!

:eyes: