Wednesday, June 08, 2005

Energy crisis

Resource Investor - Energy - Oil Forecasting Legend Paints Dire Energy Picture
Groppe says his accurate forecasting record is “based on two fundamentals – and our view is that given enough time the fundamentals always prevail. That has enabled us to relatively accurately identify all of the major turning points in the last 30 or 40 years. Petroleum fundamentals are first - depletion. From the moment you drill your first well into a field and begin producing, you are physically depleting that finite source, and it is just a question of time until you’ve produced it all. The second is that exploration is a very rational process. Experienced people use the best technology, go after the biggest deposits first, the easiest to find, most profitable, and it always gives you the classic production history curve.”