World Oil Storage Space Running Out... Tankers Used As Oil Storage!

[Economy 52,842]

http://money.cnn.com/2015/07/10/news/iea-oil-report/ http://www.bbc.co.uk/news/business-33476508 http://www.bloomberg.com/news/articles/2015-03-19/in-a-world-awash-with-crude-oil-storage-companies-are-kings

 

With OPEC refusing to cut production, instead raising production to win back market share, a resilient US shale market, rising production all over the world from previous payed projects world production just keeps surging

 

With Iran deal looking to be completed soon, once sanctions are lifted Iran could flood the global oil market with another 1 million barrels a day

 

The over-supply in-balance is so great right now that coastal storage hubs are getting full and running out of space so Ship oil tankers are being used to store the extra oil. According to projections, in 2016 global demand for oil will rise by 1.2 million barrels a day, no where close enough to absorb the current daily over-supply of over 3 Million barrels a day!

[PartySick 172,431]

~ The oil's running out!

~ We're running out of places to put the oil

~ Maybe we should, uh, try to find alternatives to oil

 But what do I know, I'm just a tree hugger with a very mild political interest  It does make me happy that Iran is joining the party though  

[Yves 1,891]

Tankers?!  

[The Professor 1,060]

yaaaaaas. Now the U.S can wash its hands of the Middle East and not give a damn 

[Economy 52,842]

~ The oil's running out!

~ We're running out of places to put the oil

~ Maybe we should, uh, try to find alternatives to oil

 But what do I know, I'm just a tree hugger with a very mild political interest  It does make me happy that Iran is joining the party though

point 1 and 2 contradict itself

[PEDRO98 1,003]

This just proves that oil doesnt come from where they tell us. Its just an excuse to keep the prices high

oil is renewable

[Economy 52,842]

yaaaaaas. Now the U.S can wash its hands of the Middle East and not give a damn 

ok its been years since the middle east supplied any significant portion of US oil

 

The US is its own biggest oil supplier! and the rest it still needs in order of imports are from

 

#1 Canada 2 million barrels a day

#2 Mexico 1.1 barrels a day

#3 Saudi Arabia 989k barrels a day

 

http://www.globalpost.com/article/5573694/2010/07/26/top-7-suppliers-oil-us

 

The biggest middle eastern supplier only supplies a fraction of the 19 million barrels a day the US consumes!!!!

[Economy 52,842]

This just proves that oil doesnt come from where they tell us. Its just an excuse to keep the prices high

oil is renewable

what does the over supply have anything to do with it being renewable or not??? comodities have always been a boom bust cycle... when prices are high a lot of investment in extraction and exploration happens andsupply surges resulting in an eventual bust... OPECs refusal to cut production is rare and has caused even more tormoil in the market

 

consumption is also not rising as quickly as it once was which is yet another factor

 

Theres a theory that goes that some oil is produced near earths core and the carbon with the pressure results in a chemical reaction that produces oil in which it then rises up through cracks in rocks and over time creates deposits

 

That theory has never been proven... but even if its true it does not matter... it doesnt change supply and demand dynamics of the market, and it doesnt change the depletion issue (because even if it is infact renewable, theres no way its renewing at the rate were consuming it)

 

Its not an "excuse" to keep prices high. No 1 business or investor dictates prices... the trading, demand and speculation of buyers determines prices and nothing else!

[PartySick 172,431]

point 1 and 2 contradict itself

I know lol. For the past few years I've been hearing people go crazy 'cause they think the oil's running out, now they're having trouble finding space to put it all  

[Economy 52,842]

I know lol. For the past few years I've been hearing people go crazy 'cause they think the oil's running out, now they're having trouble finding space to put it all  

theyve been talking about peak oil being just around the corner since 1965

 

Fact is, the known global reserves of oil are absolutely huge. About 10.2 trillion barrels are known of globaly. Enough to last the world 500 years or so at current consumption

 

Thing is, most of that oil isnt counted as reserves because its not considered technologically or economically extractible...

 

if an oil reserve costs more to extract then the money made off of it, its not economically extractable... if some oil is so difficult to extract that current technologies cant do it, then its not technologically extractable

 

"Proven Recoverable Reserves" is the standard used to calculate oil reserves WW which counts only the oil thats considered recoverable and that currently stands at about 1.6 trillion barrels...

 

Because new technologies are always unlocking new reserves, global "proven reserves" are actually constantly rising year after year (currently at about 1.6 trillion barrels) and if theres ever a shortage and prices surge, more oil will become economically extractable also

 

Also, oil will never come even close to running out because long before we run out, the remaining reserves will be so expensive to extract and the process will be so slow that oil simply wont be reliable

 

So oil doesnt run out... its production will simply peak at some point in time... and eventually it wont be economical anymore and we will ditch it

 

Oil depleation isnt black and white... theres a huge spectrum and range of time of when oil will stop being economically usable and a number of different factors will determine when. Its just that most pessimists have under estimated how long oil would be economically reliable for

[PartySick 172,431]

theyve been talking about peak oil being just around the corner since 1965

 

Fact is, the known global reserves of oil are absolutely huge. About 10.2 trillion barrels are known of globaly. Enough to last the world 500 years or so at current consumption

 

Thing is, most of that oil isnt counted as reserves because its not considered technologically or economically extractible...

 

if an oil reserve costs more to extract then the money made off of it, its not economically extractable... if some oil is so difficult to extract that current technologies cant do it, then its not technologically extractable

 

"Proven Recoverable Reserves" is the standard used to calculate oil reserves WW which counts only the oil thats considered recoverable and that currently stands at about 1.6 trillion barrels...

 

Because new technologies are always unlocking new reserves, global "proven reserves" are actually constantly rising year after year (currently at about 1.6 trillion barrels) and if theres ever a shortage and prices surge, more oil will become economically extractable also

 

Also, oil will never come even close to running out because long before we run out, the remaining reserves will be so expensive to extract and the process will be so slow that oil simply wont be reliable

 

So oil doesnt run out... its production will simply peak at some point in time... and eventually it wont be economical anymore and we will ditch it

 

Oil depleation isnt black and white... theres a huge spectrum and range of time of when oil will stop being economically usable and a number of different factors will determine when. Its just that most pessimists have under estimated how long oil would be economically reliable for

You are, like, so knowledgeable about this stuff that it's intimidating haha

[Economy 52,842]

You are, like, so knowledgeable about this stuff that it's intimidating haha

its my nerdy hobby. i keep up with all this stuff

[PartySick 172,431]

its my nerdy hobby. i keep up with all this stuff

You do it well!  

[Economy 52,842]

You do it well!  

thanks ur too nice :)