Oil will hit $95 by the end of the year. That’s according to Goldman Sachs, in a statement by analysts yesterday, who wish to thank OPEC production caps for the expected spike.
"Our estimates show that keeping OPEC production at current levels and assuming normal weather this coming winter,” the quants at GS say, “total petroleum inventories would fall by over 150 million barrels by the end of the year, which would push prices to $95 a barrel without a demand response.” They want Saudi Arabia, Kuwait and the United Arab Emirates to boost production by the end of the summer to avoid the price spike.
“This is doubly bad in the long-term situation,” responds our Byron King, editor of Outstanding Investments. “All the nations of the world will get to Peak Oil at the same time, if we are not already there. But the U.S. will find itself uniquely barren of its former petroleum reserve base, and still living in its glorious historical past of the collective national myth.”
“With 2% of reserves and 6% of daily extraction,” Byron continues, “the U.S. is draining itself first and fast.”
"Our estimates show that keeping OPEC production at current levels and assuming normal weather this coming winter,” the quants at GS say, “total petroleum inventories would fall by over 150 million barrels by the end of the year, which would push prices to $95 a barrel without a demand response.” They want Saudi Arabia, Kuwait and the United Arab Emirates to boost production by the end of the summer to avoid the price spike.
“This is doubly bad in the long-term situation,” responds our Byron King, editor of Outstanding Investments. “All the nations of the world will get to Peak Oil at the same time, if we are not already there. But the U.S. will find itself uniquely barren of its former petroleum reserve base, and still living in its glorious historical past of the collective national myth.”
“With 2% of reserves and 6% of daily extraction,” Byron continues, “the U.S. is draining itself first and fast.”
1 comment:
There is a new video out of Byron King’s speech, given at the Rim of Fire Conference in Vancouver (07/07)...
YouTube: Byron King Gives Speech and Agora Financial Symposium
Post a Comment