Skip to comments.There's Another Massive Source Of Energy Coming, And The World Has George W. Bush To Thank
Posted on 11/20/2012 12:28:17 PM PST by SeekAndFind
Citi's commodities team believes Iraqi oil production is set to explode in the coming years, causing prices to turn downward.
In a massive survey helmed by analyst Edward Morse, Citi's team projects Brent crude to fall to $99 next year.
One of the main reasons: Iraq's oil production is poised to reach heights never seen in its history — neither prior to America's 2003 invasion nor in Iraq's '80s heyday.
This would be the world's second huge energy boom, with the US being the other big story.
Importantly, the current Iraq trajectory is based on post-invasion dynamics.
For instance, a second development at the West Qurna field, which didn't exist before the invasion, could yield up to 13 million barrels per day if fully realized.
Citi cites one field owned by China's CNPC whose 1997 contract terms were renegotiated after the invasion and whose production target of 120-130 kbpd peak target is now six years ahead of schedule.
Another major oil field, the Majnoon, near the border with Iran, had essentially been shuttered for several decades but is now expected to yield 1.8 million barrels per day.
...non-OPEC supply, combined with NGLs and Iraq, looks to grow faster than global demand, reducing the "call on OPEC crude". The US and Canada lead a supply growth charge, but Russia, Colombia, Kazakhstan, Mexico, and Brazil should also contribute to total non-OPEC supply growth of +0.9-m b/d in 2013.
(Excerpt) Read more at businessinsider.com ...
The Dems don't like this news. Thus their activities down in Tampa.
But hyper-inflation bolstered by Obozo-Bernanke printing presses running full tilt 24/7/365 will insure we still pay $4+ per gallon for decades to come.......
So good to know we can still depend on Mid-East oil.
Love to see the day when OPEC sheiks have to try eating sandwiches made of the crude they can’t sell.
Yeah, how is this good news? Because the Iraqis are so trustworthy? Bush’s great folly was creating another Islamic state.
OK... I agree with the title of this article but I’m still p*ssed-off that W & Administration agreed that all of that oil revenue would go to the Iraqi people... At a MINIMUM, royalties should have gone to the people of the USA for a decade or two (or until the cost of that freeing Iraq enterprise was fully returned). JMHO.
Right now supply and demand are so finely balanced that anytime there is a whiff of global expansion, rising gdp and generally good news—the price of oil shoots up and chokes off the recovery.
But in two or three years the collapse of oil prices is generally expected as supply outstrips demand .
This will work as a massive spur to the world wide economy.
Obama will have had nothing to do with it but, Alas, his minions will spin it in such as a way as to make him look good.
F Iraq, we need to get our energy from home, and stop being held hostage by the Middle East.
“Bushs great folly was creating another Islamic state.”
At the behest of his Saudi Masters.
Iraq has barely scratched the surface. Ditto Kazakhstan.
??? It closed just below $85 today.
Do not let hindsight lead your thinking here.
At the time, the Senate Majority Leader was assuring us the Iraqi war was lost, Cindy Sheehan was camped out at the Western White House, and Code Pink was assailing Condi Rice with bloody hands. The driveby media was showing nude prisoner pyramids daily as if Bush himself lined them up like that.
Add to this the fact that no one in the Bush administration would defend themselves—we didn’t go toe to toe with the media, the Left and the dems (redundant, I know) and they were able to set the public’s thinking against us.
The democrats won big in 2006 due to this, and had we taken the oil, all Hell would have broken loose.
We were lucky to get the Surge going despite all of the above, and the fact that the Iraqi Sunnis themselves got tired of the fighting.
it’s going to take time to unwind the lies and we need to start now. First one will be to correctly identify the causes of the 2008 meltdown as caused by liberal housing policy. Second will be to correctly identify liberal policy being behind the debt. The wars didn’t help, but they’re small contribitors in the grand scheme of things
So that’s why the Iraqis are yammering to the Saudis about how oil can be used as a weapon against us....they want to give us cheap oil! Those jackasses aren’t going to flood the market for us.
It says Brent Crude.
Wasn’t more than 2 day ago that an Iraqi PM of some sort suggesting that OPEC should “their oil weapon” against the West.
Only fools on a payroll trust koranimals.