First of all who wants high oil prices?
Russia
Iran
Venezuela
ISIS
And many other countries and companies for whom oil is their very lifeblood
Who else wants high oil prices?
Every oil company on earth
every oil driller on earth now going out of business or bankrupt
every shale oil mining company on earth now going out of business or bankrupt because of low prices.
If you understand this you understand how desperate all these companies and countries are to raise oil prices.
Who wants low oil prices?
All oil, gas and diesel consumers worldwide.
Saudi Arabia's government's survival right now is tied to low oil prices.
The survival of many Sunni governments are also tied to low oil prices
The reason for this is ISIS. ISIS is a threat to all these governments and one of ISIS main sources of wealth to hire soldiers and to buy weapons is Oil revenue that they presently control.
So, what I find really strange about all this is the low oil prices are primarily caused by ISIS.
In addition to this it was caused by the Chinese recession.
However, if and when oil prices spike up to 150 to 300 dollars a barrel it likely will throw the whole world into an economic depression for 5 to 10 years and it is possible up to 50% of the governments on earth won't survive this because of the starvation this will cause to their peoples.
So, because of the bankruptcies of so many many drillers and shale oil companies worldwide the longer these lower prices last the bigger disaster it will be for all life on earth when prices spike up to unbelievable prices for 5 or 10 years after that.
So, anyway you look at it something has got to give. And we will all observe this as it happens.
However, in all countries switching over to wind, water and solar power and geothermal and wave power likely will save those countries from an energy based disaster regarding food for their peoples in the short and long run. So, the more people have converted to renewable power the less of a problem it will be for those peoples.
No comments:
Post a Comment