Wednesday, July 18, 2007

rise in world oil use and a possible shortage of supplies are seen in the next 5 years

DISPLAYING ABSTRACT - International Energy Agency report predicts that world oil demand will rise faster than previously expected over next five years while production slips, threatening supply crisis; advises 26 industrial nations that global demand will rise by average 2.2 percent each year from 2007 to 2012, up from forecast in February of 2 percent annual growth from 2006 to 2011; says share of world oil consumption represented by developing world, including emerging industrial economies, will rise to 46 percent of global demand by 2012 from 42 percent

The world needs 3 million barrels per day more to offset falling production in the mature fields outside OPEC. Beyond 2010, OPEC's tight capacity will make available oil supplies expensive. Oil production may not peak - but it will no longer keep up in demand. Supply will be stagnant after 2012 until it begins to fall - meaning we are at the peak ( or plateau ) of oil production.

This is yet another reason nations and states should sign onto the Oil Depletion Protocol before they cannot afford to.

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