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Russia Is Preparing For A "Catastrophic" Oil Price Collapse
Vladimir Putin told the state-run TASS news agency that Russia's economy faces a potential "catastrophic" slump in oil prices, saying, as Bloomberg reports, such a scenario is "entirely possible, and we admit it." However, Putin reassures that with reserves at more than $400 billion, the country will weather such a turn of events because "we handle our gold and currency reserves and government reserves sparingly."
“We’re considering all the scenarios, including the so-called catastrophic fall of prices for energy resources, which is entirely possible, and we admit it,” Mr Putin told the state-run Tass news service before attending the G20 summit.
“Our reserves are big enough and they allow us to be sure that we will meet our social commitments and keep all the budgetary processes and the entire economy within a certain framework”
Declining export revenue from oil and natural gas and the central bank’s attempts to shore up the ruble are threatening to exhaust public finances. The non-oil deficit exceeds 10 percent of economic output at a time when the central bank’s defense of the ruble has cut reserves by a fifth from last year’s peak. Still, the currency’s slide helps compensate to an extent as foreign-currency is converted into a larger amount of rubles for the budget.
With $421 billion in international reserves, Russia has a “big enough” buffer to meet all social commitments and maintain budgetary and economy stability, Putin said. The value of the stockpile last week extended its slide to the longest since 2008 as the monetary authority attempted to smooth the ruble’s decline.
“A country like ours finds the situation easier to cope with,” Putin said. “Why? Because we are producers of oil and gas and we handle our gold and currency reserves and government reserves sparingly.”
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Now all they need to do is smash the price of pack of smokes down to 25 cents a pack and the economy would instantly heal itself...
The Peak Oil Theorist are not going to like this.
At least Russia is getting it right.
Your comment is all kinds of stupid, and I'm not even an acolyte of Peak Oil.
It's always amazing to me how a complex, nuanced theory like peak oil, gold backed currency or "bail-in" can be dismissed with a handwave. The sad truth is that no one's ideas fit completely with all of the evidence leaving us to struggle as individuals to construct a narrative that explains all this shit.
I'm not a big peak oil guy either, but as Kunstler said (paraphrase): Is the world awash in excess cheap oil or is it awash in people who can no longer afford to buy oil?
It actually makes a difference people.
Questions to ask:
1) which peak oil theory?
2) who's interpretation of that theory?
3) what supposed consequences to the theory are put forward?
That's too much work.
edit: thanks for always proving my point, lazy Zeros.
edit: edit: Let me be more honest: stupid Zeros.
Why can't the US just play nice with everyone.
Listen 2205.
Exactly! Stay strong Vlad. Many NoN-Russians wish you well!
Vlad comes out and expressly states as fact that Saudi oil overproduction is prompted by U.S./EU/NATO is war by economic means & that Russia is preparing for siege and also preparing countermeasures,
I'm starting to believe the collapse in oil prices is what triggers the next "black swan."
And what happens to the tar sands in Alberta? What is the cost of production there?
The Canadian housing bubble and entire economy will collapse if oil collapses.
The peak oil theory is all bollocks. The Western basic theory of where oil comes from is ludicrous, once you look at the facts.
http://www.engdahl.oilgeopolitics.net/Geopolitics___Eurasia/Peak_Oil___R...
Oh my! Fairy tale land. Physics is not your friend, nor is chemistry. So sad that people really believe what they want to, and just say fuck the physics and the laws that govern the entire world.
The earth generates oil deep within at all times, we will never use it up.
Plus, there's all those buried dinosaurs on Titan...
It is not just dinosaurs. The heat from the earth's core melts whatever and turns it into oil. I believe the earth does regenerate oil but we have no clue how much. The cost of finding cheap oil is over. We have no idea what the reserves are in each country. Any numbers from the Saudis and US govt is going to be a lie.
the yen and dollar are connected at the waist and so shall the Renembi and Ruble; the chinese will float the russian currency for as long as it takes for the dollar to eventualy crash. PUtin knows it and so buys gold so that the two currencies has some marignally accurate and stable comparison.
But how fast? Flux is important asshat. Shit, there are companies that use bacteria to make oil, but so fucking what? You are a complete moron.
How fast and to add, at the expense of what mass is it composed of? The Earth is a wholly finite entity.
Vlad comes out and expressly states as fact that Saudi oil overproduction is prompted by U.S./EU/NATO is war by economic means & that Russia is preparing for siege and also preparing countermeasures,
+1. It appears the Saudis are going to pump Europe's way through the Winter.
Saudi needs fucking nuking.
Some of us have friends in Saudi, dickface. Both native and expat. Please try to remember they are people, including perfectly innocent young children who grow up and learn to hate the West because of comments like that.
Fuck you ..........you womans dickie
Some of us have friends in Saudi, dickface. Both native and expat. Please try to remember they are people, including perfectly innocent young children who grow up and learn to hate the West because of comments like that.
Fuck you twice cunt.
When you're taking a bullet or shrapnel from the next terrorist attack, I hope it gets put on Youtube so I can watch it over and over.
If you have not figured it out...
THERE ARE NO TERRORISTS IN THE UNITED STATES.
If you really believe that there are...
How many Aircraft were shot down on approach and departure last week in America?
How many Oil Refneries were destroyed?
How many Oil Tank Farms in the numerous cities were set ablaze?
How many Trains were derailed?
How many Interstate Bridges were brought down?
How many people are shot at Stadiums during Football Games?
(Now that is easy to rain down Bullets into an Open Air crowded Stadium from ONE MILE AWAY. Just angle the gun at 45 Degrees for Maximum Range. Random hits and random causualties of spectators and Football Players.)
And if you really believe that it is because of security then I am really laughing my ass off.
Here in San Diego, right next to Qualcomm Stadium there is an Oil Tank Farm. While driving cars in and out for the Monthly Sale I noticed that there is just one Security Guard and One Chain Link Fence. There is no Double Perimeter Security. (Hell US Tennis Open Matches in Scottsdale AZ and NFL Foot ball is better secured with Double Perimeter Security.)
And if you think that Explosives are difficult to obtain or manufacture then you are dreaming.
Back in 1980 the Ayatollah Khomeni said that the United States was wide open for terrorist attacks...
HE WAS NOT LYING.
Most any terrorist attack which has happened during the past Twenty Years has happened at the hands of YOUR GOVERNMENT.
Most, the vast majority, of us slaves are just too damned busy doing the best that we can in order to pay the bills, keep the power on, and keep the bill collectors away from our doors so that we can EAT, HAVE A ROOF OVER OUR HEADS, HAVE RAGS ON OUR BACKS and LIVE IN PEACE.
But it is assholes like you that want a fucking Police State and worship Government so that you can have an illusion of safety.
So go fuck yourself for wishing that upon someone else.
A few precision guided missles at the Saudi oil fields will instantly correct the situation. Alternatively, get Iran to send in some Jihadist.
Don't need to, they're pumping SEA water into their wells to get the oil out. It's only a matter of time.
That is what the west is hoping. That they can use the Saudis as a last desperate attempt to knock Russia into an economic spiral that results in the marginalization of Putin and his party and the comeback of the J-mafia crew. Then the USA is sitting pretty once it can exploit the Russian oil and the Arctic oil with the Russians out of the picture.
Actually, looking at the chart for this article -- Russia is in crisis. Vlad is talking tough but his fx reserves are down 20% YTD and in a tail spin. Another year of this and they could run out.
How long can the west keep forcing down the price of oil? Demand must be picking up. Most tight oil/shale is now selling at a loss. Companies will be going out of business. Banks/hedge funds must be getting margin calls.
What if Iran or some jihadist sinks a tanker or two? Prices back up to $120 fast. A few insiders will love that trade.
Given that these sanctions are economic war and that the USA is actively involved in destroying the Russian economy, why dont the Russians just counterfeit all the dollar reserves they need lol. Its not like they arent at war right now with the USA.
I mean when you have a currency that is not backed by anything what is the big deal if everyone prints it that needs it hahahha.
Mind you that when the dollar reset will occur and the new dollar backed by Ft Knox gold is released, all the dollars offshore will be conveniently deemed counterfeit regardless if they are or are not.
"when the dollar reset will occur and the new dollar backed by Ft Knox gold is released"..
You sound very confident that Ft. Knox is full of gold.......Needs to be audited, just like the PRIVATE Fed....
"...Russia is in crisis. Vlad is talking tough but his fx reserves are down 20% YTD and in a tail spin..."
His FX reserves should be down more than that. Why would he need to hang on to billions in foreign currency when the West has sanctions on Russia? Foreign trade is down so he damn well doesn't need piles of foreign money devaluting AS IF trade was still normal.
Gold has been dropping since 2013 so Russia's previous gold reserves (valued in USD) are dropping. He's adding something like 50 - 70 tons a quarter now and Russia already has the sixth largest gold reserve according to 'official sources'. Ukraine's gold reserve is dropping by the same amounts they pay to Russia for gas, so Russia may actually be getting paid in gold for gas today.
In any case, Russia's reserves are continually increasing in quality. Less foreign cash, more gold. That's hardly a crisis for Russia - that's the way it's SUPPOSE to be, FFS.
You're kidding - of course.
(+1)
Russia's problem is they are a one trick pony that relies on oil to float their government. They are a country very rich in natural resources but they never bothered to really develop any of them. They are distracting their populace with the game of thrones played with the rest of the world but that can only last so long.
Listen.
This is why you gotta love The Hedge. So many "KNOW-IT-ALLS". Here to inform us.
LISTEN LISTEN
SHUT THE FUCK UP
Thank you.
Listen.
Does your anti-Bangalorian troll cage have water bowl for you to drink out of?
Good.
Now let's get back into your cage and get off the computer.
Nice troll, nice.
Obviously, you don't listen; so quit telling everyone else to. We then might pay more attention to what you are trying to say.
Never forget: there is no "we"
In case you forgot knob gobbler-in.
10/13/14
"
Listen up dumbfuck!
You're the moron at all the cock sucking parties telling everyone to listen that its your turn to dick gobble again...and again...and again....and again.
If you say/do something of value..you dont need to instruct people to listen.
The fact that you dont know that, makes you that guy....
Just because all your real world acquaintances stopped talking to you...doesnt mean you can come on here and tell everyone to listen.
Heres some free advice..try contributing something of value for once. Its better than bleating at people to listen to you.
RIPS"
Thank you for the slurpee...come again.
RIPS
Disclaimer...i actually know many awesome indian people...this fuckers an idiot.
"i actually know many awesome indian people"
LOL! If he's an Indian then I'm a fucking bear.
http://www.ibtimes.co.uk/indian-students-claim-its-their-birthright-chea...
I went to India once, it was shit
I don't know...
I got an interesting reaction when I told him about the upcoming Nuke War between Pakistan and India over the Kashmir and Khyber Pass.
He did not like my response. He may be posting from India.
It does not matter, really, where he is from.
He may be posting from Tel Aviv University.
He may be posting from Langley, Virginia.
But you want to respond.
And giving him downarrows tells him that his posts are read and considered.
And I do read his posts...for the humor.
He reminds me of a twelve year old...
"Look at me...Look at me...Look at me."
You may want to listen to this song...
https://www.youtube.com/watch?v=mmcVjNOaYIE
At times the best response is no response.
fuck you fonestar
The ultimate one trick pony is the USA which has one product it sells - to stay afloat......debt
without the ability to sell the currency the game collapses - USA is a high cost producer for "everything" and the recirculation of income by government thru the economy produces a service sector economy which depends on the ability to sell the TBonds at low interest rate
Russia has virtually NO debt and hard liquid reserves no matter what the price is at the margin they will always have cash flow to serve a small population (147 million)- Saudi Arabia has proved that it is about control of the social costs at some price per barrel - thats it
US is not that lucky
Yep...+
US also has fear and intimidation ....... Or did.
Omen...take the dicks our of your ass ears and mouth, you fucking putz...Russia is a piece of shit two bit fucked up shit hole with a fucking faggot in charge
you fucking douche bag fuck
Hows that oil production doing for your GNP these days you fucking vodka soaked fuck bag
Omen..
Fuck you you fucking putz
Now that's a well-reasoned argument.
Nuke - Did you put Alkaseltzers in the same jar with your brain?
one missle strike and the entire USA game will be over in a matter of seconds. your e trade account will be worth zero. good luck with that $2000 wire to Tucson that comes every month. ANd, good by to social security. Yes, Obama will be watching out for you suckers. Good luck!
@Spastica rex
The questions you post are intended to give the impression that you are knowledgeable, but us stupid zeros aren't buying it. Please post the title of your favorite peer reviewed peak oil article and tell us why.
You and your strawman can fuck off, 'cuz you're not responding to what I wrote.
@ Spastica rex
In other words, you can't. Looks like you are in good company with us stupid zeros.
Let's see if I can figure you out:
Spastica Rex is covertly trying to defend some Peak Oil theory, and I'm going to make him explicate it and destroy him!
No, Spastica Rex is not defending any Peak Oil theory, and if you read what I wrote, you would know that.
When some intellectual liteweight like yourself says, "See, Peak Oil is STOOPID," it's your job to say why.
Listen.
" it's your job to say why."
This is why you gotta love The Hedge too. Such good advice, for free!
Listen.
See, this is why you gotta love The Hedge. Such polite discourse.
How many alt-IDs do you have? I see 4 upvotes, so at least 4...
Hmmm
Listen Troll.
Would my cock in your mouth shut you the fuck up? Is that what you're dreaming of?
Go follow someone else around, I don't need a boyfriend, ok?
Follow someone else?
LISTEN Dude/Dudette/Hermaphrodite, you stalk more people here than anyone.
lmao.
Troll?
How can you call these folks "trolls"? They've been in Fight Club for years... You just showed up here and we're the trolls?
You being "ironical"?
(BTW: If you are just here to create additional poo for everyone to wade thru then you need to step up your game and add more to your posts about $1 silver mining cost, the importance of bigger gov't, disparge the Jews, and wear your red or blue team flag.)
Trolls like Bangalore are needy attention seekers and your merely feeding him, so STOP FEEDING THE TROLL....
Bangalore Equit...wrote, "Would my cock in your mouth shut you the fuck up? Is that what you're dreaming of?
Go follow someone else around, I don't need a boyfriend, ok?"
Transference perhaps?
That thought, of having my cock in another man's mouth, would not even cross my mind. That is so repulsive.
But then I am not gay. So I guess that thought would cross a gay man's mind. It makes sense.
I've been around many people who talk incessantly, jabbering on and on oblivious to the fact no one is listening. I was once on a greyhound bus traveling from Spokane to San Diego when I had the misfortune to have such an individual on board. Admonitions from everyone failed and I was debating either killing him or myself. At Portland we stopped for a meal break and the driver gave us a time to return when we would leave. We were all there but one individual 10 minutes before departure. Looks like were all here, let's go and make up some time. That was 30 years ago and to this day I'm still not sure if that was an accident.
I have found out visually it is less irritating then verbal.
Miffed
Welcome back! Did you escape Ebola with your self imposed bug out? We all died while you were gone.
http://www.zerohedge.com/news/2014-10-17/officials-responding-possible-e...
JUst because the Main Stream Media has not been reporting it does not mean that it has disappeared.
No news is not necessarily good news. It can mean that there is a blackout.
At times what is not reported is more important than what is reported.
Did you hear that Miley Cyrus was kissing Arnold Schwarzenegger's son at the USC-Cal Football Game on Thursday night?
How shocking!!!
But what about the massive outbreak on US soil? So far patient zero died, but the two infected nurses made MIRACULOUS reoveries, even GAINING weight while in treatment. The NBC cameraman - speedy recovery. NYC doctor - perfectly healthy. These people came into contact with hundreds, maybe even thousands of individuals yet not a single outbreak. Or are you implying that there is an outbreak thats being covered up? Even if scrubbed from news, that couldnt escape at least a couple of social media posts. Ebola is still a hoax designed to further US interests in Africa and sell vaccines.
News outlets ran wild with Ebola fear porn for the amazing ratings - even better than the Malaysian airlines saga - and it wasnt playing well for the Dems in midterms so they were told to drop the coverage down from an '11' to a '2'.
Best thing Mr. Putin could do is demand payment for oil in silver and gold. The artificial price of cheap oil would buy much more artificially suppressed gold and silver;
Why sell real goods for an artificially high debt coupon? You sell instead for real goods, and the fact that they are destined to rise and endure instead of crash and evaporate like entry book debt coupons makes the logic inescapable.
That it has not yet happened indicates to me the Russians and their allies are biding their time for a massive coordinated fiscal atomic attack that will literally happen over night.
Hopefully that time will be first day notice for dec. Ag contracts on the comex.
Rafterman, totally agree. Just want to add to your rhetorical question "Why would you take your enemy's overpriced debt coupon for real assets?"
Zino-Nato left no doubt over the past year how they view Russia.
Or maybe Pooty Puts in on it and he's just the bad guy for the theater. People not too scared by the towelheads but, the possibility of nuclear armageddon gets everyone's panties bunched up.
I hope it's the sudden coordinated attack. Then Russia and China can duke it out for control of eurasia while the US gets back to how it was 100 years ago. A country with every natural resource it needs with an oceanic moat on either side and a solid, hardworking, non interventionist population.
I have always understood Peak Oil to be about running out of Cheap Oil - I'd say at $75 a brl Peak Oil is alive and well
<delete>
Ah I see so if "Peak Oil theory number 1" has trouble with reality you will trot out "Peak Oil theory number N" and it will cover the shortfall. Is your name Geitner?
Let me give you the peak oil theory that will be correct. Oil usage will peak when usage peaks.........NOT production. That is to say production will NOT be the limit. The limit will be when rapidly developing technologies finally reach viability independent of government manipulations.
And my final point is: Spastica Rex calling any one stupid is ironic.
macro analysis
trade wars -----> real wars
this computer tech singularity thingy cant get here fast enuff
This started as a simple desire of the Saudis to extend the long term value of their oil, but it has Putin's balls in a vise.
We'll find out soon how committed he is to defending Assad. Interesting times.
I suspect more support for Assad and Iran for that matter with China backing Iran as well. doesn't sound like Putin is backing down, we just may get the great Sunni-Shia war that the Sunni/Iraelis have been pushing.
Oil will go down to 45-60 price tag. And that will be catastrophic for every oil producing nations. Russia knows this and getting ready for it. But countries like Venezuela, I think will be in big trouble.
Here in Canada, even do oil drop 20+%, the price at the pump has not changed. I wonder why.
That is not entirely correct, it has gone down just not relative to the drop in the price per barrel.
I live 45mins east of Toronto, 4 months ago we were paying $1.25-$1.35 per liter.
It's now $1.08-$1.12 per liter.
I wish I could say the same thing here in Vancouver. But it still at $1.25-1.45
If oil can be manipulated lower, does that when it was higher it was manipulated? How much extra did the American consumer pay to keep fracking alive in Texas and South Dakota?
Everything's a fraud,
You follow a paper God
Fill your Vault with paper
And pray there's no taper
And end hoisted on your own Petard
An old KGB thug understands his economy really well, and I'll give you 10 to 1 Choomie couldn't balance his own damn check book.
Yeah, it definitely helps when your playing chess and he's playing tic-tac-toe but does he have the resources to play long term?
People still balance a check book/sarc
Not those that have an inside track to the Fed Window ie GS, JPMorgan and their employees etc
I think retail needs to refresh what Hubbert based his Peak oil theory on. Like gold backed currency the premise is sound but it lacks a sound approximation for advancement in recovery, sweep and resource rule changes that have moved the proven production in how we book oil in the USA, and how its booked less transparent regimes.
There is peak production, and that will follow moores law for most regions on a rolling basis. Peak resource is possible, but its pushed out now until at least 2040. If we see continued switching into more featherweight vehicle classes (Aluminum body, plastic body, micro-compacts) then the curve is pushed out a bit longer.
On another note: Putin just implemented the Hitler Youth.
http://englishrussia.com/2014/11/10/young-kids-are-in-the-army-now/
And now, a moment of silence for the 5 energy hedge funds who blew up this week. Because its a bullish recovery if people are pulling their money to the sidelines on forward expectations for a better growth outlook.
Light weight cars don't seem to be particularly fashionable at the moment. Maybe cheaper gas might help?
No, probably not.
Listen Rex.
He also didn't account for leaky gas tanks in older vehicles. It's a trend in USSA to keep your vehicle longer because they're all broke.
It all balances out, trust me.
I ride a bicycle.
Really, what is up with this "Listen" lead in every post of yours? Do you think it a clever trick of rhetoric?
You're the only regular poster I automatically down arrow - Simply because you annoy me.
Yeah. I find it real hard to see past the "listen". Almost fucking impossible.
Me three, the guy/girl is a fucking retard with nothing useful to say about anything. Waste of fucking space
I'm pulling for Vlad, cause he's (sadly)a far sight better than the demons running the world now.
But this release has politics written all over it. He's letting the west know they can crush the price of oil and he'll still be standing. If it were true, he probably wouldn't say it, he'd keep that ace up his sleeve and watch America's "shale miracle" disappear.
+1 for "and watch America's shale miracle disappear", but sometimes you have to show an ace so others at the table don't get too silly.
not really hitler youth but don't think anything less than prep for possible Stalingrad II. west will never be = to task.
Putin = Hitler?
Hilary, is that you?How's Chelsea doing with her latest make-work sinecure and her bankster husband?
Hitler invaded lots of countries. Who has invaded more countries in the last half-century, Russia or USA?
So Putin is like Hitler because he puts young people into quasi-military training? Hell, if I was a kid I'd join just to meet some of those girl comrades.
Ever read why Lord Baden-Powell started the boy scouts movement? Or what age the Spartans started military training? Or the age at which English boys put to sea as midshipmen?
And what are our adolescents doing that's so wonderful? Are they learning, toughening up, staying fit?
Russians have a hard history, harsh climate, and have endured much hardship. How much hardship could our population take before going feral? Try reading Dmitri Orlov's early essays.
Hell of a point
For Whom..
SPOT ON +10 People like to take Kunstler's Peak Oil comments outta context. He always informs others "....there will still be oil in the ground (deep gulf of Mexico?) but at what price can us minions pay. It is simple affordability. Our blindsidedness is not exactly a Christmas gift basket for future generations. They be pissed we had a party and they were not born yet....
In other words - when the cost to extract and refine the next barrel of oil is more than what that refined barrel can sell for, production will stop.
As you can see, that boundary is variable; it is not fixed. But that boundary is there - and will be arrived at at some point. For many, that boundary has already been passed. They cannot afford to pay the current cost of extracting and refining the next barrel of oil.
Bob, did mama have any children that lived?
Prediction...OBAMA WILL RESIGN
...Because He's run out of excuses blaming Bush and Washington....his single last opportunity will be to resign using the Racist Card....and no one will be able to argue.
Retires to the Golf Course before America goes officially FUBAR
I'll bet you a million bucks that doesn't happen.
I'll have to borrow it, though.
I'll loan it to you.... for a small compounding fee of course.
Can we just split the winnings 50/50?
Easy $500K Obama Bucks for both of us.
I'm sending out millions of letters asking for a penny in return. Perfectly legal. I think.
Even though I lose .47$ postage on each transaction, I'll more than make up for it in volume. Free money train here I come!
Jeff Bezos?!
You'll eventually corner (every) market!
I'm rootin' for ya, dude!
Dude, you'd get a bulk rate which would chop your postage down to about .22¢! You'll be even richer!
Thanks Dave!
Bernanke will print it for you. Just buy him a corned beef sandwich.
Yeah right. He will be clinging on until the bitter end. And don't count on any impeachment.... it's not in the entertainment cards.
The recent photo of Putin "consoling" Obama showed 0's misery. Obama is in a game he can't win and he can't quit.
O's handlers to O, "Bitch, we'll tell you when we're done with you." Sad to watch, unless you remember him playing golf last summer.
Nope... not going to resign... He's going to double, triple, quadruple down.... He's just getting started.... The election is over... he lost... he doesn't care that he lost... He's going to inflict maximum damage to the country with no political fallout now....
He's already started... the day after the election with amnesty, net neutrality and, going after the coal industry... all in one week.
If you haven't noticed... he's flooding the field.
The spineless, incompetent, corrupt arrogant narcissistic illegal indonesian kenyan alien muslim sociopathic pathological liar in chief fudge packer is pssed cuz he was dissed by the chinese who relegated the wimp to the WivesClub so he's going to take it out on the republicants and tax paying hard working US citizen serfs and peasants.
drendebe10 +100 eventhough I would like to think of Ozero of possessing some graces, I am horrified that you are correctomundo with our Chief NoBody in charge. The scorched earth policies we have inflicted on our countries will soon be coming home to roost thanks to Ozero. I gotta state here n now...it's been great meetin and reading the many takes of the ZHers here. See ya at the FEMA camps...
Peak oil is correct only in the framework of constant growth, constant balance sheet expansion by the FED. If we are contracting, quickly as Putin suggests then Peak oil will be delayed for a while.
When they throttle back their own oil production exports, then they are getting it right.
(But I guess there is something strategic to be gained by letting US shale producers hemorrhage cash in the short term... then again Rex Tillerson, who will get the the opportunity to go on a distressed asset shopping binge in the US shale patch, used to run Exxon Russia after he did a stint in Yemen)
Me thinks you don't understand what peak oil is.
There is no such thing as "peak oil" or "fossil fuel". Oil is completely renewable.
http://www.principia-scientific.org/russians-nasa-discredit-fossil-fuel-theory-demise-of-junk-co2-science.html
Yep. We just have to wait a thousand (or ten thousand or maybe a million years) and Spindletop will gush again!
Good times!
Peak oil is not about how much oil is in the ground, it is about how much it costs NOW to find and produce each barrel. The easy oil is still being pumped, that is not what is going to last, thus Peak Oil. The expensive oil is being produced already, PROOF that Peak Oil is real. Go to Canada and watch a tar sands mine in operation, come back and tell me there is plenty of new cheap oil to be found. Show me one cheap to produce new field anywhere, even one.
Prudhoe Bay could produce 2 million barrels of oil every 24 hours for up to 40 years at artesian pressure. Its average depth of oil is 600 feet of pay zone, in an area 100 square miles.
The Kuparuk oil field's average depth of oil pool is 300 feet of pay zone, with an area of field twice the size of Prudhoe.
The Gull Island oil field average depth of oil pool is 1,200 feet of pay zone, with an area of field at least four times the size of Prudhoe, and estimated to be the richest oil field on the face of the earth.
Oil is cheap now. You are concerned about tomorrow? Technology...and politics getting out of the way...will solve your cost problem.
So they are letting fields that can without a pump, produce 2 millon barrels a day or double that just sit there? Meanwhile we drill in miles of water, bake sand, and break-up shale for oil? Why would anyone do that?
Neptune in Pisces = oil & gas everywhere, bitchez
Putin is a scary son of a bitch!
Hes playing for keeps,,,
and barry is just playing!
Im getting a REALLY bad feeling about this!
I think Barry is just playing with his dingaling with his boyfriend, excuse me wife.
Leave chewey alone already. He's golfing with the ladies.
Did you recent his recent speech (reported here as "Playtime is over")?
He is indeed a cunning, dangerous and most imporantly, a stunningly pragmatic strategic rival to the west which amuses itself with pointing and yelling, "hitler Hitler HITler HITLER!!!!" and giggling about how we are "isolating" him and "defeating" him as if he was a rival sports team.
In the speech I reference he actually informs the west of how he is beating us and yet we hear nothing of it in the press.
Vlad's defeating himself. The bottom's dropped out of both the oil and ruble, and he's to blame for both. Unfortunately, Russia's little more than an energy exporter, so that's a big problem.
That silly goose!
To blow off some steam, he needs to drop a couple of compliant oafs to the judo mat, maybe send a few more frustrated bombers on a fly by. Soviet Union V2.0 won't be any better off, but he'll sleep better.
The only thing the bottom's dropped out of is your long johns with a trap door back flap. And when your mommy sees the mess you've made all over the nursery floor.....
There you go with the judo mat again, blowing off steam.
Why don't you just come out of the closet, Amerikan Patriot. Maybe that's what you been missing?
Better hope the bombers don't fly by, if they're capable of taking out all your electronics, as reportedly happened recently:
http://www.lewrockwell.com/2014/11/gary-north/russian-plane-disabled-us-...
I'm surprised not to have seen this one on ZH. Does anyone have another link for it?
Putin=Hitler (?)
Yes, that's the standard rap. Say it loud and often, and most will believe it
In spite of what I said earlier, I have come to see one resemblance between the two: they both appear to be calling the shots (or Hitler's case, to have been calling, you know what I mean). Now consider our bureaucratic puppet leaders: US Presidents, Fed chairpeoples, ECB, EU, Cameron, the Japanse guy (whatever his name is). Do they even look like they are calling the shots, or even understand what's going on? They'll be rotated out for some new faces in a few years, so what difference does it make?
That's one problem. We know our 'leaders' don't call the shots, they take orders from people who are off-stage. We won't even know whom to blame when things go belly-up. (After the French Revolution, clever aristocrats saw that it is better to rule from the shadows. The desire to be famous is an infantile fantasy.)
Yes, Pooty (Bush Jr's nickname for him) is cunning and dangerous, so what? Would that the US had somebody like that. Yes, he was mid-level KGB and that makes him a thug. Bush Sr was CIA, but he's not a thug (could he even thug his way out of a paper bag?).
Aaaahhh....Vlad. Just like in the good ol days. Agitprop for the people. A padded docha for you.
It's a bitch ....isn't it....when you buid your oligharchic empire on oil, AK-47's, vodka and Russian mail order brides.
Of course, you and your fellow Slavs will survive. Except for you and the new rich, the people don't have to far to fall back. And you will do much better than us fat ass 'Murricans. But your shit stinks just as bad as anybody in the west. It just smells of KGB and borscht.
JEESUS
Is that the best you can do?
You must be on plenty of vodka yourself.
How do you offset the low oil prices? By driving up the price of your gold holdings. This will be interesting.
I answer the song:
http://www.youtube.com/watch?v=S0ONFpSV8gA
the translation:
Why would a man break -
Thought anyone?
A person vacation
Then, to relax!
Why should a person vacation?
Every day to film.
But in the camp vacation -
Torment one!
Lifts, washing,
And the sound of the whistle swimming.
Three times a day diet,
In short, not joking.
Skating, walking -
Vain dreams.
The tasks
Meeting
At any time days!
Why would a man break -
Thought anyone?
A person vacation
Then, to relax!
Why should a person vacation?
Every day to the movies?
But in the camp vacation -
Torment one!
But in the camp vacation -
Torment one!
Martyrs-
tion one!
Martyrs-
tion one!
I answer the song:
http://www.youtube.com/watch?v=S0ONFpSV8gA
the translation:
Why would a man break -
Thought anyone?
A person vacation
Then, to relax!
Why should a person vacation?
Every day to film.
But in the camp vacation -
Torment one!
Lifts, washing,
And the sound of the whistle swimming.
Three times a day diet,
In short, not joking.
Skating, walking -
Vain dreams.
The tasks
Meeting
At any time days!
Why would a man break -
Thought anyone?
A person vacation
Then, to relax!
Why should a person vacation?
Every day to the movies?
But in the camp vacation -
Torment one!
But in the camp vacation -
Torment one!
Martyrs-
tion one!
Martyrs-
tion one!
To all you pro Russia douche bags..
More examples of your lying Gvernment releasing propaganda to cover its sorry ass, while Puckin is down undah at the g20
http://www.bbc.com/news/world-europe-30064374
Murdered innocent civilians, yes puttin, now there is a real "statesman"...
"25 cents a pack? "
Only if you grow your own.
http://www.onlinetobaccoseedstore.com/
I would be very nervous piloting a tanker in the Straights,
the Suez or any of the other choke points these days.
THIS all day long.
Then again, this might buy a couple weeks. I see this as a game of chicken,
As energy prices continue to collapse, it means that in the EMZ, inflation in other areas has to increase to keep the "deflation monster" from popping up in all the wrong places (see Spain and Italy).
Who will implode in on themselves first -- Russia or the EMZ? I would love to say the EMZ and there would be Guy Fawkes masks running around everywhere -- but I get the feeling that International Finance is going to step on Putin's neck, or, at least try to.
We really are screwed, as I don't expect Putin to go peacefully, nor do I expect the war crazed neo-cons to pass up the opportunity to provoke the Bear.
Winners - Bilderbergers
Losers -- Everyone else.
If push come to shove it doesn't matter if you leave this world rich or poor.
"If you fall a sleep with the sound of a fountain on the background you are either very rich or very poor."
Bob, is there a conspiracy you DON'T believe in? Hilarious!
The Suez I believe is secure the Egyptions have learned about the BS CIA run ISIS from thier past experince.
Egyptian President Abdel Fattah el-Sisi is a graduate of the U.S. Army War College.
Masters Program, Class of 2006
I am thinking the same thing. It does not take much. You can block the Suez with a single ship.