World outside US and Canada doesn’t produce more crude oil than in 2005
After a delay of several months the US Energy Information Administration has published the latest international energy statistics for October 2015
This is an opportunity to update crude oil graphs
http://crudeoilpeak.info/latest-graphs
Fig 1: World’s incremental crude oil production
How Fig 1 is created: for each country, the minimum production in the period Jan 2001 (original IPS start month) to October 2015 is taken (=base production) and deducted from the country’s total production, giving the incremental production which is then stacked in a way that allows to interpret which changes occurred. The stacking order is:
(a) Base production
(b) Countries with growing production
(c) Countries with flat, peaking or declining production
(d) OPEC and Middle East countries
(e) Canada (mainly tar sands)
(f) United States (mainly shale oil)
The numbers denote following events:
(1) Venezuela strike
(2) Iraq peak oil war
(3) Saudi production declines
(4) High demand for China Olympic Games
(5) Iran sanctions introduced
(6) Iraq reaches pre-war production level
(7) US shale oil boom takes off
The red horizontal line is the maximum crude oil production level in May 2005 (the Katrina year). We can see that almost all additional oil produced now above that level is US shale oil. In other words: without US shale oil (which required cheap money from quantitative easing), the world would be in a deep oil crisis.
The grey line shows the September 2005 production level outside the US and Canada. The graph shows that the October 2015 production level is only slightly higher than in 2005, possibly within the accuracy of statistics.
We can therefore confidently say that growth of the world economy managed to make itself completely dependent on unconventional oil from the US and Canada.
…click on the above link to read the rest of the article…
