Peak oil?

I read this random comment:

Oil is cheap right now because demand is down. As Jeff points out, fewer people have jobs, so commute trips are down. Also, people have begun changing their driving habits in recognition that gas prices are more likely to go up, not down, over the long haul.

OPEC is decreasing production to bring the price back up, so enjoy cheap gas while it's here.

"The cartel (OPEC) has not faced such a challenging environment since the early 1980s. Oil consumption is set to decline for the first time in 25 years because of the economic crisis."

Could it be that we just passed peak oil without noticing? Rather than supply peaking, demand peaked, and quite possibly, by the time the economy recovers, we will definitely not be able to reach our former peak production. Another interesting question is whether this sudden drop is harming things like tar sand extraction and coal liquification (please o please).




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