There is an incredible article today on the Oil Drum highlighting the massive decline in Mexican oil production. You can find it here:
The article includes a chart showing the rise and fall of U.S. oil imports from Mexico. How will the U.S. replace these supplies?
That's the plan anyway. I do not believe the US has thought much beyond that.
At these prices the Canadian oil sands profitabiity is in question however and I hope our good friends to north were asked if they would please go along with it all. Without them we have no truely friendly source. Eventually someone may start asking us to maybe try not using so much. As you point out, it is truely an impressive decline and we will be facing a decision quicker then most expect.
When I saw the #s on Cantarell a couple weeks ago I had to rub my eyes in amazement. Seems like TPTB/MSM are all focused on the stories about Brasil's new deep-water oil finds, and then more recently the US deep-water find in the Gulf o'Mexico. Of course at these rates, Cantarell will be making that straw-sucking-the-bottom-of-an-empty-milkshake sound before a single drop of oil is pumped out the those deep-water fields.
Make haste to prepare, folkies. Unless prepping in an economic environment where gas is $8.50 a gallon is your idea of fun. Your call.
Viva -- Sager
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