EROI

Blog

PeakProsperity.com

Upcoming Webinar: The Energy Predicament, Sunday Aug 26 at 4pm ET/1pm PT

Featuring Art Berman, Alice Friedemann & Bob Burr
Wednesday, August 8, 2018, 1:02 PM

Receiving an update on the world "net" energy/EROEI situation was one of the most-requested webinar topics from our survey of the PP audience earlier this year.

You asked. We're delivering.

On Sunday, August 29th at 4pm ET/1pm PT, we'll be holding our next webinar titled: The Energy Predicament » Read more

Insider

Stepan Kapl/Shutterstock

How The Coming Oil Shock Will Impact Absolutely Everything

Price spikes, supply crunches, and recession everywhere
Friday, July 6, 2018, 7:44 PM

Executive Summary

  • The Inevitable Supply Crunch
  • Why The Central Planners Are Making This Worse
  • Why The US Shale Industry Will Implode (And Soon)
  • The Growing Geopolitical Risks To Oil Supply
  • The Shock Felt Round The World

If you have not yet read Part 1: Why The Coming Oil Crunch Will Shock The World available free to all readers, please click here to read it first.

As I’ve written extensively in the past, there are four entire years of missing upstream oil and gas investment (2014—2017) that will lead to an equivalent period of missing oil and gas supply sometime in the future. With the usual 5-7-year lag between discovery and production, my time frame for that was somewhere between the end of 2018 and 2022.

When -- not if -- that supply shock hits, there is no amount of fresh investment money that can rapidly bring new supply on line. Doing so just takes time -- measured in quarters or years:

As we enter into the second half of 2018, the supply/demand balance has already tipped into a slight deficit. I am clearly predicting that:

  1. this supply imbalance will only get worse, and that
  2. oil prices will have to rise to compensate.

The only development that could possibly prevent this from happening would be a rip-roaring recession, as only economic decline has proven to be able to reduce demand by as much as will needed to avoid this supply crunch.

As we can see from the below chart, the world has been... » Read more

Blog

Anton Balazh/Shutterstock

Why The Coming Oil Crunch Will Shock The World

And why we need a new energy strategy -- fast
Friday, July 6, 2018, 7:42 PM

A responsible global society should have a credible and very publicly-stated energy strategy providing a road map for weaning itself from fossil fuels before they become prohibitively expensive/scarce.

But since we don't have one, the alternative path we're taking is to sleepwalk into the future with no plan for feeding 9 billion people or re-building a crumbled global infrastructure -- let alone facing the additional challenges of running out of critical minerals, dealing with destroyed ecosystems, and being unable to field the necessary fuel and economic complexity to install a brand-new energy infrastructure measuring in the hundreds of quadrillions of BTUs.

This business-as-usual path will be marked by the three D’s: despair, demoralization, and death. » Read more

Podcast

PeakProsperity.com

Dr. Charles Hall: The Laws Of Nature Trump Economics

It's all about Energy Return On Energy Invested (EROEI)
Monday, March 5, 2018, 1:59 PM

Dr. Charles Hall may not be a name you instantly recognize, but it should be.

Now a Professor Emeritus of the College of Environmental Science and Forestry, Dr. Hall is a rigorous researcher of energy, oil, biophysical economics -- and was a critical early pioneer in developing the key resource metric of Energy Returned On Energy Invested (EROEI).

After a life's career of looking at the world through the lens of EROEI, Hall is very concerned that, as a global society, we are hurtling towards an energy crisis that will forcefully (and likely painfully) downshift our standard of living within the lifetime of the current generation. » Read more