OPEC: near record production, spare capacity a concern

In addition to the hole left by the Iran sanctions, the Saudis are pressured to pump more in order to meet their own rising domestic demand. This is putting strains on OPEC’s spare capacity

[Premium] Is shale oil cheap?

There is some evidence that recently discovered shale oil fields cannot be successfully exploited at prices under $100 a barrel

A Primer on Peak Oil

I ran across three separate articles on peak oil at well-regarded financial news sites today: The Economist, The Financial Times and Le Figaro. I thought I’d give you a run down of what they were saying and what it means for the economy and investing

[Premium] Peak oil explains the Repsol YPF expropriation in Argentina

I think this should be obvious to everyone by now, but peak oil is a clear factor in the Argentina/Spain oil crisis. Here’s what happened

[Premium] Daily Commentary: Highest US March Gas Prices on Record

This daily commentary is a bronze level members-only post. I wonder how the oil issue is going to play out in this particular election since everyone seems to be talking about how high the price of gasoline/petrol is. In the US, we are seeing record numbers. here are some thoughts on the issue plus the links

A Battle for Oil Production Is Brewing

With big oil’s bank accounts full to the brim with cash, the stage is set for some significant acquisition activity… or, to put it another way, for a battle to buy producing assets. There are quite a number of contestants in the battle – big oil companies are not only competing against each other to sweep up good assets but also against the national oil companies of developing, energy-hungry nations like China, South Korea, and India. Oil demands are rising in these nations so quickly that just to cover expected annual demand increases those three countries would have to jointly spend $30 billion on acquisitions each year

Saudi Arabia: When surging oil demand meets limited supply

The following note from Gulf News reinforces the concept that high population growth in the Middle East will slow the amount of oil available for export. I believe the consequences are higher prices

Peak Coal and Jeremy Grantham’s Clarion Call on Natural Resources

Coal is one of many natural resources which are in short supply. This article provides one example from India. Jeremy Grantham believes that peak resources is a phenomenon which will pose problems for the global economy in the future. He has written a second consecutive quarterly note on peak resources that this time concentrates on the human suffering

Five Misconceptions Squashed

Niels Jensen clears up a number of common misconceptions about the macroo environment which whave great importance for investing

What does Jim Rogers think about the silver crash?

“I hope that silver goes down for a while because it was turning into a parabolic move, every parabolic move ends badly, I hope that silver and all commodities continue to go up with normal corrections along the way and in 5 or 10 years, they’re going to be unbelievably high prices and then I hope I’m smart enough to sell if the bull market is coming to an end.”

-Jim Rogers, on CNBC this morning before the rout

Grantham: ‘Days of Abundant Resources and Falling Prices Are Over Forever’

Grantham: “The world is using up its natural resources at an alarming rate, and this has caused a permanent shift in their value. We all need to adjust our behavior to this new environment. It would help if we did it quickly.”

The Fracking Controversy

The news that Blackstone Group LP (BX), the world’s largest private equity firm, is set to invest $1 billion in unconventional oil and gas projects in North America through a joint venture with Alta Resources has cemented a spotlight on fracking.

A U.S. Senate committee is currently conducting a hearing on the safety of hydraulic fracturing, as it is formally known. The province of Quebec, the state of New York, and the entirety of France have recently banned the technique. And two new studies claim that fracking-derived shale gas is actually worse for the environment than mining and burning coal. With so many claims flying around about this unconventional practice, let’s get a closer look at the facts.