Jonathan Callahan

The current boom in drilling for ‘unconventional’ gas has helped raise US production to levels not seen since the early 1970′s. This has been an incredible boon to consumers and has kept spot prices contained below $5 per million BTU for the past year, recently dropping below $3/mmbtu. Unfortunately, this price is below the cost of production for many of these new wells. When the flood of investment currently pouring into natural gas drilling operations dries up, the inevitable bust will be as scary as the boom was exciting.

Day 2 of the ASPO-USA Truth in Energy conference continued the wide ranging discussion about our current energy predicament, the reasons society isn’t talking about it, and potential ways to begin preparing for a world with increasingly scarce liquid fuels.

I recently attended the ASPO-USA annual conference in Washington, DC. Overall, I found the presentations and discussion to be very engaging. The vibe this year had much less of a doomsday feel than last year and the topic of how best to tell an engaging Peak Oil story came up often. In the notes below I attempt to recap the sessions I attended with the caveat that these notes reflect primarily what I paid attention to. No attempt is made to be complete or unbiased in my coverage of the conference. I apologize in advance for any omissions or misrepresentations. In the next few weeks ASPO should make videos of the presentations available on aspo.tv.

On June 6 and 7, I attended Opal Financial’s Clean and Green Investment Forum. I was invited to take part in a panel on “Green Energy in Emerging and Frontier Markets”. The forum brought together clean tech entrepreneurs and investors as well as a few academics and analysts and proved very stimulating. The overall vibe was one of optimism and opportunity — we’re talking entrepreneurs and investors here.

This article makes the case that the Saudi economy will consume ever increasing quantities of the oil they are currently exporting. The argument will be made that they could meet much of their power needs with either nuclear or solar power in order to continue earning oil export revenues. While enticing in theory, the real world of existing infrastructure, existing know-how, existing finance and existing technology will trump in the near term.