By Dean Fantazzini, Mikael Höök, The Oil Drum
Abstract: The Deepwater Horizon incident demonstrated that most of the oil left is deep offshore or in other locations difficult to reach...In this regard, the physical limitations on producing ever-increasing quantities of oil are highlighted, as well as the possibility of the peak of production occurring this decade. The economics of oil supply and demand are also briefly discussed, showing why the available supply is basically fixed in the short to medium term. Also, an alarm bell for economic recessions is raised when energy takes a disproportionate amount of total consumer expenditures. In this context, risk mitigation practices in government and business are called for.
By Mikael Höök, Uppsala University, Sweden
About 90% of the global coal production originates from only 6 countries. Some of them, such as the USA show signs of increasing maturity and exhaustion of the recoverable amounts. However, there is a greater uncertainty about the recoverable reserves and coal production may yield a global maximum somewhere between 2030 and 2060.
By Mikael Höök, Kjell Aleklett, Uppsala University/Natural Resources Research
It is found that the SRES unnecessarily takes an overoptimistic stance and that future production expectations are leaning towards spectacular increases from present output levels. In summary, we can only encourage the IPCC to involve more resource experts and natural science in future emission scenarios. The current set, SRES, is biased toward exaggerated resource availability and unrealistic expectations on future production outputs from fossil fuels.
By Mikael Höök, Robert Hirsch, Global Energy Systems, Uppsala University, Sweden
Using a comprehensive database of giant oil field production, the average decline rates of the world’s giant oil fields are estimated... The evolution of decline rates over past decades includes the impact of new technologies and production techniques and clearly shows that the average decline rate for individual giant fields is increasing with time. These factors have significant implications for the future, since the most important world oil production base – giant fields – will decline more rapidly in the future, according to our findings.