The Myth of Peak Oil

The Myth of Peak Oil

No name is more closely associated with the concept of Peak Oil than geologist Marion King Hubbert. Hubbert was a research geologist for Shell Oil Company and later the US Geological Service. Hubbert is credited with developing a quantitative technique (Logistic Growth Curve) now commonly referred to as the Hubbert Curve, which he suggested could be used to predict the remaining oil supplies (or any other finite resource like gas, copper, etc.) and the time of eventual depletion.

In his paper, Hubbert estimated that the “ultimate potential reserve of 150 billion barrels of crude oil for both the land and offshore areas of the United States.” Hubbert’s estimate was based on the crude oil “initially present which are producible by methods now in use.” Using the 150 billion barrel estimate he predicted US Peak Oil occurring in 1965. But to be cautious, he also used a slightly higher figure of 200 billion barrels which produced a peak in oil production around 1970—the figure that Hubbert advocates like to use to demonstrate that Hubbert was prophetic in his predictions. However, by 2006 the Department of Energy estimated that domestic oil resources still in the ground (in-place) total 1,124 billion barrels. Of this large in-place resource, 400 billon barrels is estimated to be technically recoverable with current technology.

Read the Full Article Here: http://www.counterpunch.org/2012/03/29/the-myth-of-peak-oil/