Re: SC24

http://kunstler.com/

September 14 -- The Oil Price Drop
Has anyone failed to notice the recent decline in oil prices, from the $70+ range per barrel to the low $60s? Enjoy it while you can. It is not a signal that the peak oil problem has been solved. It is probably the result of the following conditions.
A supernaturally calm hurricane season (so far). Especially compared to the horrors of 2005.
Overbought inventories during the summer as prices crept up toward record levels and panic buying occurred heading into the home heating season.
A contraction in economic activity in the US, especially in the housing construction industry; fewer 18-wheelers loaded with sheetrock rolling up the interstates; a.k.a "demand destruction."
High bidders (rich nations) outbidding low bidders (poor nations) leading to significant demand destruction (less oil use) in the poor nations. (Not reported by mainstream media.)
The news of Chevron's deep water "Jack" project, leading the public to think " energy crisis cancelled ".
Temporary lull in Middle East tensions following the frightful clash of Israel and Hezbollah.
Meanwhile, chew on the following:
World oil production so far in 2006 is on track for a 2.5 percent annual decline. Net exports from the world's top 10 exporters are falling at an annualized 9 percent this year so far (production drops + increased domestic consumption.) Canadian production (our main source of imports) down 10 percent this year. North Sea production down 30 percent since peaking in 1999. Supergiant Cantarell field in Mexico crashing. . . .