Geophysicist and author Peter Tertzakian told the opening session audience in Houston that the world has become addicted to oil, a theme also sounded by U.S. President George W. Bush.
Tertzakian, author of A Thousand Barrels a Second, said in the present environment the gap between world demand and supply has become so tight even small factors can send prices higher, while multiple events have a cumulative impact greater than their sum.
He said slowing down the global addiction to cheap oil will be disruptive and painful for global economies and for individuals. The bad news is for the first time in the history of energy consumption, there is no “magic bullet” offering an immediate, large-scale alternative.
He noted developing technology to produce energy is not akin to the easy, rapid pace of innovation in consumer electronics like cell phones, PCs and iPods.
There’s also good news, he said: Forward-thinking nations, corporations and individuals can anticipate and navigate the coming break point.
-- LARRY NATION