US diplomat convinced by Saudi expert that reserves of world’s biggest oil exporter have been overstated by nearly 40%

As we said in our Al Jazeera English film 3 years ago, Saudi Arabia has been lying BIG TIME about their reserves. A 40% drop would correspond to what we’ve seen in the other two ‘super fields’ in Kuwait and Mexico. The era of cheap oil if finished. We hit Peak Oil (and Peak Credit) in 2007.

79 thoughts on “US diplomat convinced by Saudi expert that reserves of world’s biggest oil exporter have been overstated by nearly 40%”

  1. ian/lpool

    Anything Wikileaks says you can be almost certain the opposite is the truth.

    Assange is an obvious disinfo plant.

  8. F. Beard

    “Why are they doing nothing?” Max Keiser asks.

    1) Because people have been frightened by the CO2 boogie man.
    2) Because people are frightened by nuclear power.

    But on the bright side:

    1) the US has about 1.5 trillion barrels of shale oil.
    2) The Gulf of Mexico has enough natural gas in the form of methyl-hydrate to fuel the US for about 2,500 years.
    3) Oil can be synthesized.
    4) Battery technology is improving.

  17. 8Ball

    Peak Oil is an issue similar to AGW. There are people who think present Oil prices are manipulated while others are sure that we have passed peak production and are running out….

    We won’t know until we know… and then it will be too late to argue the point.

  18. MirrorMirror

    @Happy … Brown Dwarf link

    Interesting … certainly would explain a lot of things ancient history & archeology describes. Or did they have a Goebels then ? .. I doubt it.

    Magnetic flux fields changed just before EQs ?
    Susan thinks it’s HAARP … who knows !
    Flying disk with wings of fire .. like a film negative.

  22. foober

    Supposedly the corporate nazi patriot act was shot down just now. Anyone know if this is true. Could freedom still be alive in the usa.

  24. Happy Dick

    @Mirror
    Have climbed into the rabbit hole

    http://www.rabbithole2.com/

    if you click on the green plus, under “welcome” the hole goes here
    http://www.rabbithole2.com/linkbar.htm

    HERE IS WHAT IS INCLUDED

    NASA SOHO SOLAR DATA
    NASA STEREO CORE SOLAR DATA
    SPACE WEATHER
    REAL TIME MAGNETOSPHERE
    NASA EARTH OBSERVATORY
    REAL TIME HURRICANE IMAGES
    REAL TIME EARTHQUAKE DATA
    REAL TIME TSUNAMI WARNINGS
    VOLCANO WEBCAMS
    GLOBAL ALERT/HAZARD MAP
    EVERY POLICE, FIRE, AND EMS SCANNER IN AMERICA
    GOOGLE NEWS
    RABBIT HOLE HOMEPAGE

  26. Rick

    The oil cartels have been and will continue to lie to the world. Nonetheless, as JHK says, history doesn’t care if humans are stupid, if humans lie to one another, etc. Point, Peak Oil globally arrived between 2005 and 2007. And despite the financial meltdown brought on by massive corruption, which is still taking place. Despite all of that, I’m still convinced Peak Oil played a roll in all of that, and because of it, growth is now a thing of the past. Which means no recovery. And yet another reason the FED has to keep printing. Without oil flowing at like it used to, there can be no economy, like we thought we had. Which was all a lie.

    PS – Gas at the pumps in the US, should be at least $9/gal but it’s not. And most Americans don’t have a clue about Peak Oil, meaning they never heard of it. They soon will.

  27. Rick

    One more thing. Seems like many of your followers or lurkers, think Peak Oil is a joke. That’s fine, history won’t care about their ignorance. Max, keep up the good work, despite these fools or lurkers.

  29. Happy Dick

    @Rick … ” many of your followers or lurkers, think Peak Oil is a joke”

    How many times can one eat fish and chips, until the taste is old. Peak oil is a staple here. Sometimes a treat spices up the palate.

    Rick, you a “Grumpy Dick”?

  31. Mark Lytle

    When I left Phillips Petroleum in 2002 as a retiree., we were finding one barrel of oil for every 4 barrels we produced. This was normal at the time.

    It is worse than that now…

    Nature doesn’t care if people choose not to believe in limits. But we hit them anyway…

  32. foober

    time to shut down all oil corporates. And arrest every one of them. And then finally implement alternative motors that run off of other things.

    As long as the corporates have you under their thumb you will be a slave.

  33. Mark Lytle

    What is totally lost on a lot of people, is that modern seismic technology can ‘see’ little pockets of oil, all over the place. There may be 3 or 4 times as much oil down there then we have already produced in the last hundred years.

    However, nature was unkind enough to place it in very small reservoirs, say the size of a large apartment complex, and put them 10,000 or more feet down, so that the amount of energy used to drill down to it, is more than what’s there…

    When that’s most of what’s left, you’ve passed peak oil…

  35. F. Beard

    However, nature was unkind enough to place it in very small reservoirs, say the size of a large apartment complex, and put them 10,000 or more feet down, so that the amount of energy used to drill down to it, is more than what’s there… Mark Little

    1) Horizontal drilling might be able to tap several small reservoirs with one well.

    2) The energy cost for drilling would be negligible if we had enough nukes up and running. But if that were true, that same energy might be better used to synthesize oil instead. So …

    3) Peak energy should be the concern and that is at least several hundred years away.

  36. Mark Lytle

    @F. Beard

    Horizontal drilling will work where the overall density ands topological arrangement is amenable. That’s only true in some situations

    Beyond that there is going to be a problem with any energy source or collection of energy sources that might produce 5 or 10 times as much energy as we do now..

    The earth’s habitat will be flat destroyed if we have that much energy, even if the energy source itself is ‘clean’

  38. 8Ball

    Whatever happened to the Italian inventor and his Fusion Reactor?

    That dropped out of site pretty quickly…

  39. Tao Jonesing

    Perhaps the way to appease the “peak oil” haters is to refer to it as “peak cheap oil,” a phrase that Eric Janszen coined and Max has used in the past to describe the expected economic dislocations due to the substantially increased cost of extracting oil from other resources.

    Then again, probably not.

    After all, we can shit where we eat without any consequences, and anybody who says different has been duped by the NWO.

    It seems that American consumer (i.e., waster) “culture” has conditioned people to believe that anything that makes them uncomfortable with the idea that we cannot treat finite resources as infinte is a total scam. While we have no problems becoming concerned that government borrowing today will have to be repaid by our children and their children, we cannot bring ourselves to recognize that much of what we are consuming (i.e., wasting) today we are STEALING from our children and their children.

  42. Eric

    Peak oil should be a non problem if only the world started to invest in alternate energy forms, NOW!! But all the money there is in oil, the oil conglomerates won’t allow research and pay the government off to not do so. Its all about greed, every problem has an easy solution. But greedy scumbags who like to rape the world of their money will do anything not to see their profits shrink even if i comes at suffering of mankind.

  44. DarkMath

    Max,

    One problem: Natural Gas. That’s a viable energy alternative available in GREAT supply. The problem is our cars and trucks can’t run on it. But converting your truck to Natural Gas is easier than you might think. I could see after market manufacturers supplying Natural Gas conversion kits. Maybe that’s the new industry that will save America.
    My point is all is not lost. It’s not like the only option is Oil or hooking up an exercise bike to a generator to produce enough power to go to work type of thing.

    I enjoy your show immensely dude, keep up the good work.

  45. 8Ball

    Shed Boy, The Eco Engine is interesting, do they have anything that actually runs? Reminds me of the former F1 engineer in Nice, France, who designed a compressed air engine and had working protoypes in vehicles. Tata motors was supposed to start building the cars but I have never heard a thing more about it in the last couple of years…

  46. ehswan

    In my pot growing days I would wonder way out into the woods (at the time pot was worth more than gold, imagine that). I loved them and did not want to return. There was a problem however. Except for the rare poisinous (sp?) snake there were no natural threats. We had killed all the large predators off.
    This, like peak oil is the result of there being far too many of us.
    Should I survive, I shall be glad when most of my brothers and sisters are gone.

  47. Mark Lytle

    The Latest Trends in Texas Wind Energy

    http://beforeitsnews.com/story/406/294/The_Latest_Trends_in_Texas_Wind_Energy.html

    Texas wind energy proved its worth by generating up to 4,000 MW of Texas electricity during the critical window between 5 to 7 am where the ERCOT grid needed capacity the most – helping the state in this very critical situation. Although some of the state’s more than 7,000 wind turbines were affected by the cold weather resulting in significantly reduced output, most were still operating in full capacity and able to generate Texas electricity. This real scenario just proves the high reliability of Texas wind farms in ensuring a continuous supply of electricity for the Texas consumer even during extreme weather conditions.

    Outlook in Texas Wind Energy

    The United States wind energy industry enters 2011 with additional wind energy capacity undergoing construction and is expected to generate more than 5,600 megawatts of electricity. Texas made a major milestone in wind energy when it exceeded the 10,000 megawatt capacity mark, which is approximately a fourth of the total wind energy capacity in the whole of the United States. Wind energy also accounts for 99% of the state’s 10,367 megawatt renewable energy capacity, giving Texas consumers more options to exercise their power to select cleanenergy options.

  49. Mark Lytle

    Just recently, the state of Texas experienced a rash of rolling blackouts caused by the severe cold weather that affected some parts of the state. These cold conditions caused equipment failures at fossil-fuel plants, resulting in up to 7,000 MW of Texas electricity capacity going offline and affecting over three million Texas households. According to reports, some of the power plants experienced freezing of pipes resulting in the plant breaking down and going
    offline.

    Texas wind energy proved its worth by generating up to 4,000 MW of Texas electricity during this critical window between 5 to 7 am where the ERCOT grid needed capacity the most – helping the state in this very critical situation. Although some of the state’s more than 7,000 wind turbines were affected by the cold weather resulting in significantly reduced output, most were still operating in full capacity and able to generate Texas electricity. This real scenario just proves the high reliability of Texas wind farms in ensuring a continuous supply of electricity for the Texas consumer even during extreme weather conditions.

  51. Apocalypto

    I actually found Dido’s “peak bullshit” comment funny.

    Must be a break in the space-time continuum.

    Lol. :)

  54. Mark Lytle

    Here’s something to reflect on:

    If we decide that corporations tend to be evil, or at least, seem to manage concentrations of economic power that leads to abuse, how does the increase in available energy to a society affect the power of corporations?

    If we had energy supplies even greater than we do now, even if these were ‘green’ sources, would corporations (that do transport, manufacturing, or ‘other’ resource extraction) become more entrenched, powerful, and intrusive, or less so?

  55. Mark Lytle

    My guess is that corporations became much more powerful with the rise of fossil fuels, and they would continue to gain and concentrate political and economic power if energy resources kept expanding at exponential rates…

    But this is only an hypothesis…

    Comments anyone?

  57. Mark Lytle

    In fact, it’s only the prospect of the collapse of energy supplies from peak oil that could possibly undermine Agribusiness (Monsanto, for example),or undermine Big Auto (GM and Ford) and Big Aviation (Boeing, for example).

    If oil stayed cheap, these behemoths would be with us forever…

  58. Mark Lytle

    So, if we had unlimited energy, say Fusion or something, would that give corporate fascism an unlimited run?

    I think the answer is yes…..any comments or is this a boring idea?

    I think it’s real important!

  63. jischinger

    In the beginning of years, when the world was so new and all, and the Animals were just beginning to work for Man, there was a Camel, and he lived in the middle of a Howling Desert because he did not want to work; and besides, he was a Howler himself. So he ate sticks and thorns and tamarisks and milkweed and prickles, most ‘scruciating idle; and when anybody spoke to him he said ‘Humph!’ Just ‘Humph!’ and no more.

  64. John

    Max,

    You’re a funny guy. You remind me of an uncle of mine, who’s also very funny and smart.

    As for Peak Oil, there are other viable alternatives. In fact, just this past week, a group of Japanese unveiled their water-fuel-to-electricity car. Then, of course, there are the various deployments of hydrogen-powered cars made possible by on-the-fly water electrolysis. The problem, however, is the lack of TIME to mitigate this oil shortfall without effecting world economic output. We can save some people right away, but not most. The Third World is effectively doomed.

    Mike Ruppert is right. Until you change the way money works, you change nothing, especially when there’s more money to be made by destroying demand (derivatives) than fixing things properly.

  65. Mark Lytle

    @Keehotee

    I’m glad the character played by Orson Wells didn’t accept, those power beams would have killed everyone…

    and harnessing wind and solar would involve different expertise and different companies..as it does today, so there is a market for more than just ‘antennas’…

    Still pondering if unlimited energy means unlimited corporate hegemony…

  66. Mark Lytle

    @john

    Water and Hydrogen are not energy sources, they are energy storage mediums. They have to be ‘charged’ by something else. As energy solutions by themselves, they are frauds..

  67. Skiddypants

    @jishinger

    Got anymore of those vids. I am very interested in that particular tecnology.

    Cheers

  69. John Q Public

    Al Jazeera when Mubarak looked at their operation he said “All this Noise from this Match Box.” I get a real fresh perspective from watching Al Jazeera not seen on my North Amercain News Channels. I like watching that Match Box.

  71. MirrorMirror

    PS @ The REAL Reason Ben Bernanke Leaves A Paperweight
    On The “Print” Button When His Finger Gets Tired

    Nothing has changed much since 2002 and earlier.

    Adam Hamilton showed similar data in his report from ZEALLC .com in 2002 called “The JPM Derivative Monster”

    http://www.zealllc.com/2002/jpmcrash.htm

    — which I posted here AT LEAST 3 YEARS AGO !
    ;-)

  72. Jayme

    “Comments anyone?” – @Mark Lytle

    I suppose the simple answer is – it depends…

    I think unlimited corporate growth could be one consequence of unlimited energy but only with a corresponding unlimited material resource. The distribution and accessibility of both energy and resource would determine the kinds of corporation that would arise out of any particular scenario.

    Corporate systems operate across a spectrum of models ranging from vertical which are optimized for steady state environmental conditions to horizontal which are robust under a more dynamic set of environmental conditions.

    1. Static Energy Static Resource => vertical growth

    2. Static Energy Dynamic Resource => irregular growth (vertical in energy, horizontal in resource)

    3. Dynamic Energy and Static Resource => irregular growth (horizontal in energy, vertical in resource)

    4. Dynamic Energy and Dynamic Resource => horizontal growth

    Both energy and resource are linked and would produce hybrid structures that need to adapt according to the dynamic nature of the interfaces.

    My guess is that eventually, a sustainable corporate system within a finite and shared world will follow Kleiber’s Law for energy-mass distribution relationship. The existing types of corporation would simply not endure over a sufficiently long period of time in my opinion, if nature teaches us anything.

    Corruption would eventually make an inefficient global corporate system untenable and it would simply die out of its own complexity much as empires do today. Eventually, there may come a point during interation number N where the system learns from it’s mistakes and evolves beyond the exponential bacterial model of living systems to something more sustainable and in line with Kleiber’s Law. There may already be corporate models that meet this criteria lurking in the economic woods, just waiting for the great extinction event to occur before they evolve and prosper as all the old dinosaurs die out. It might be these new, more efficient, corporations aren’t so large as a single monolithic global corp. as the fascist globalists might wish.

    I don’t think there is a singular answer in a complex system…. well – don’t know if it says much but it’s a comment anyway.

    I’m out.

  76. Apocalypto

    Some things never change.

    You choose your leaders and place your trust
    As their lies put you down and their promises bust
    You’ll see kidney machine replaced by rockets and guns

    And the public wants what the public gets
    But I don’t get what this society wants
    I’m going underground, (going underground)
    Well the brass bands play and feet start to pound
    Going underground, (going underground)
    [So] let the boys all sing and let the boys all shout for tomorrow

  77. Dedo

    Oil and the present form of energy exchange (money), were all carefully entered into the mix by decree a long time ago,..for the very act that is now unfolding! (these guys plan a long way into the future).
    GO FIGURE !!!

    TIP: This is a list of some of the products made from oil.
    http://www.3k88.com/products.htm

    How has inovation been nipped at the bud because of these cartels,..huh!

    YAAAAAAAAAWN,…….Read K.A.Fitts

  78. F. Beard

    Beyond that there is going to be a problem with any energy source or collection of energy sources that might produce 5 or 10 times as much energy as we do now.. Mark Lytle

    Ah yes. I predicted when CO2 was first slandered as a pollutant that energy itself would be next.

Comments are closed.