Last week oil reached a new record of $102, closing in on its inflation-adjusted peak, as a slumping dollar on lackluster US economic data triggered a surge across commodities markets.
Opec's president said members have subsequently agreed not to raise oil production in part because of fears of a demand slowdown. This is inviting huge spikes in oil prices and this article will present, high oil prices will lead to the further implementation of Agenda 21 policies which discourage personal automobile use as well as fostering the neded to live in stack and pack cities.
Are oil prices really going to spike enough to shape human behavior? Here is what the experts are saying.
…One prominent member of the hedge fund crowd this week said crude could rise to US$300 a barrel if current prices fail to rise further—and soon—to stimulate investments in new production.
Pierre Andurand, head of Andurand Capital Management LLP, wrote in a series of tweets that were later deleted that "If oil prices do not rise fast enough, $300 oil in a few years is not impossible," as quoted by Bloomberg.
Andurand seems to be one of a small group that also includes Saudi Energy Minister Khalid al-Falih, which believes prices can rise further, even to US$100 without affecting demand. Producers, Andurand said in the tweets, are afraid of peak oil demand resulting from the growing adoption of electric vehicles, and this is stopping them from investing in more new production. "So paradoxically these peak demand fears might bring the largest supply shock ever," Andurand said.
Oil prices could top $300 per barrel within the next five years, according to industry expert, Matthew Simmons.
Matthew Simmons, chairman and founder of specialised energy investment banking firm, Simmons & Company International, said the current highs of $100 per barrel are "cheap".
"I think the supply is showing some very troubling signs that we might well have already peaked and started [to slow] down. If we haven't, we are very close to it," he told Arabian Business. "Demand on the other hand shows absolutely no sign of slowing down because we are now at $100 a barrel, which I still think is a preposterously cheap price…
Yet, another source expresses the belief that oil will reach $300 per barrel and this expert believes there is nothing that can save us and please note the content of the last paragraph. This expert believes that the impact on our lives will catastrophic.