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joshcryer

(62,536 posts)

11. That's fair enough, and OPEC has its motivations.

Fri Jan 4, 2013, 09:27 AM

Jan 2013

So OPEC could cut back production to keep the price high.

The thing is in situ shale oil production is slated to be around the cost of Alberta sands, and most of the price hike has been because China and India have been consuming oil exponentially (yes the speculators have played a role, but there's only so much oil extractable at any given time). So I expect that as demand is assured they'll continue ramping up production thanks to the new fracking technologies to get at it.

But you do make a point and I think I will agree that $75 is more reasonable.

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