OK (Chart swiped from CIBC http://documents.scribd.com/docs/12kdfurtyelabr93uovy.pdf )
Here it is - someone has to explain this to me. Central part of "peak oil" is the graph above which shows the incremental cost of new oil.
Suddenly, out of the blue, incremental cost to make one more barrel of oil appear out of the ground moved, after decades, from sub $20 pre 2002 to just shy of $100? What happened in 2002, were the Saudi fields nukes? Did I miss that?
That's ridiculous. We can choose to make energy from bio-fuel or the $60 or so per barrel for Ft McMurry oil, but the least expensive incremental cost to make one more barrel of oil is still south of $20. And it will be so as as long as Russian and Middle East reserves are not depleted.
This chart above (er that part before 2002) also shows where oil is headed. Also shows the pain felt in many parts of Canada like Ft McMurry or Halifax yards servicing Hibernia....