Drilling Moratorium more pain?

Many collegues are suffering the Gulf of Mexico no drilling moratorium, some of them were transfered overseas and another ones were laid off. The economy shows signals of recovering, but demand for oil products still lack the bullishness of the past 4 years.

The energy people lifes are in tune with the swings of the oil price, my wife says always that she is already cured of that disease, she knows the boom times would not last and we try to keep some financial assurances for the bust times.

The biggest oil reserves are in the middle east, and these countries are capable of keeping the price under control on the 70's range for a while untill the economy starts picking again.

Therefore geopolitics plays a very important role and owners of the oil & gas reserves use this on their advantage. If alternative fuels are developed they will be only economical when the oil & gas reserves deplete and fuel shortages plague the globe. We may still have oil & gas for years to come, we had lately encouraging discoveries with the help of new technologies like Tupi offshore Brazil.

See ya soon!

Driller