(Posted by John.)
Anyone who's paid attention in the last few years has heard all the stock answers for the price of oil - China, India, Katrina, etc. Others offer Peak Oil has the explanation (we're pumping out as much oil in a given day as we ever will) and that's why prices are going through the roof - $75/barrel yesterday.
There's another element to pay attention to: James Fraser points out that production of light sweet crude has been in decline now for a few years. (Chris Vernon mentioned this last August.) This has a number of implications for the industry.
