According to recent calculated predictions, there will be ‘a sharp drop in projected future world oil output,’ alarmingly revising former calculations. This means that there is today a shrinking world supply of oil. Also projected is an attendant ‘increase in reliance on what are called “unconventional fuels” — oil sands, ultra-deep oil, shale oil and biofuels.’

It is said that ‘the era of cheap and plentiful oil is drawing to a close.’ Asia is fast becoming insatiable for oil. China, for instance, may soon ‘overtake the United States as the world’s No. 1 energy consumer.’ It is not too far into the future when the world will witness ‘a new era of cutthroat energy competition.’

In 2007, the projection indicated 107.2 million barrels per day in 2030. For purposes of comparison, in 2006, the actual production was 81.5 million barrels. In 2009, the 2030 projection has dipped to a low of just 93.1 million barrels per day. This is a significant projection decrease of 14.1 million expected barrels per day.

Global fuel supplies will definitely not meet global energy demands. This is close to the peak oil prediction that oil-dependent nations have been fearing. A situation such as this will considerably drive up oil prices, thereby spurring widespread economic imbalances.

Fact is no one has yet ascertained the veracity of the peak oil theory. And until that time when peak oil, indeed, becomes a verifiable reality, many more revisions and speculations are expected to come about.

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Via salon.com