7 Se.crets of High Oil Prices!

7 Secrets of High Oil Prices

SHHHHHHHHH!

Can someone remember when oil prices was $20. Can someone remember when oil prices was $30. Can someone remember when oil prices was $40. My point is, we are used to an oil price of $50 to $70 and we are even prepared to see prices at $100 or higher. I guess we are now getting used to oil prices over $60. So its no more a secret why oil prices are high? Maybe 7 reasons is a better title. I admit. Here it goes!

1) Growth of China and India- therefore demand in oil. If these countries are expected to growth 7-9% a year for the next 10 years. The demand is only expected to go up, up and away as supply for oil is largely constant. See second point.

2) Limited Supply- It take years to produce oil naturally. More than thousands of years. So oil is limited and we expect oil to run dry in 50 years or less.

3) Limited sources of other energy- Nuclear and bio-fuel is touted as alternatives but it will be likely enough to cope with new demand but not replace energy from oil. So oil and gas will remian the main source of supply of energy of up to 70%. Then it still takes more than 10 years to build a nuclear plant.

4) Potential disruptions in oil supply- Wars, Natural disaster and Wars

5) Understated supply sources of Oil

6) Hubbert Peak in production of Oil

7) Oil is not only used in energy sector but in 98% of our daily raw material usage. Plastic bottles?

p.s. If you dun understand, how these 7 areas can push oil price to peak further. Email me. or read the Oil Factor by Donna Leeb.




p.p.s If you wanna know how to PROFIT from a rising oil price environment. Email me.