RBSC

**Willi** · November 8, 2007, 07:58 AM

Definition of an elephant field!!!!

Walton could have in excess of 5 billion barrels.

Published on 4 Jan 2005 by American Assoc. Petroleum Geologists. Archived on 4 Jan 2005.

The elephant of all elephants - history & geology of Saudi Arabia's Ghawar Field

by Louise Durham
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Among the many prolific oil fields in the Middle East, the giant Ghawar field in Saudi Arabia stands out as the crown jewel.

Discovered in 1948, Ghawar is the world's biggest oil field, stretching 174 miles in length and 16 miles across to encompass 1.3 million acres.

Current estimates, according to the numerous published articles and reports on Ghawar, tag cumulative oil production from this geological giant at 55 billion barrels, and the field just keeps going gangbusters. Average production for the last 10 years has held essentially steady at five million barrels per day.

In fact, this one field accounts for more than one-half of all oil production in Saudi Arabia, according to a number of sources.

The anatomy of Ghawar was the topic of a presentation given by Abdulkader Afifi, senior geological consultant at Saudi Aramco, during his recent U.S. tour as an AAPG Distinguished Lecturer.

Ghawar is a north-trending anticlinal structure, which is expressed on the surface by outcrops of Tertiary rocks. In the field's northern part the structure actually comprises two parallel anticlines with a small low in between.

Oil was first discovered in 1948 in the northern part using structural drilling, where geologists would map structures by drilling a grid of shallow wells to the top of the Cretaceous, according to Afifi. This technique was developed by Max Steineke, chief geologist at the Arabian American Oil Co. (parent company to Saudi Aramco), who received the AAPG Sidney Powers medal in 1951.

The initial discovery in Ghawar's southern part was in 1949 at the Haradh Field, where American geologist Ernie Berg mapped the surface of the Haradh anticline using the ordinary, tried-and-true plane table method.

The northern and southern discoveries appear as separate fields on early maps prior to being connected as a single field in 1955.
'It's Basic Geology'

The Ghawar anticline is draped over a basement horst, which grew initially during the Carboniferous Hercynian deformation and was reactivated episodically, particularly during the late Cretaceous. The Paleozoic section was eroded significantly by the Hercynian unconformity.

The asymmetrical structure, which is steeper on the western flank, becomes more complex at depth where it comprises several en echelon horst blocks. Bounding reverse faults have throws as much as 3,000 feet at the Silurian level, but they die out in the Triassic section, according to Afifi.

He also noted there appears to be a minor component of right lateral strike slip.

The producing oil reservoir at Ghawar is the late Jurassic Arab-D limestone, which is about 280 feet thick and occurs 6,000-7,000 feet beneath the surface. Growth of the structure during Arab-D deposition localized grain-dominated shoals in the north, upgrading the quality of the reservoir, which improves upward as it progresses from lime mudstone to skeletal oolitic grainstone.

Fracture density increases going deeper in the section, enhancing permeability in the finer-grained mudstones.

The oil was sourced from Jurassic organic-rich lime mudstones, which were laid down in intershelf basins. The integrity of the thick anhydrite top seal is enhanced by the general absence of faults in the Jurassic section.

Despite its impressive life span and colossal production volumes, there's really no mystique to Ghawar's grandiosity. Think of it as a Geology 101 scenario, i.e., a lot of geology-type happenings in the right place at the right time.

"It's basic geology," Afifi said. "You need five conditions to form a large oil accumulation, and these things came together in a beautiful manner over a very large area.

"We have the prolific Hanifa Jurassic source rock and an excellent anhydrite seal over the thick, porous Arab-D reservoir," he noted, "and we have a large structure with a favorable growth and thermal history. The upper parts of the reservoir are very clean grainstone, with porosity exceeding 30 percent in places. In fact, the Arab-D is outstanding in terms of both permeability and porosity."

The field's copious production has had help in the form of water injection, which was initiated in 1965.

Water injection volumes are included in a number of publicly available articles about Ghawar, with one of the more recent ones pegging the injection rate at seven million barrels of seawater per day. Water cut, according to other sources, has been reduced from approximately 35 percent to roughly 30 percent since vertical well drilling was shelved in favor of horizontal wellbores.
Step on the Gas

But there's more to Ghawar than voluminous oil production.

The field gives up about 2 billion cubic feet of associated gas per day, and it has the capacity to kick out as much as 5.2 billion cubic feet of non-associated gas from the deeper Paleozoic section, where it's trapped in Permian, Permo-Carboniferous and Devonian reservoirs at depths between 10,000 and 14,000 feet. This deep gas is sourced from Silurian shales, which are the main Paleozoic source rocks in the Middle East and North Africa.

The late Permian Khuff A,B and C stacked carbonate reservoirs are the main gas producing zones at depths of 10,000 to 12,000 feet. Afifi postulates the Khuff gas likely moved laterally into Ghawar from other fields to the north, whereas gas in the deeper Unayzah and Jauf sandstone reservoirs migrated vertically along faults.

The Khuff carbonates are highly cyclical, and gas and reservoir quality is variable owing to extensive diagenesis.

Most of the Khuff is non-porous and tight, according to Afifi, who noted the best reservoir facies are dolomitized peri-lagoonal mudstones.

The Permo-Carboniferous Unayzah sandstones, which onlaped the ancestral Ghawar highlands from the south, contain sweet gas at depths of 12,000 to 14,000 feet. The gas is trapped structurally and stratigraphically in a mix of eolian, fluvial and lacustrine clastics. Variable reservoir quality is attributed to quartz cementation for the most part.

Additional sweet gas was discovered in 1994 in a fault/unconformity trap in Devonian sandstones, which were truncated along Ghawar's eastern flank.

The key challenge to deep gas exploration and development at Ghawar has been porosity prediction using geologic models and 3-D seismic data, according to Afifi.

He noted that seismic imaging is challenging because of multiples and near-surface velocity variations and low-impedance contrast in the Paleozoic section.

~~~~~~~~~~~~~~~ Editorial Notes ~~~~~~~~~~~~~~~~~~~

Original title: "Saudi Arabia's Ghawar Field - Elephant of all elephants".-LJ

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Original article available here.
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**Willi** · November 8, 2007, 07:59 AM

Published on 13 Mar 2005 by Axis of Logic. Archived on 14 Mar 2005.

How to deceive friends and influence people: Oil crisis lies

by Julian Jackson
RELATED NEWS:

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I’m going to give you some money. Alright, it’s only notional money, but here it is: you have a product that costs about $20 to produce. You sell it for $50. That’s a nice 30 bucks profit.

Now this is the world’s most popular product and you sell millions of units each day. So you voluntarily decide to stop selling 1 million units per day, giving up 30 million dollars profit per day.

What’s wrong with this picture? No commercial organisation is going to do something so crazy. OK, some of the producers of this material are wholly–owned by their governments, but that just means it’s the government is giving up the moolah.

I’ll tell you what the product is: black gold – oil.

OPEC spokesmen have repeatedly said that they are going to reduce their production (really extraction) of oil, even though demand is at an all-time high. “OPEC decided on its current quota during its December meeting in Cairo, when it agreed to reduce output by one million barrels a day.” (31 January, 2005 Yahoo Business News)

They have also stated repeatedly that they will increase production to lower prices:

"For the longer term, scenarios to raise [Saudi] capacity [from claimed 11 million] to 15 million barrels per day have also been studied and can be set in motion if the global demand requires it," Ali al-Naimi, the Saudi oil minister said at a Conference at Chatham House, London 29 November 2004. Saudi Arabia is the world’s largest oil producer, with the greatest oil reserves, and is thus the lynchpin of OPEC. Historically, as the ‘Swing Producer’, Saudi Arabia has made up shortfalls from other producing countries. OPEC supplies 30 million of the 80+ million barrels the world consumes daily.

So OPEC might reduce or might increase production? It’s certainly confusing, especially as prices have continued to soar. It has been explained away by all sorts of whacky reasons, such as a Texas refinery fire. How can one refinery fire affect the prices of crude oil? Surely the shortage, if any, would be of refined products, gasoline, pesticides, plastics; those would see price rises, not the crude.

I’m no economist but in my simple world of supply and demand, if there’s a product shortage, prices go up.

Adnan Shehab-Eldin, OPEC 's acting secretary-general, also told Kuwait's Al-Qabas newspaper: "I can affirm that the price of a barrel of crude oil rising to 80 dollars in the near future is a weak possibility ... But I cannot rule out [the possibility] of oil prices rising to 80 dollars a barrel within the next two years," he said on 3 March, 2005 to Yahoo Business News.

But we can test this, can’t we? Just check up how much OPEC is producing and whether the numbers of barrels are going up or down. Are the Saudis producing 11 million barrels as they say, or the 9 million Al-Jazeera suggests?

Er, no. OPEC doesn’t produce anything that you can independently check. All the oil figures you see bandied about – including in this article - are guesstimates. Even the respected USGS or the BP Statistical Review take the announced OPEC figures on face value. There is no independent regulator in the way that banks, investment companies, and insurers come under independent scrutiny in most countries. Internationally, there are organisations that check whether cocoa, or coffee, or uranium is being transparently produced. No such deal for oil.

“A lack of transparency in oil markets and poor quality information contributes to volatility and uncertainties. There must be renewed co-operation between oil producers, consumers and market participants to ensure oil market decisions are based on timely, reliable and transparent information.” (UK Chancellor Gordon Brown, IMF statement to G7 finance ministers October 2, 2004)

However, there is a simple explanation for the steady rise of oil prices and the curious obfuscations of OPEC spokesmen. We are nearing the phenomenon of global Peak Oil. We’re probably not there yet, just bumping along near the top of the Hubbert Curve. OPEC has only a limited capacity to pump any more oil. ”One does not have to be a convert to the “Peak Oil” concept to be aware that outside the FSU [Former Soviet Union] oil production appears to be very near peaking, with output from new discoveries just barely offsetting depletion in mature producing conventional oilfields.” (7 February, 2005 Herman Franssen, The End of Cheap Oil: Cyclical Or Structural Change in the Global Oil Market?)

High technology extraction is dangerous: if you extract oil from a field too fast, you damage it, causing dramatic declines such as seen recently in the North Sea (up to 9% per year instead of the expected 3% norm). Energy Banker Matthew Simmons stated: "The faster you pull a reservoir, the faster you pull out all of the easy-to-produce oil. What happens is that you lose massive amounts of what the oil industry calls ‘oil-left-behind’ still inside the field." (20 February, 2005)

If this is so, why don’t they say so? Probably because they are unstable régimes with booming populations, like Saudi Arabia, and fear that if they told the truth the US might invade them to grab the remaining oil. Or their people might revolt if they found out that their already declining standard of living was about to drop further.

If we have hit the structural production peak of oil worldwide, then the trajectory of prices will be relentlessly upward, with only temporary respites. The spokesmen will blather on about ‘terrorism’ or ‘refinery fires’, but the prices will tell the real story. If the increasing prices start a recession that reduces demand, there will be another temporary ‘respite’ as production continues a relentless decline after we have gone over the peak.

“Oil prices will rise through 2008 and stay high thereafter as demand increases and concern mounts that global production is nearing its peak,” according to analysts at Lehman Brothers Holdings Inc. (March 8, 2005)

When Lehman Brothers admits oil is peaking on Bloomberg, its time to fasten your seatbelts. The ride is going to be rocky.

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Original article available here.
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**Willi** · November 8, 2007, 08:00 AM

Published on 14 Oct 2007 by Energy Bulletin. Archived on 14 Oct 2007.

$100 oil by 2008? Maybe not

by Nader Habibi
RELATED NEWS:

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A stark warning by Canadian Economist Jeff Rubin about the expected decline in oil exports and possibility of a $100 per barrel crude oil by end of 2008 has caught the attention of the mainstream media in recent weeks. It has also been praised by the advocates of the Peak Oil theory who believe that global oil production has already peaked and is currently on a downtrend.

Yet a careful examination of Rubin’s analysis and his underlying assumptions about the oil market, raise some doubts about the accuracy of this prediction. Rubin has argued that the large increase in domestic consumption of crude oil by OPEC, Mexico and Russia will reduce their exports to 32.9 mb/d by 2010, which will be 2.6 mb/d smaller than 2006. He arrives at this projection by assuming that OPEC’s total output is near peak at 34.2 mb/d and it can increase by no more than 0.6 mb/d between now and 2010.

This is a gross underestimation which ignores the massive investments that OPEC countries have made in recent years to expand their production capacity. Based on recent studies by OPEC experts, the member states (and their international oil company partners) have allocated more than $120 billion to new capacity projects and the cartel’s production capacity will expand to 39.7 mb/d by end of 2010. Based on this projection, OPEC countries will be able to increase their crude export by 4mb/d even if their domestic consumption grows at the same speed that Rubin has predicted. This can clearly make up for the expected 1.5mb/d decline in Mexico’s crude exports.

Furthermore the capacity expansion is not limited to OPEC countries. The worldwide investment in oil and gas sector development has increased so rapidly in the past five years that energy investment companies have experienced severe shortages of equipment and skilled technicians. This massive global investment is likely to expand the production capacity outside of OPEC as well. Additional capacity is expected in Russia, the Caspian and, as noted by Mr. Rubin, in Canadian oil sand.

Rubin’s projections for the growth of domestic oil consumption in major oil exporting countries also deserve a careful examination. There is no doubt that subsidized price of refined products and rapid economic expansion, have contributed to a noticeable increase in domestic consumption in these countries in recent years. But the policy makers are well aware of how this trend is cutting into their oil exports and some are taking steps to reduce it. After experiencing more than 10% annual growth in demand for gasoline, Iran finally took action earlier this year and initiated gasoline rationing. Early data show that this policy has been successful in curbing consumption.

Currently Egypt and Syria are also moving in this direction by gradual reduction of their fuel price subsidies. Other oil-exporting countries are also likely to pay more attention to this issue in the coming years. Many Arab oil exporters are promoting the domestic consumption of natural gas as a substitute for refined oil products in order to make more oil available for export - with admittedly mixed success so far. In the longer-term the oil exporting members of the Gulf Cooperation Council are also looking at nuclear energy as an alternative to oil and have received encouragement from Western countries for this initiative.

It must also be kept in mind that a portion of domestic oil consumption by oil exporting countries is used for production of refined oil products which are used internally and exported. Hence while the oil that is refined internally is not available for export as crude oil, the portion of it that is exported as refined oil products will benefit the oil importers and reduce their need for crude oil. This is all the more important given that the high price of oil in recent years has shown a strong link with lack of refined product availability and further investment in refining capacity will help to resolve this bottleneck in the market. According to a 2006 study by OPEC and Wood McKenzie, a large amount of investment in new refineries is already underway and refining capacity of OPEC member states is projected to increase by 60% during 2006-2012.

The price of oil may well rise in the next three years and it might even reach the $100 per barrel for a brief period. But this will most likely be caused by strong global demand or an unexpected geo-political crisis in the Middle East rather than by a decline in exports under the circumstances that Jeff Rubin has described.

Nader Habibi is the Henry J Leir Chair in Economics of the Middle East at Brandeis University’s Crown Center for Middle East Studies.

~~~~~~~~~~~~~~~ Editorial Notes ~~~~~~~~~~~~~~~~~~~

Submitted by the author. According to a recent press release from Brandeis:
Nader Habibi, a respected Middle East economist who has taught at universities in Iran, Turkey and the United States and served as a regional economist at a major international forecasting company, was appointed the first Henry J. Leir Chair in the Economics of the Middle East at Brandeis University.
For more on the arguments which Nader Habibi is contesting, see Export Land Model (ELM) goes mainstream at Energy Bulletin. These arguments attracted widespread attention when Jeff Rubin made them recently, but Jeffrey J. Brown has been writing about them for several years at peak oil websites.

**Willi** · November 8, 2007, 08:01 AM

Published on 30 Oct 2007 by Last Oil Shock. Archived on 30 Oct 2007.

Oil reserves over-inflated by 300bn barrels – al-Huseini

by David Strahan
RELATED NEWS:

How to deceive friends and influence people: Oil crisis lies...
$100 oil by 2008? Maybe not...
Mideast - Oct 30...
The perfect storm...
Oil prices - Oct 31...

The world’s proved reserves have been have been falsely puffed up by the inclusion of 300 billion barrels of speculative resources, according to the former head of exploration and production at Saudi Aramco, and this explains the industry’s inability to raise output despite soaring prices.

Sadad al-Huseini’s presentation to the Oil and Money conference in London went substantially as previewed by lastoilshock.com, but the analysis he delivered may also throw light on the infamous OPEC reserve additions of the 1980s.

Mr al-Huseini began by noting the obvious inconvenient truth of the oil market of recent years: that production has barely increased despite a soaring crude price and massive investment by the industry. “It’s telling us something. We should be listening to what the numbers are telling us, not what the politicians say… It’s not about economics alone, you can increase prices, but you will not necessarily drive production up”

He also noted that 400 billion barrels of reserve replacement has been reported over the last decade, and asked why this had not been translated into new capacity. The answer, he suggested, was that a quarter of the world’s claimed proved reserves are no such thing: not production-ready oil, but speculative sources. “Reserves are confused and in fact inflated. Many of the so called reserves are in fact resources. They’re not delineated, they’re not acessible, they’re not available for production”. By his estimate 300 billion of the world’s 1200 barrels of proved reserves should be recategorized as speculative resources.

Mr al-Huseini did not specify which countries had inflated their reserves in this fashion, but the number is strikingly similar to the size of reserve additions recorded by OPEC members in the mid-1980s when countries were vying for quota share, although no new discoveries had been made.

However he did go on to question the production potential of some Gulf states, pointing out that 75% of Iranian production comes from mature fields that are more than 50% depleted. “That is not sustainable. When you hear officials saying production is going back up to up to over 5 million barrels [per day], that is not do-able”. He also noted that the 38 giant fields in the Arabian Gulf with reserves of over billion barrels each are on average 41% depleted. “These are the fields that in many forecasts are supposed to crank up and double production from the Gulf – again, very questionable”.

Al-Huseini’s world production forecast showed output on a plateau that will last no more than 15 years before starting to decline. In a world where spare capacity has evaporated, he concluded, the technical floor for oil prices would continue to rise at about $12 per year. “Prices can only go up”.

~~~~~~~~~~~~~~~ Editorial Notes ~~~~~~~~~~~~~~~~~~~

Also see the compelling interview that David Strahan conducted yesterday with Sadad al-Huseini:
Oil production has peaked, prices to soar - Sadad al-Huseini

-BA

**Willi** · November 8, 2007, 08:03 AM

The other side of the argument:

How large is Prudhoe Bay?Mark_i writes: Williams had witnessed a huge oil discovery at Gull Island (5 miles north of Prudhoe Bay in the Beaufort Sea) that could have produced so much oil, that the official said that another pipeline could be built "and in another year's time we can flood America with oil- Alaskan oil ... and we won't have to worry about the Arabs." However, a few days after the find, the Federal Government ordered the documents and technical reports locked up, the well capped, and the rig withdrawn.

The "Energy Crisis"

Certain questions raised during the 1973 Oil Embargo, seem to point to the fact that the crisis was created by the Illuminati, as a test, to see what it would be like without gasoline for automobiles, and fuel for heating homes.

During the Embargo, Maine's Governor, Democrat Kenneth M. Curtis, accused the Nixon Administration of "creating a managed oil shortage to force support of its energy programs." A 1973 study by Philadelphia Inquirer reporters Donald Bartlett and James B. Steele revealed that while American oil companies were telling the U.S. to curtail oil consumption, through a massive advertising campaign, the five largest oil companies (Exxon, Mobil, Texaco, Gulf, and Standard Oil of California) were selling close to two barrels overseas for every barrel (42 gallons) of oil sold here. They accused the oil companies and the Federal government of creating the crisis.

In 1974, Lloyd's of London, the leading maritime insurance company in the world, said that during the three months before the Embargo, 474 tankers left the Middle East, with oil for the world. During the three months at the height of the crisis, 492 tankers left those same ports. During the Embargo, Atlantic Richfield (ARCO, whose President, Thornton Bradshaw was a member of the CFR) drivers were hauling excess fuel to storage facilities in the Mojave desert. All of this evidence points to the conclusion that there was no oil shortage in 1973.

Antony C. Sutton wrote in Energy: The Created Crisis:

"Our mythical energy shortage can be dismissed with a few statistics. The U.S. consumes about 71 quads (a 'quad' is one quadrillion BTU's, or 10 to the 15th power British Thermal Units) of energy per year. There is available now in the U.S., excluding solar sources and without oil and gas imports, about 151,000 quads. Consequently, we have sufficient energy resources to keep us functioning at our present rate of consumption for about 2,000 to 3,000 years– without discovering new reserves. Even at higher consumption rates there will be no problem in the next millennium."

In 1977, independent petroleum companies discovered 88% of the new oil fields, drilling on 81% of those. They have been hampered by the large corporations, referred to earlier as the Seven Sisters, who wanted to avoid adding to our national supply so they can profit from the higher prices. Carter's Department of Energy was established to perpetuate the propaganda of the existence of an energy crisis.

In 1975, an anonymous ARCO official told Hugh M. Chance, a former State Senator from Colorado, that the Government had allowed only one pool of oil in a 100 square mile area on Alaska's North Slope to be developed, even though the entire area north of Brooks Range has so much oil, that if it were drilled, "in five years the United States could be totally energy free, and totally independent from the rest of the world as far as energy is concerned." The Prudhoe Bay oil field is one of the richest oil fields on earth, able to produce an oil flow for at least 20 years, without the need of a pump; and a natural gas supply which could supply the entire country for 200 years. However, the Government wouldn't allow it to be pumped out, and it is funneled back into the ground. The Gull Island field had a different chemical structure, as did the Kuparuk oil field, west of there, which meant that the three different chemical compositions indicated the existence of separate pools of oil on the North Slope in an area of 50,000 square miles. Needless to say, this seems to be an almost unlimited supply of domestic oil.

Another ARCO official told Lindsey Williams, a chaplain for the work camps on the Trans-Alaska Oil pipeline, that "there will never be an energy crisis (because) we have as much oil here as in all Saudi Arabia." Williams had witnessed a huge oil discovery at Gull Island (5 miles north of Prudhoe Bay in the Beaufort Sea) that could have produced so much oil, that the official said that another pipeline could be built "and in another year's time we can flood America with oil- Alaskan oil ... and we won't have to worry about the Arabs." However, a few days after the find, the Federal Government ordered the documents and technical reports locked up, the well capped, and the rig withdrawn. Their excuse was that an oil spill in that part of the Arctic Ocean would kill various micro-organisms. Williams felt that the U.S. Government was deliberately creating an oil crisis, and delaying the flow of oil, in order to bankrupt the oil companies, which would lead to the nationalization of oil and gas.

William Brown, Director of Technological Studies at the Hudson Institute, said: "The President (Carter) said there is no chance of us becoming independent in our oil supplies. That is just wrong. We have at least 100 years of petroleum resources in this country." In 1976, proven resources were set at 37 billion barrels and the estimated recoverable resources were set at 150 billion barrels. This is about a 50-year supply at current usage levels. The American Petroleum Institute said in their 1977 Annual report, that recoverable crude was set at 30.9 billion barrels, and with today's technology, the amount of recoverable crude was 303.5 billion barrels, which is about an 80-year supply. The 1968 U.S. Geological Survey reported that the crude oil potential of the Atlantic Ocean continental shelf area is 224 billion barrels, the Gulf of Mexico has 575 billion barrels, the Pacific Coast has 275 billion barrels, and Alaska has 502 billion barrels, which is a grand total of 1,576 billion barrels. Only about 2% of these areas have been leased, which at the time of the report, had yielded 615 million barrels of oil, and 3.8 TCF (trillion cubic feet) of natural gas yearly.

The Wall Street Journal said that we possessed "1001 years of natural gas." Only about 2% of the Outer Continental Shelf has been leased, even though it may contain over half of our potential natural gas reserves. Along the Atlantic Coast, there is a potential of 67 TCF of gas, yet only about a dozen wells had been drilled in those areas. The Potential Gas Committee said in 1972, that we had 1412 TCF in reserve; in 1973, Mobil said we had 758 TCF; Exxon said we had 660-1380 TCF; the U.S. Geological Survey reported in 1974, that we had 761-1094 TCF in reserve; the National Academy of Sciences said in 1974, that we had 885 TCF; and there were other reports which indicated that we had over 700 TCF. These sources did not include the unconventional sources of coalbeds, shale formations, "tight sand" formations, and deep underground water areas.

From conventional sources, our known reserves were estimated to be about 237 TCF, and underground reserves were estimated to be about 530 TCF. An analysis of unconventional resources indicated the following yield: tight sand (600 TCF), coal (250 TCF), shale (500 TCF), underground water zones in the Gulf (200 TCF), and synthetic gas from peat (1443 TCF). This all adds up to a total of 3,800 TCF of natural gas, and with the U.S. using an average of 21 TCF a year, that would be enough to provide us with another 100 years worth of energy. That doesn't take into account the synthetic gas obtainable from growing marine bio-mass, such as the California Giant Kelp (Macrocystis Pyrifera), which grows two feet per day, and could be a renewable source for the production of synthetic gas.

It is also estimated that the United States could have up to half of the world's known recoverable coal reserves, which could be about 200 billion tons -- 45 billion of which is near the surface. At the time of this report, maximum production up to 1985 would have only used 10% of this reserve, even if no new reserves were discovered. In 1979, Herbert Foster, Vice-President of the National Coal Association, said: "America has three trillion tons of coal out there, ready to be mined ... all we produced last year was 590 million tons. That's only one pound of coal for every 2-1/2 tons still in the ground. The U.S. Geological Survey has estimated our coal reserves will last us well into the next century." One reason coal development has been held up, is that 40% of all reserves are on land owned by the Federal Government, and environmentally-minded citizens.

The book The Next 200 Years by Herman Kahn and the Hudson Institute said: "Allowing for the growth of energy demand ... we conclude that the proven reserves of these five major fossil fuels (oil, natural gas, coal, shale, and tar sands) alone could provide the world's total energy requirements for about 100 years, and only one-fifth of the estimated potential reserves sources could provide for more than 200 years of the projected energy needs." The Hudson Institute said in 1974: "There is no shortage of energy fuels." Antony Sutton wrote: "The energy 'crisis' is a phony, a rip-off, a political con game designed to perpetuate a 'crisis' that can be 'managed' for political power purposes."

Conservative estimates indicate that we have 100 years of energy sources available, while evidence of other undeveloped finds show that we have adequate reserves that would last long beyond that. The Illuminati has a firm grip on the oil supply, and after their 'test' in 1973, its obvious that oil will be used as a weapon of control. One can only wonder what would happen to this country if a large-scale oil crisis occurred [or was created]. Needless to say, it would be a disaster of unbelievable proportions that most likely would cause an economic collapse. Law and order would not exist in this scenario, as the population would fight among themselves for the limited resources that would be available, thus making the perfect situation for a World Government to step in.
Mega-Mergers in the Oil Industry

There have been many changes in the oil industry since the inception of the Seven Sisters.

In 1984, Chevron (Standard Oil of California) bought, and merged with Gulf Oil; and then in 2001, merged with Texaco (who in 1984 had bought Getty Oil), to become ChevronTexaco, the 2nd largest oil company in the country, and 5th largest in the world. In 2002, Shell Oil acquired a couple of Texaco's interests.

In 1987 British Petroleum purchased the remaining 45% of Sohio (Standard Oil of Ohio) that they didn't already own, then in 1998, merged with Amoco (Standard Oil of Indiana), and in 2000 merged with Arco (Atlantic Richfield).

In 1998, Exxon (Esso, Standard Oil of New Jersey) merged with Mobil (Socony, Standard Oil of New York) to become ExxonMobil, the biggest oil company in the country, and third largest company in the U.S.

In 2001, Conoco (Continental Oil) and Phillips Petroleum (Phillips 66) merged, to make ConocoPhillips, the 3rd largest oil company in the U.S., the 12th largest company, and the 6th largest oil company in the world.

The Seven Sisters are now the Four Sisters, so what you have now is an expanded amount of power and influence that is concentrated in less hands, as oil companies have sought to consolidate their interests because of economic concerns. It's uncanny in that it has happened in less than 20 years. It's almost as if the old Standard Oil Company was coming back together. Read more

**Willi** · November 8, 2007, 08:04 AM

Chapter 8.4: The Seven Sisters
OPEC, the Seven Sisters, and control of the petroleum industry

OPEC and the "Seven Sisters"

The Organization of Petroleum Exporting Countries (OPEC) includes: Iran, Iraq, Venezuela, Kuwait, Saudi Arabia, Algeria, Indonesia, Libya, Nigeria, Qatar, and the United Arab Emirates. The group was created on September 14, 1960, for the purpose of setting oil prices by controlling oil production. They were originally thought to be primarily Arabian in ownership, however, it is actually an international group which includes Americans [and Europeans]. The cartel was established from an agreement signed on September 17, 1920, by Royal Dutch Shell, Anglo-Iranian, and Standard Oil, for the purpose of fixing oil prices. By 1949, the cartel was made up of Anglo-Iranian, Socony-Vacuum, Royal Dutch Shell, Gulf, Esso, Texaco, and Calso. In the early 1950's, revelations surfaced that the oil companies would pump the oil from the Middle East, then split the profits with the government of the country where the oil was produced. OPEC was formed to make people believe that the Arabian oil reserves were not owned by these non-Arabian oil companies.

These non-Arabian oil companies were informally called "The Seven Sisters". They control what is shipped to the United States and how much is refined into gas and heating oil. Originally [the group included:]

Exxon (was Standard Oil of New Jersey, then Esso)
Mobil (was Standard Oil of New York, which merged with Vacuum Oil)
Chevron (was Standard Oil of California)
Texaco
Gulf Oil (controlled by the Mellons)
Shell (Royal Dutch Petroleum)
British Petroleum (Anglo-Iranian)

They controlled 90% of crude exports to world markets by controlling every important pipeline in the world, such as the 753-mile TransArabian Pipeline from Qaisuma in Saudi Arabia to the Mediterranean Sea, which was owned by Exxon, Chevron, Texaco, and Mobil. Exxon owned the 100-mile Interprovincial Pipeline in Canada and also the 143-mile pipeline in Venezuela. The 799-mile Alaskan Pipeline was owned by British Petroleum and Exxon. By controlling these and other vital arteries they can restrict the flow of oil, limiting supplies to refineries. These companies also had joint ownership of major crude oil production companies [throughout the middle east]:

Aramco Saudi Arabia

Exxon: 30%
Mobil: 10%
Chevron: 30%
Texaco: 30%

Kuwait Oil Co.

British Petroleum: 50%
Gulf: 50%

Iraq Petroleum

British Petroleum: 23.75%
Shell: 23.75%
Compagnie Francaise des Petroles: 23.75%
Exxon: 11.875%
Mobil: 11.875%
other: 5%

Iran Consortium

British Petroleum: 40%
Shell: 14%
Gulf: 7%
Exxon: 7%
Mobil: 7%
Chevron: 7%
Texaco: 7%
Compagnie Francaise des Petroles: 6%
other: 5%

Abu Dhabi Petroleum Co.

British Petroleum: 23.75%
Shell: 23.75%
Compagnie Francaise des Petroles: 23.75%
Exxon: 11.875%
Mobil: 11.875%
other: 5%

Abu Dhabi Marine Areas

British Petroleum: 66%
Compagnie Francaise de Petroles: 33%

Bahrain Petroleum Co.

Chevron: 50%
Texaco: 50%

The Seven Sisters were also interlocked with eight of the largest banks in the country, and with each other: Exxon had ties to Bank of America, Chevron, and Texaco; and Mobil had ties to Exxon, Shell, and Texaco. When six of the nation's major commercial banks held their Executive Board meetings, the directors of the top eight oil companies, with the exception of Gulf and Chevron, met with them.
When the Bank of America had a Board meeting, the directors of Chevron and Getty Oil met with them. Chevron also had ties with Western Bancorp. Shell and Mobil directors were present at the Board meetings of First National City Bank. Mobil also had ties with Bankers Trust, and Chemical Bank. Exxon was tied in with the Chase Manhattan Bank (a holding company for hundreds of smaller oil companies, including Humble Oil and Creole Petroleum), Morgan Guaranty, and Chemical Bank. Amoco (Standard Oil of Indiana) was tied in with Chase Manhattan, Continental Illinois, and National Bank and Trust.

Some of the oil executives who were members of the Council on Foreign Relations:

Lawrence G. Rawl (Chairman of Exxon)
Lee R. Raymond (President of Exxon, and Trilateral Commission member)
Jack G. Clark, Sr. (Vice President of Exxon)
Alfred C. Decrane, Jr. (Chairman of Texaco)
John Brademas (a Director of Texaco, and Trilateral Commission member)
William J. Crowe, Jr. (a Director of Texaco, and Trilateral Commission member)
Allan E. Murray (Chairman & President of Mobil, and Trilateral Commission member)
Lewis M. Branscomb (a Director of Mobil)
Helene L. Kaplan (a Director of Mobil)

During World War II, the Germans used coal to make pollution-free synthetic fuel. The Seven Sisters also controlled 70% of the U.S. coal supply, and their philosophy was "to mine it now, it's coal; to mine it later, it will be like gold."

The Yom Kippur War and the Arab Oil Embargo of 1973

These seven companies announced their alliance with the statement: "We have formed a very exclusive club ... And we are now united. We are making history." Remember, in 1914, Congress referred to [the Rockefeller controlled] Standard Oil as "the invisible government." The oil companies are powerful, and their power was never more apparent than it was during the manufactured "oil crisis" of 1973.

On October 6, 1973, as synagogues in Israel observed Yom Kippur, the Jewish Day of Atonement, Syrian MiG-21's attacked a group of Israeli jets. Egypt, Syria, Jordan, and eight other Arab nations had mobilized against Israel. Egypt attacked the Sinai Peninsula with 4,000 tanks, knocking out many Israeli tanks; while Syria attacked the Golan Heights with 1,200. New Soviet-made SAM-6 missiles plucked Israeli planes out of the sky with ease. However, within a few days, the tide was turned. Israel regained control of the Heights, and took a large part of Syria. On October 12, they were only 18 miles from Damascus. With 12,000 soldiers, and 200 tanks, they swept across the Suez Canal in two directions to surround the Egyptian Third Army, which had been caught on the east side, and came within 12 miles of Cairo.
Since the first day of the war, Russia had been airlifting supplies to the Arabs, so to counter that move, the United States said they intended to supply Israel "with whatever it needs." Once Israel began smashing their way to victory, Russia sent a Naval force of 71 ships, including 16 submarines, to the Mediterranean, and put their seven airborne divisions on full alert.

On October 12th, the Chairmen of Exxon, Texaco, Mobil, and Chevron (who made up the production company of Aramco in Saudi Arabia), sent Chief of Staff Gen. Alexander Haig (who later became Reagan's Secretary of State) a memo warning against any increased aid to Israel, by saying it would "have a critical and adverse effect on our relations with the moderate Arab [oil] producing countries." On October 17th, Omar Saqqaf, the Foreign Minister of Saudi Arabia, gave President Nixon a letter from King Faisal, which said that if the U.S. did not discontinue their shipment of military supplies to Israel within two days, there would be an embargo. Nixon stated that he was committed to supporting Israel. The U.S. Sixth Fleet of 49 ships, including 2 aircraft carriers, was sent to the Mediterranean, where they maintained a state of combat readiness.
OPEC met and decided to raise the price of oil to $5.12 a barrel, which was 70% higher than they had agreed to before the Arab-Israeli War. The next day, the Arab countries met, and decided to cut oil production by 5%, however, the Saudis later decided to cut back production by more than 20%, and by October 20th, had embargoed all oil shipments to the U.S. and countries that were partial to Israel.
As the Israeli counterattack continued, Egypt and Syria were in serious trouble and Russia urged the U.N. to call a ceasefire. Jim Akins, the ambassador to Saudi Arabia sent a message to Aramco that the oil embargo would not be lifted "unless the political struggle is settled in a manner satisfactory to the Arabs." Two days later, the Saudis requested from the Aramco directors information concerning the amount of oil used by the U.S. military, which they supplied. The Saudis then instructed them to stop all supplies to the military. In December, OPEC announced a price of $11.65 a barrel, and the result was economic chaos in the United States and Western Europe.
Though Aramco claimed that they had no choice in what they did, and that they weren't acting as agents of a foreign government against the United States, the cry went out that the oil industry was putting "profits before patriotism." Before the embargo, America was importing 1.2 million barrels oil a day; and by February, only 18,000 barrels, which was a drop of 98%. The rush was on to reallocate other sources of oil (Venezuela and Iran had not joined the boycott), and to distribute it throughout the world. The global emphasis of the American oil companies were revealed, when they refused to favor the U.S. at the expense of the other countries, causing us to lose a higher percentage of the available oil supply.
In Egypt, Sadat's terms for a ceasefire were that Israel had to withdraw from all territories that it had won during the 1967 war [which had been started by Egypt --ed]; thus pressure from the United States and the Soviets forced Israel to turn their victory into a negotiated compromise.
To add insult to injury, when the winter was at its worst during the shortage, the announcement that oil companies were experiencing record profits left a very sour taste in the mouths of Americans. Exxon announced that their third quarter profits were up 80% over the previous year, while Gulf was up 91%. Exxon ended up the year with a profit that was an all-time record for any company, in any industry.
By March, 1974, the embargo was lifted from the U.S., and the oil companies scrambled to salvage their shattered reputations. However, the incident would never be forgotten, because it shocked the American people back to the reality of just how much control a foreign government, and multinational corporations could exert over our nation. The price of oil never went down to their pre-embargo levels, and the threat of another shortage would always remain as the Arabs realized that they could achieve political leverage by using oil to blackmail the world.

The "Energy Crisis"

[Editor's note: This section was originally in chapter 9.]
Certain questions raised during the 1973 Oil Embargo, seem to point to the fact that the crisis was created by the Illuminati, as a test, to see what it would be like without gasoline for automobiles, and fuel for heating homes.

During the Embargo, Maine's Governor, Democrat Kenneth M. Curtis, accused the Nixon Administration of "creating a managed oil shortage to force support of its energy programs." A 1973 study by Philadelphia Inquirer reporters Donald Bartlett and James B. Steele revealed that while American oil companies were telling the U.S. to curtail oil consumption, through a massive advertising campaign, the five largest oil companies ( Exxon, Mobil, Texaco, Gulf, and Standard Oil of California) were selling close to two barrels overseas for every barrel (42 gallons) of oil sold here. They accused the oil companies and the Federal government of creating the crisis. In 1974, Lloyd's of London, the leading maritime insurance company in the world, said that during the three months before the Embargo, 474 tankers left the Middle East, with oil for the world. During the three months at the height of the crisis, 492 tankers left those same ports. During the Embargo, Atlantic Richfield (ARCO) (whose President, Thornton Bradshaw, was a member of the CFR) drivers were hauling excess fuel to storage facilities in the Mojave desert. All of this evidence points to the conclusion that there was no oil shortage in 1973.

Antony C. Sutton wrote in Energy: The Created Crisis:

"Our mythical energy shortage can be dismissed with a few statistics. The U.S. consumes about 71 quads (a 'quad' is one quadrillion BTU's, or 10 to the 15th power British Thermal Units) of energy per year. There is available now in the U.S., excluding solar sources and without oil and gas imports, about 151,000 quads. Consequently, we have sufficient energy resources to keep us functioning at our present rate of consumption for about 2,000 to 3,000 years -- without discovering new reserves. Even at higher consumption rates there will be no problem in the next millennium."

In 1977, independent petroleum companies discovered 88% of the new oil fields, drilling on 81% of those. They have been hampered by the large corporations, referred to earlier as the Seven Sisters, who wanted to avoid adding to our national supply so they can profit from the higher prices. Carter's Department of Energy was established to perpetuate the propaganda of the existence of an energy crisis.
In 1975, an anonymous ARCO official told Hugh M. Chance, a former State Senator from Colorado, that the Government had allowed only one pool of oil in a 100 square mile area on Alaska's North Slope to be developed, even though the entire area north of Brooks Range has so much oil, that if it were drilled, "in five years the United States could be totally energy free, and totally independent from the rest of the world as far as energy is concerned." The Prudhoe Bay oil field is one of the richest oil fields on earth, able to produce an oil flow for at least 20 years, without the need of a pump; and a natural gas supply which could supply the entire country for 200 years. However, the Government wouldn't allow it to be pumped out, and it is funneled back into the ground. The Gull Island field had a different chemical structure, as did the Kuparuk oil field, west of there, which meant that the three different chemical compositions indicated the existence of separate pools of oil on the North Slope in an area of 50,000 square miles. Needless to say, this seems to be an almost unlimited supply of domestic oil.
Another ARCO official told Lindsey Williams, a chaplain for the work camps on the Trans-Alaska Oil pipeline, that "there will never be an energy crisis (because) we have as much oil here as in all Saudi Arabia." Williams had witnessed a huge oil discovery at Gull Island (5 miles north of Prudhoe Bay in the Beaufort Sea) that could have produced so much oil, that the official said that another pipeline could be built "and in another year's time we can flood America with oil- Alaskan oil ... and we won't have to worry about the Arabs." However, a few days after the find, the Federal Government ordered the documents and technical reports locked up, the well capped, and the rig withdrawn. Their excuse was that an oil spill in that part of the Arctic Ocean would kill various micro-organisms. Williams felt that the U.S. Government was deliberately creating an oil crisis, and delaying the flow of oil, in order to bankrupt the oil companies, which would lead to the nationalization of oil and gas. [see Williams' book "The Energy Non-Crisis"]
William Brown, Director of Technological Studies at the Hudson Institute, said: "The President (Carter) said there is no chance of us becoming independent in our oil supplies. That is just wrong. We have at least 100 years of petroleum resources in this country." In 1976, proven resources were set at 37 billion barrels and the estimated recoverable resources were set at 150 billion barrels. This is about a 50-year supply at current usage levels. The American Petroleum Institute said in their 1977 Annual report, that recoverable crude was set at 30.9 billion barrels,and with today's technology, the amount of recoverable crude was 303.5 billion barrels, which is about an 80-year supply. The 1968 U.S. Geological Survey reported that the crude oil potential of the Atlantic Ocean continental shelf area is 224 billion barrels, the Gulf of Mexico has 575 billion barrels, the Pacific Coast has 275 billion barrels, and Alaska has 502 billion barrels, which is a grand total of 1,576 billion barrels. Only about 2% of these areas have been leased, which at the time of the report, had yielded 615 million barrels of oil, and 3.8 TCF (trillion cubic feet) of natural gas yearly.
The Wall Street Journal said that we possessed "1001 years of natural gas." Only about 2% of the Outer Continental Shelf has been leased, even though it may contain over half of our potential natural gas reserves. Along the Atlantic Coast, there is a potential of 67 TCF of gas, yet only about a dozenwells had been drilled in those areas. The Potential Gas Committee said in 1972, that we had 1412 TCF in reserve; in 1973, Mobil said we had 758 TCF; Exxon said we had 660-1380 TCF; the U.S. Geological Survey reported in 1974, that we had 761-1094 TCF in reserve; the National Academy of Sciences said in 1974, that we had 885 TCF; and there were other reports which indicated that we had over 700 TCF. These sources did not include the unconventional sources of coalbeds, shale formations, "tight sand" formations, and deep underground water areas.
From conventional sources, our known reserves were estimated to be about 237 TCF, and underground reserves were estimated to be about 530 TCF. An analysis of unconventional resources indicated the following yield: tight sand (600 TCF), coal (250 TCF), shale (500 TCF), underground water zones in the Gulf (200 TCF), and synthetic gas from peat (1443 TCF). This all adds up to a total of 3,800 TCF of natural gas, and with the U.S. using an average of 21 TCF a year, that would be enough to provide us with another 100 years worth of energy. That doesn't take into account the synthetic gas obtainable from growing marine bio-mass, such as the California Giant Kelp (Macrocystis Pyrifera), which grows two feet per day, and could be a renewable source for the production of synthetic gas.
It is also estimated that the United States could have up to half of the world's known recoverable coal reserves, which could be about 200 billion tons -- 45 billion of which is near the surface. At the time of this report, maximum production up to 1985 would have only used 10% of this reserve, even if no new reserves were discovered. In 1979, Herbert Foster, Vice-President of the National Coal Association, said: "America has three trillion tons of coal out there, ready to be mined ... all we produced last year was 590 million tons. That's only one pound of coal for every 2-1/2 tons still in the ground. The U.S. Geological Survey has estimated our coal reserves will last us well into the next century." One reason coal development has been held up, is that 40% of all reserves are on land owned by the Federal Government, and environmentally-minded citizens.

The book The Next 200 Years by Herman Kahn and the Hudson Institute said:

"Allowing for the growth of energy demand ... we conclude that the proven reserves of these five major fossil fuels (oil, natural gas, coal, shale, and tar sands) alone could provide the world's total energy requirements for about 100 years, and only one-fifth of the estimated potential reserves sources could provide for more than 200 years of the projected energy needs."

The Hudson Institute said in 1974: "There is no shortage of energy fuels." Antony Sutton wrote: "The energy 'crisis' is a phony, a rip-off, a political con game designed to perpetuate a 'crisis' that can be 'managed' for political power purposes."
Conservative estimates indicate that we have 100 years of energy sources available, while evidence of other undeveloped finds show that we have adequate reserves that would last long beyond that. The Illuminati has a firm grip on the oil supply, and after their 'test' in 1973, its obvious that oil will be used as a weapon of control. One can only wonder what would happen to this country if a large-scale oil crisis occurred [or was created]. Needless to say, it would be a disaster of unbelievable proportions that most likely would cause an economic collapse. Law and order would not exist in this scenario, as the population would fight among themselves for the limited resources that would be available, thus making the perfect situation for a World Government to step in.
Mega-Mergers in the Oil Industry

There have been many changes in the oil industry since the inception of the Seven Sisters.
In 1984, Chevron (Standard Oil of California) bought and merged with Gulf Oil; and then in 2001, merged with Texaco (who in 1984 had bought Getty Oil), to become ChevronTexaco, the 2nd largest oil company in the country, and 5th largest in the world. In 2002, Shell Oil acquired a couple of Texaco's interests. In 1987 British Petroleum purchased the remaining 45% of Standard Oil of Ohio (Sohio) that they didn't already own, then in 1998, merged with Amoco (Standard Oil of Indiana), and in 2000 merged with Atlantic Richfield (ARCO).

In 1998, Exxon (Esso, Standard Oil of New Jersey) merged with Mobil (Socony, Standard Oil of New York) to become ExxonMobil, the biggest oil company in the country, and third largest company in the U.S. In 2001, Conoco (Continental Oil and Phillips Petroleum (Phillips 66) merged, to make ConocoPhillips, the 3rd largest oil company in the U.S., the 12th largest company, and the 6th largest oil company in the world.
The Seven Sisters are now the Four Sisters, so what you have now is an expanded amount of power and influence that is concentrated in less hands, as oil companies have sought to consolidate their interests because of economic concerns. It's uncanny in that it has happened in less than 20 years. It's almost as if the old Standard Oil Company was coming back together.

**Willi** · November 8, 2007, 08:04 AM

Peak Oil Hoax -
The Energy Non-Crisis
By Lindsey Williams
Reformation.org
2-14-6 The following are small excerpts from chapters in Mr. Willims book 'The Energy Non-Crisis' CHAPTER 1 - The Great Oil Deception ... There is no true energy crisis. There never has been an energy crisis . . . except as it has been produced by the Federal government for the purpose of controlling the American people. ... CHAPTER 3 - Shut Down That Pipeline ... My friend answered, "Well, Brother Lindsey, that's one of the major cross-country pipelines carrying crude oil from the West to the East." "Ah," I answered, "That's rather interesting. I've heard there's a possibility of an energy crisis. I'm sure glad those pumps are running full speed ahead." ... That was in 1972. You will remember that 1973 was the first time we were told there was really an energy crisis. The East Coast was used as a test for that energy crisis, and there were long lines of people waiting, burning fuel while they waited in line for gas they couldn't get. ... Well, the man finally recognized that I was getting a little bit indignant and he said, "well, mister, if you really want to know the truth, the truth is the Federal government has ordered us to close this pipeline down." The old Westerner went on and told how he stood up to the boss man, "Why man, I can hardly believe that. After all, we've got an energy crisis." The boss man answered him, "Sir, we're closing it down because we've been ordered to." ... CHAPTER 4 - An Important Visit by Senator Hugh Chance ... What followed included some of the most astonishing answers I have ever heard in my life. This is not opinion, but is actually what I heard from a man who was one of the original developers of the Prudhoe Bay oil field. He said, "Senator Chance, there is no energy crisis! There is an artificially produced energy crisis, and it is for the purpose of controlling the American people. You see, if the government can control energy, they can control industry, they can control an individual, and they can control business. It is well known that everything relates back to crude oil." ... CHAPTER 11 - The Barges Froze and Cracked and Popped ... I watched as they stalled, and stalled, and stalled for time ... until they had finally stalled long enough! The barges froze, and cracked, and popped. The big steel plates were literally destroyed, and millions of dollars worth of equipment was crushed by ice-Why? Could it be that the government did not want that flow of oil? Could it really be that there is no energy crisis, except the one they want to produce? ... CHAPTER 13 - Why Are These Arabs Here? ... What follows is an approximate recall of the questions and answers betweenSenator Chance and Mr. X, one and a half years earlier. If you like, this is the good old "flashback" method. The questions and answers went like this. Senator Hugh Chance had asked, "Mr. X, how much oil is there on the North Slope of Alaska?" "Senator Chance, I'm persuaded there is as much oil as there is in all of Saudi Arabia." "Then, Mr. X, if there is that much oil there, there is not an energy crisis." (Mr. X's only answer was a smile, implying that Senator Chance had hit the nail on the head.) "Mr. X, what do you think the Federal government is really out to do?" "Senator, I personally feel that the American government wants to nationalize the oil companies of America." "Then, Mr. X, if you are so convinced of that fact, have you calculated how long you can remain solvent with present Federal control?" Mr. X was reluctant to answer at first, but then he looked at Senator Chance and said, "Yes, we are so convinced that in fact we, as oil company executives, have made that calculation." "Then how much longer do you think you can remain solvent?" "Until the year 1982." "Then, if what you say is true, why don't you oil companies warn the American people of what is going on? After all, it is your neck that is at stake." "Senator, we can't afford to tell the truth." "Why not?" "Because, Senator, the Federal government already has so many laws passed, and regulations imposed on us as oil companies, that if they decided to enforce these rules they could put us into bankruptcy within six months. Sir, we don't dare tell the truth." ... CHAPTER 15 - Waiting for a Huge New Oil Field ... A "burn"-in layman's terms-is a method of proof used when an oil field or an oil well is brought in. I was to watch that day what is probably one of the most phenomenal bits of intelligence information that has ever been discovered since the original oil discovery at Prudhoe Bay. However, this was also to be one of the most devastating things that the government of the United States has ever done to the American people in relation to the energy crisis. ... CHAPTER 16 - Gull Island Will Blow Your Mind! ... I went to his office and sat down, and wondered why it was that on this day the trumpets were not sounding. This was a phenomenal thing, and yet there seemed to be no fuss at all about it. Sure enough, without delay, the oil company official soon walked into his office and closed the door behind him. He looked at me with a frown on his face and said, "Chaplain, what you saw yesterday, don't you ever as long as you live, let anything out that would tell anyone the data that you saw on those technical sheets." I said, "But sir, that's going to end the energy crisis in America!" He said, "No, Chaplain, it's not. Quite to the contrary." As he sat down behind his desk, I noticed that he was very worried, and then he continued, "Chaplain, you weren't supposed to see what I showed you yesterday. I'm sorry I let you go with me out there to watch that burn. I'm even more perturbed that I let you look at the technical data, because, Chaplain, you and I might both be in trouble if you ever tell the story of Gull Island." ... This company official said to me,"Chaplain, that great pool of oil is probably as big as the Prudhoe oil field, it has been proven, drilled into, and tested-we know what is there and we know the amount that is there, but the government has ordered us not to produce that well, or reveal any information as to what is at Gull Island." I could hardly believe what I heard that day. I walked out of the oil company official's office very perturbed, because again we could be lied to, the American people would be deceived again-the truth would not be told. As I walked out of that office I realized that I was only one of about six men alive who would even know the truth about Gull Island, or would ever even see the technical data. I was astonished that day because of this restriction on releasing data about the production from beneath a small island out in the Arctic Ocean. This could end the oil crisis, but I had come to the conclusion in my mind, with no doubt whatsoever, that the Federal government would never want that oil produced. It was not the oil companies that ordered the rig removed and the well capped. It was not the oil companies that said, "We cannot go beyond our 100-mile boundary." It was not the oil companies that said, "We will not tell the American people the truth." Rather, it was your Federal and State government ... and my Federal and State government-the officials elected by us to represent us for our welfare. Gull Island was capped and the rig was removed, and the truth has never been' told ... until now! ... CHAPTER 17 - If Gull Island Didn't Blow Your Mind-This Will! Gull Island just proved what the oil companies have believed for some time. It authenticated the seismographic findings. Seismographic testing has indicated that there is as much crude oil on the North Slope of Alaska as in Saudi Arabia. Since the Gull Island find proved to be seismographically correct, then the other testings are correct also. There are many hundreds of square miles of oil under the North Slope of Alaska. ... The Gull Island burn produced 30,000 barrels of oil per day through a 3 1/2 inch pipe at 900 feet. Three wells have been drilled, proven, and capped at Gull Island. The East Dock well also hit the Gull Island oil pool (you can tell by the chemical structure). For forty miles to the east of Gull Island, there has not been a single dry hole drilled, although many wells have been drilled. This shows the immensity of the size of the field. ... The following is a comparison between the three oil fields on the North Slope of Alaska which have been drilled into with numerous wells, tested, and proven. Prudhoe Bay can produce two (2) million barrels of oil every 24 hours for 20 to 40 years at artesian pressure. Imagine what the production of the Kuparuk and Gull Island fields could be. Field Pay Zone Oil Area of Field (Average depth of oil pool) Prudhoe 600 Ft. of pay zone 100 square miles Kuparuk 300 Ft. of pay zone Twice the size of Prudhoe Gull Island 1,200 Ft. of pay zone At least four times the size of Prudhoe . . . Estimates are that it is the richest oil field on the face of the earth. ... CHAPTER 19 - The Energy Non-Crisis of Natural Gas: A StartlingPrediction Comes True ... "Yes," Mr. X answered, "There's enough natural gas on the North Slope of Alaska to provide the entire United States with natural gas for the next two hundred years. If every other natural gas well in America were shut off, there would still be enough natural gas on the North Slope to provide for the total projected natural gas needs for all of the United States for 200 years. That is based on the present calculated rate of consumption and the expected increased consumption year by year -there's still enough there to provide all the projected needs of the United States for 200 years." ... And what about Alaska? You guessed it! Morris Udahl's bill came along, so now we will take most of the land in Alaska, and lock it up in wilderness areas for all time and eternity. This was just one more part of the great plan to lock up all the energy that is so abundant in the North Slope of Alaska. The D-2 land bill has passed, the natural resources can never be produced. It can never be drilled, and it can never be used. We will never be allowed in to find out more, to make the tests to see what is there. They say it is being preserved for our future generations. Future generations? With the technology of today, you mean we cannot develop some alternative means of supplying energy? . . . even when we have at least enough (with crude oil and natural gas) to supply our nation's energy needs for generations ahead from just a few pools of oil on the North Slope of Alaska? What is the real answer? If a satisfactory alternate energy source cannot be discovered and developed in that length of time, it's because nobody is trying .. . or somebody doesn't want one found! ... CHAPTER 20 - A Scandal Greater Than Watergate? ... In the year 1973, we experienced the first real so-called energy crisis per se. By the way, have you ever noticed that each of these energy crises have affected only one portion of the country at a time? In 1973 it was only the East Coast (the northern part, in particular). There was no crisis in the West. There was no crisis in the Midwest. There was no crisis in the South. Why the Northeast? Because, you see, that was the first testing ground to find out how far the government could take gullible Americans. Then about the time folks were ready to revolt, suddenly there was no longer a crisis in the Northeast. All of a sudden, out of a clear blue sky, for no known reason, it ceased to exist ... all the gas you wanted! Next, if you remember, it was California. The lines had disappeared in the Northeast. Then they thought, "We'll try the farming section of the country." However, that one did not get too much publicity, so that "crisis" didn't last too long. It seemed strange to me that I was told by oil company officials a number of months in advance where the next "crisis" would occur. One section after another of America has been tried, to see just how far they could be pushed before they rebel. Then, at the point of rebellion, the government backs off. All of a sudden there is no energy crisis in that area anymore. ... I am convinced that there is a definite reason, and at this point I move from observations to personal opinion. There is only one thing on earth by which every human being can be controlled, if that product itself is controlled. That product is energy. The world today has become dependent on energy-for its homes, its lights, its fuel, its automobiles, its airplanes, its trucking industry, its railroads, its delivery of goods, etc. Electricity is produced by the energy of today. Every facet and aspect of our lives can be controlled when energy is controlled. There is no other product on the face of the earth that can so control the American people-and all the people of the world. Whoever controls the energy ... controls us! The fact is, if energy can be controlled, you can be controlled. It could not be done by money, for methods of bartering could be developed by the people. If your energy is controlled, however, then "Big Brother" can control how you live in your home; when you go and where you go; the products you buy; the style of life that you will live; even the level of life at which you will live. They can control your state of life and your every movement. In the days of the horse and buggy, this would not have been so, but today we are dependent entirely on energy. Therefore, because of our complete dependence, we have become ready targets. Now, if they can brainwash the people into believing that there is a true energy crisis, when there actually is not, then they can slow down our society, they can destroy our free enterprise way of life, and they can control every area of our being. It certainly points ultimately to one-world control ... and to an evil dictatorship. Absolute power corrupts absolutely. http://www.reformation.org/energy-non-crisis.html Read more about the 'Peak Oil' hoax - http://www.peakoil.com/article717.html

**Willi** · November 8, 2007, 08:10 AM

The Myth Of Peak Oil
There is overwhelming evidence that 'peak oil' scenarios are fabricated to raise the cost of fossil fuels. Below is an article followed by a categorized archive of the information supporting this conclusion.

Paul Joseph Watson & Alex Jones | October 12 2005
Peak oil is a scam designed to create artificial scarcity and jack up prices while giving the state an excuse to invade our lives and order us to sacrifice our hard-earned living standards.
Publicly available CFR and Club of Rome strategy manuals from 30 years ago say that a global government needs to control the world population through neo-feudalism by creating artificial scarcity. Now that the social architects have de-industrialized the United States, they are going to blame our economic disintegration on lack of energy supplies.

Globalization is all about consolidation. Now that the world economy has become so centralized through the Globalists operations, they are going to continue to consolidate and blame it on the West's "evil" overconsumption of fossil fuels, while at the same time blocking the development and integration of renewable clean technologies.
In other words, Peak oil is a scam to create artificial scarcity and drive prices up. Meanwhile, alternative fuel technologies which have been around for decades are intentionally suppressed.
Peak oil is a theory advanced by the elite, by the oil industry, by the very people that you would think peak oil would harm, unless it was a cover for another agenda. Which from the evidence of artificial scarcity being deliberately created, the reasons for doing so and who benefits, it’s clear that peak oil is a myth and it should be exposed for what it is. Another excuse for the Globalists to seize more control over our lives and sacrifice more American sovereignty in the meantime.
The lies of artificial scarcity
The crux of the issue is that if oil was plentiful in areas in which we are being told by the government and the oil companies that it is not, then we have clear evidence that artificial scarcity is being simulated in order to drive forward a myriad of other agendas. And we have concrete examples of where this has happened.
Three separate internal confidential memos from Mobil, Chevron and Texaco have been obtained by The Foundation for Taxpayer and Consumer Rights.
These memos outline a deliberate agenda to gouge prices and create artificial scarcity by limiting capacities of and outright closing oil refineries. This was a nationwide lobbying effort led by the American Petroleum Institute to encourage refineries to do this.
An internal Chevron memo states; "A senior energy analyst at the recent API convention warned that if the US petroleum industry doesn't reduce its refining capacity it will never see any substantial increase in refinery margins."
The Memos make clear that blockages in refining capacity and opening new refineries did not come from environmental organizations, as the oil industry claimed, but via a deliberate policy of limitation and price gouging at the behest of the oil industry itself.
The mystery of Eugene Island 330 and self-renewing oil supplies
Eugene Island is an oil field in the gulf of Mexico, 80 miles off the coast of Louisiana. It was discovered in 1973 and began producing 15,000 barrels of oil a day which then slowed to about 4,000 barrels in 1989.
But then for no logical reason whatsoever, production spiked back up to 13,000 barrels a day.
What the researchers found when they analyzed the oil field with time lapse 3-D seismic imaging is that there was an unexplained deep fault in the bottom corner of the computer scan, which showed oil gushing in from a previously unknown deep source and migrating up through the rock to replenish the existing supply.
Furthermore, the analysis of the oil now being produced at Eugene Island shows that its age is geologically different from the oil produced there after the refinery first opened. Suggesting strongly that it is now emerging from a different, unexplained source.
The last estimates of probable reserves shot up from 60 million barrels to 400 million barrels.
Both the scientists and geologists from the big oil companies have seen the evidence and admitted that the Eugene Island oil field is refilling itself.
This completely contradicts peak oil theory and with technology improving at an accelerating pace it seems obvious that there are more Eugene Islands out there waiting to be discovered. So the scientific community needs to embrace these possibilities and lobby for funding into finding more of these deep source replenishing oilfields.
The existence of self-renewing oil fields shatters the peak oil myth. If oil is a naturally replenishing inorganic substance then how can it possibly run out?
The future of oil
This year in particular we have seen a strong hike in oil prices and are being told to simply get used to it because this is the way it is going to be. In the wake of Hurricanes Katrina and Rita gas prices have shot up amid claims of vast energy shortages. Americans are being asked to turn off lights, change thermostat settings, drive slower, insulate homes and take other steps. Meanwhile the oil companies continue to make record profits.
Flying in the face of the so called peak oil crisis are the facts. If we are running out of oil so quickly then why are reserves being continually increased and production skyrocketing?
In the 1980s OPEC decided to switch to a quota production system based on the size of reserves. The larger the reserves a country said it had the more it could pump.
Earlier this year Saudi Arabia reportedly increased its crude reserves by around 200 billion barrels. Saudi oil Is secure and plentiful, say officials.
“These huge reserves enable the Kingdom to remain a major oil producer for between 70 and 100 years, even if it raises its production capacity to 15 million barrels per day, which may well happen during the next 15 years,”
Is this the normal course of behavior if we are currently at the peak for oil production? The answer is no, it's the normal course of action for increasing production.
There have also been reports that Russia has vastly increased its reserves even beyond those of Saudi Arabia. Why would they do this if they believed there would be no more oil to get hold of? It seems clear that Russia is ready for unlimited future production of oil.
There is a clear contradiction between the peak oil theory and the continual increase in oil reserves and production.
New untapped oil sources are being discovered everywhere on earth. The notion that there are somehow only a few sources that the West is trying to monopolize is a complete myth, promulgated by those raking in the massive profits. After all how do you make huge profits from something available in abundance?
A Wall Street Journal article by Peter Huber and Mark Mills describes how the price of oil remains high because the cost of oil remains so low. We are not dependent on the middle east for oil because the world's supplies are diminishing, it is because it is more profitable to tap middle east supplies. Thus the myth of peak oil is needed in order to silence the call for tapping the planet's other plentiful reserves.
Richard Branson has even stated his intention to set up his own refinery because the price of oil is artificially being kept high whilst new sources are not being explored and new refineries not being built.
"Opec is effectively an illegal cartel that can meet happily, nobody takes them to court," Branson has said. "They collude to keep prices high."
So if more refineries were built and different resources tapped, the oil prices would come down and the illegal cartel OPEC would see profits diminish. It is no wonder then that the argument for peak oil is so appealing to OPEC. If no one invests to build refineries because they don't believe there is enough oil, then who benefits? OPEC and the oil elites of course.
It seems that every time there is some kind of energy crisis, OPEC INCREASES production. The remarkable thing about this is that they always state that they are doing it to ease prices, yet prices always shoot up because they promulgate the myth that they are putting some of their last reserves into the market. Analysts seem confused and always state that they don't believe upping production will cut prices.
In a recent report the International Monetary Fund projected that global demand for oil by 2030 would reach 139 million barrels a day, a 65 percent increase.
"We should expect to live with high and volatile oil prices," said Raghuram Rajan, the IMF's chief economist. "In short, it's going to be a rocky road going forward."
Yet independent analysts and even some within OPEC seem to believe that the demand for oil is diminishing. Why the contradiction?
The peak oil and demand myth is peddled by the establishment-run fake left activist groups, OPEC and globalist arms such as the IMF.
Rolling Stone magazine even carried an article in its April issue heavily biased towards making people believe the peak oil lie.
The Scientific evidence also flies in the face of the peak oil theory. Scientific research dating back over a hundred years, more recently updated in a Scientific Paper Published In 'Energia' suggests that oil is abiotic, not the product of long decayed biological matter. Oil, for better or for worse, is not a non-renewable resource. It, like coal, and natural gas, replenishes from sources within the mantle of earth.
No coincidence then that the Russians, who pioneered this research have pumped expenditure into deep underground oil excavation.
We have previously scientifically exposed the scam behind peak oil. Here is a 1 hour+ audio clip featuring Alex Jones' comments on peak oil and then the analysis of respected scientific commentator Dr. Nick Begich who presents evidence to suggest the idea of Peak oil is artificial.
A dangerous fallout precedent being set is that people on both the left and right believe wars are being fought in order to tap the last reserves of oil on the planet. The "coalition of the willing", whoever they may be for any given war, will not pay particular attention to refuting this claim because it allows them a reason to start and continue said war.
Even though many will see it as immoral, many will subconsciously attach it as a reason for the war. In reality the war is purely for profit, power and control, oil can be a part of that, but only if the peak oil claim is upheld.
If we continue to let the corrupt elite tell us we are wholly dependent on oil, we may reach a twisted situation whereby they can justify starvation and mass global poverty, perhaps even depopulation, even within the western world due to the fact that our energy supplies are finished.
Peak oil is just another weapon the globalists have in their arsenal to move towards a new world order where the elite get richer and everyone else falls into line.

Join Prisonplanet.tv to listen to an incredible interview the researcher and author Dr. Nick Begich about the peak oil fraud
Evidence of the Creation of Artificial Scarcity by the Oil Industry
Group: Internal memos show oil companies limited refineries to drive up prices
Internal Mobil Memo Showing Effort to Reduce Refining Capacity
Internal Texaco Memo Showing Effort to Reduce Refining Capacity
Internal Chevron Memo Showing Effort to Reduce Refining Capacity
Information from LA Times report on Shell deliberately creating artificial scarcity at Bakersfield California refinery
Shell Oil, Price Manipulation, and the Fleecing of Americans

The Mystery of Eugene Island 330 and Abiotic Oil
Wall Street Journal: Odd Reservoir Off Louisiana Prods
Oil Experts to Seek a Deeper Meaning
Sustainable oil?
The mystery of eugene island 330

Further Information on Abiotic, Self-Renewing Oil
Scientific Evidence Debunks Peak Oil Hoax
Russian Scientific Papers on Abiotic Origins of Oil & Related Research
Russia's Oil Boom After Discovering Abiotic Oil
Sustainable Oil? -- v. Peak Oil
Colonel Fletcher Prouty said oil as fossil fuel "Right out of the Rockefeller bible."
-----------------------------------
Who Is Promoting Peak Oil? The Global Elite
The ultra-elite Bilderberg Group expressed their desire that peak oil would provide a justification for a UN global tax on the oil pump.
The ultra-elite Bilderberg Group stated in May that oil prices would double.
The world in the palm of their hands: Bilderberg 2005, Part II
How Long Will the Oil Age Last? The Club of Rome, a nonprofit global think tank, said in the 1970s that we'd hit peak oil in 2003. It didn't happen.
The Club of Rome consulted with Kissinger before he issued his 1974 depopulation manifesto to President Carter. The plan calls for creating artificial food scarcity in order to depopulate the third world.
Colonel Fletcher Prouty said oil as fossil fuel "Right out of the Rockefeller bible."
Commentary on the Myth of Peak Oil
Peak Oil is a Corrupt Globalist Scam
Is 'Peak Oil' a put on?
Russia Proves 'Peak Oil' is a Misleading Zionist Scam
The Myth of "Peak Oil"
'Peak Oil' Scam Unravels, Oil Reserves Increasing
-----------------------------------
Oil Company Profits Increasing as Peak Oil Theory Spreads
Some calling profits obscene
Oil industry rides high energy prices to big profits
UK Oil Companies Show Record Profits
------------------------------------
Additional Contradictions to Peak Oil
Fears of dwindling oil supply unfounded

**Don1** · November 8, 2007, 10:34 AM

Tremendous amount of info in this thread. Will take a while to wade through. Oil politics is fascinating isn't it?

Respek

**Willi** · November 8, 2007, 10:46 AM

Oooooh YESSSS.

I see you are a fan too.

I am a novice....haven't even read the book "The Prize" yet, which I am told is an absolute must read primer on the inner workings of the industry.

I leave you with a quote by Sheik Yemani (the Saudi Oil minsister from the 1970s) in the 1990s. When asked why he engineered the oil crisis by his country's actions back then, he said "dont ask me, ask Kissinger. He is the one who wanted the high prices back then!"

I tell you, we are witnessing the greatest peace time transfer of wealth using a commercial vehicle in the history of the planet.

Mi dun talk.

**Don1** · November 8, 2007, 10:50 AM

Axis of Greed

Originally posted by Willi View Post

Oooooh YESSSS.

I see you are a fan too.

I am a novice....haven't even read the book "The Prize" yet, which I am told is an absolute must read primer on the inner workings of the industry.

I leave you with a quote by Sheik Yemani (the Saudi Oil minsister from the 1970s) in the 1990s. When asked why he engineered the oil crisis by his country's actions back then, he said "dont ask me, ask Kissinger. He is the one who wanted the high prices back then!"

I tell you, we are witnessing the greatest peace time transfer of wealth using a commercial vehicle in the history of the planet.

Mi dun talk.

The House of Bush & The House of Saud

**Willi** · November 8, 2007, 10:55 AM

What's the difference??

Bandar Bush is a "member" of both families. LoL

**Don1** · November 8, 2007, 11:25 AM

Originally posted by Willi View Post

What's the difference??

Bandar Bush is a "member" of both families. LoL

You are so on point about Bandit er Bandar Bush!

RBSC

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