Originally Posted by
Judge Smails
A simple AI search would explain how that’s possible, and oil has reached $211 (adjusted for inflation) a barrel at the consumption rate of 85-86 million barrels per day in 2008. I still remember it well as a starving RJ FO paying $4.29 a gallon for 87 octane in July 2008, which is the equivalent of $6.44 a gallon today.
Not following. At 85-86mbpd we don’t need the SOH. Price increases nosedive consumption, there are enough power boats sold per year to prove that.
2008 USA oil production was 5mbpd, 2025 was over 13MPBD and limited at that because of a $50-60 price point.
A small process was invented called fracking, and the USA has millions of barrels of oil at a cost index way below $200 a barrel.
OPEC drives the price of oil down every few years to maintain market share and run the frackers out of business and their ch11/7 add a base cost per barrel to the future operators.