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| Oil Cuts or Global Nuclear War? By Brianna Panzica | Sunday, August 5th, 2012 This week the United States put extensive sanctions on the world's third largest oil exporter. This isn't anything new... Sanctions against Iran have been in place for a while for fear Iran's nuclear program isn't quite the peaceful energy plan they claim it is. In fact, in 1996 the U.S. placed sanctions on any company investing more than $40 million in the energy industry in Libya or Iran. Libyan sanctions were lifted, but Iranian sanctions were doubled down... The European Union installed sanctions on Iran this year. And U.S. legislation targets the Iranian oil sector from every which way: the purchase of oil, investment in oil technology and tankers, sale of equipment, and even banks that finance the production. Figures compiled by Bloomberg show this is costing the OPEC nation $133 million a day. And so far, oil prices are unaffected. But the same can't be said for outgoing supply... Advertisement Free at Last: 430 Billion Barrels of American Oil The U.S. Department of Energy estimates 430 billion barrels of American oil are "technically recoverable" — but only if the right technology can extract it. That technology is here. Not only that... Companies are already using it to increase production as much as 1,000%! Get the whole story right here. Imagine taking 2.5 million barrels a day out of world exports. That was Iran's average exports for 2009. Of course, the sanctions aren't destroying Iran's total exports — they're just cutting them down a bit. But again, Iran is the third largest exporter. That means plenty of nations rely on its oil. Just look at this chart from the EIA:
It's no wonder China is up in arms over these sanctions... Not only will one of its banks be affected, but it also gets a healthy dose of its crude imports from Iran. Half of Iran's oil exports have been rocked by these sanctions. But these sorts of sacrifices are necessary. If Iran's nuclear projects are contributing to weapons of mass destruction, most of us are probably happy to see any measures that will help avoid a global nuclear war. Advertisement This Investment Crushes Gold and Silver Over the last 9 years, this unique investment has generated 1,700% gains... not including dividends. Not only does that return trounce the stock market... it also crushes the last 9 years of gains on gold and silver. Click here now to get your FREE report with all the details! Of course, that puts the rest of the OPEC-dependent world in a tough spot. Already, world energy demands are expected to outpace oil production. The third largest oil exporter has lost 1.2 million barrels a day of exports. Other nations have had to increase their output in order to make up for this loss. The shale boom has made this relatively easy for the United States, which in May doubled its average daily exports from 2008. But this still doesn't make up for the 1.2 million barrels lost — not to mention the 5 million additional barrels the world will need by next year... Saudi Arabia has increased output, but it's also increased its consumption — and the nation is still starving for energy. And China is scrambling to secure its own oil sources. Last week Chinese company CNOOC scooped up a huge oil stake in Canada. But none of this will really make up for that necessary loss — unless there was some way to recover all that “unrecoverable” oil... All oil reserves contain a fair amount of crude that remains in the reserve after production because it's too difficult (and too expensive) to extract. Recovering that oil would be more than enough to take care of any amount of oil lost by the Iranian sanctions... and put the U.S. one step closer to energy independence from OPEC nations. One company has perfected a technology to access billions more barrels from oil reserves — one that could relieve the strained oil markets and create huge profits. You can see how it works here. All roads lead to increased oil demand... We already know where there's more oil. All we need is help getting to it. Good Investing, Brianna Panzica Oil Extraction Technology: Recovering the Unrecoverable China's Oil Thirst Grows: Next Leg of the Global Energy Race Gold Breaks Out: Gold Will Fly on QE3 A New Way to Own Property: How to Get in on Big Real Estate Oil Recovery Opportunities: Secrets of a Third Generation Oil Man 11 Shocking Facts about Apple: You'll Be Amazed by What Apple Can Buy Wall Street Corruption and Lies: They're Stealing from You Montana's Secret Oil Comeback: The Second Stage of the Bakken Oil Rush How to Multiply Apple's Dividend: Is Apple the Greatest Company in History? The World's Biggest Blackout: India's Grid Crashes, Saudis Face Energy Shortages The Bottom Line Related Articles Who's Afraid of Peak Oil?Oil Production Outlook to 2020 Oil Recovery Opportunities Freedom from Iranian Oil, No Matter The Cost Recently... Why David Letterman Hates Oil and GasIndia's Grid Crashes, Saudis Face Energy Shortages Next Leg of the Global Energy Race Secrets of a Third Generation Oil Man Energy and Capital's Weekend Edition | |
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Oil Cuts or Global Nuclear War?
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