Category: Energy

Many analysts say oil is unlikely to go much lower than $100 a barrel, and it has to do with the rising cost of production.

The overall cost to produce oil has gone up, especially oil from tough to reach places like Canada’s tar sands and the deep water Gulf of Mexico.

These areas require massive investment and materials to produce oil and that expense has risen as the price of commodities surge. And while they represent a small fraction of total worldwide production, they’re important because some analysts believe prices won’t fall below the cost of the most expensive barrel of oil.

Oil from Canada’s tar sands, currently producing about 1.2 million barrels a day, is arguably the most expensive oil in world, and is getting even more expensive.

Last year analysts estimated it cost around $60 a barrel to produce light oil from here. The most recent estimate from the Canadian Association of Petroleum Producers (CAPP) now puts that number at $75 to $90. Comparatively, Saudi Arabian crude is said to cost around $1 a barrel.

For the entire article:

http://money.cnn.com/2008/08/21/news/economy/oil_price_floor/index.htm

Google.org has recently announced they are investing $10 million in geothermal energy research.

http://www.google.org/egs/index.html

Illinois farmer and ag commentator John Phipps had this article from The New Republic on his weblog this morning.

The End of Aviation

One of John’s major concerns is that dramatic changes in our travel will make it more difficult for ‘face-to-face’ decisions… for him primarily with respect to rental decisions on ag lands that have distant owners…and he is concerned that farmers are not ready for the degree of abstraction that would need to replace personal exchanges to make rental deals.

I repeat…we’re not in Kansas anymore.

Earlier in the year, Juneau experienced avalanches that destroyed many of their major power lines. The backup generators cost nearly five times as much as the old power supply. Alaskans responded by cutting their power use by 40%, primarily through household-based conservation. Lights were used sparingly, dishes were washed by hand, clothes dried on a line.

The lines have now been repaired…but electric consumption has not jumped back to its former level.

For a brief report:

http://www.environmentalgraffiti.com/green-living/juneau-alaska-is-an-energy-star/1116

From Treehugger.com:

As global warming continues to heat our atmosphere and melt Arctic ice, boundary disputes in the region are likely to escalate as the nations bordering the region scramble to claim an estimated 90 billion barrels of oil which is currently inaccessible under the ice. A new map, unveiled today, by the UK’s International Boundaries Research Unit at Durham University, shows us just where the disagreements will be.

For a fully documented, high resolution file:

http://www.dur.ac.uk/resources/ibru/arctic.pdf

MIT researchers have overcome a major barrier to large-scale solar power: storing energy for use when the sun doesn’t shine.

For the article:

http://www.truthout.org/article/major-discovery-from-mit-primed-unleash-solar-revolution

University of Georgia researchers have developed a new technology that dramatically increase the yield of ethanol from non-food grasses…switchgrass and even yard waste.
For the Story:

http://www.sciencedaily.com/releases/2008/07/080728192938.htm

This morning on National Public Radio news, there was a report on the state of highway tax revenues. Driver miles were down last year over 3 percent, leaving a significant hole in the highway tax pot (money we pay through gas taxes).

There have been discussions of tax increases, but the Bush administration is advocating for a complete reform of the system for financing our transportation infrastructure. They are proposing a ‘driver-based’ system whereby drivers would pay based upon the type of use they make of cars, public transportation, etc….think ‘toll roads’

Yes, they’re discussing more monitoring by the federal government to make the system work. But the upside is that it would be a much more responsible system of funding infrastructure while providing incentives for more environmentally friendly transportation use.

For the whole story see Fight Gridlock Now

http://www.fightgridlocknow.gov/