SEISMIC SHIFT: Middle East Shifting From Oil Exporters to NET IMPORTERS!

By SD Contributor SRSrocco:

When there was extreme volatility due to the huge inflation in the 1980’s, Middle East Oil Production fell off a cliff.  However, you will notice that during all the BIG DIPS in oil production, the Middle East Consumption of Oil (RED), did not MISS A LICK… did it?  Even though the rest of the world cut back on oil use, the Middle East did not.

Saudi Arabia is the 6th LARGEST OIL CONSUMER ON THE PLANET NOW!
All oil producers PEAK… just like Indonesia… who used to be a apart of OPEC.

THE FOLLOWING CHART SAYS IT ALL…

2013 Gold Eagles As Low As $74.99 Over Spot At SDBullion.com!

2013 Gold Eagle

This chart was in my 2013 SilverSeek Conference Presentation.  The Orange area is Middle East Oil Production, and the Red area is their own consumption.  You will notice a few interesting things.

First…. when there was extreme volatility due to the huge inflation in the 1980’s, Middle East Oil Production fell off a cliff.  However, you will notice that during all the BIG DIPS in oil production, the Middle East Consumption of Oil (RED), did not MISS A LICK… did it?  Even though the rest of the world cut back on oil use, the Middle East did not.

Saudi Arabia is the 6th LARGEST OIL CONSUMER ON THE PLANET NOW…LOL.

All oil producers PEAK… just like Indonesia… who used to be a apart of OPEC:

Second… even though MSM is stating that the Middle East has spare production that could come online, there is growing evidence that this is just BS.  The world is suffering a 5% annual decline rate in oil production.  That means they have to add 3-3.5 million barrels a day to stay FLAT.

Here we can see in the following chart just how much CONVENTIONAL CRUDE has peaked since 2005….. EVEN WITH NEW OIL PROJECTS:

Again, there have been new oil projects that have come online… but all they have done is to MASK the DECLINE RATE.  Even with a 3 times higher price in Brent Crude, the world has not been able to bring on much more oil to the market.

Let me tell you…. SHALE OIL from the BAKKEN that suffers a 40% ANNUAL DECLINE RATE is not going to help the world that is already witnessing a 5% annual decline rate.

I am simply amazed at the lack of INTELLIGENCE when it comes to these simple concepts in MSM.

Unconventional crude such as TAR SANDS & SHALE OIL will add more supply but a huge cost in price and EROI.

 

SD Bullion