The Price of Oil Lies

The price of oil is one of the most manipulated commodities period. For years it was OPEC who cut production, and then increased production to secure their income without any concern for any other country's economy. We have been hearing lies about oil shortages since the 70's. In 2008 the International Energy Agency stated that we had 40 years of oil left at that day's consumption rates. Something doesn't make sense. If we only have 33 more years of oil left shouldn't it still demand a high price because even though there is an oversupply today it is still a limited commodity? I guess it did in June 2008 because oil peaked at $145/barrel, and Goldman Sachs predicted it would go to over $200/barrel. Wow! But, guess what happened. In February 2009, only 8 months later, the price of oil was $43.90/barrel. Again, something is not adding up. Just yesterday Saudi Arabia announced their budget based on oil at $29.00/barrel. At that price they are creating a budget deficit, and their surplus war chest of over $900 billion is predicted to be gone within 5 years if prices do not go back up. I agree that the Saudis are keeping oil production up to drive out higher cost producers. I agree that the world's appetite for petroleum has been reduced because of slowing economies. But, it still doesn't make sense. Cheaper price of gasoline/diesel means more use, and we still have limited supplies. Trust me folks. Just as oil dropped by 330% in 8 months it can also go up by the same amount. Don't listen to what the media, or officials are saying. It's all lies!

One Renewable Energy Solution - Four Benefits

Imagine solving the need for renewable diesel or electricity, and creating valuable co-products at the same time. We at Green Diesel & Electric, LLC are doing just that. The technology we provide turns cellulosic material into either ASTM D975 Ultra Low Sulfur diesel fuel, or electricity in a carbon negative/neutral way. That in itself is wonderful, but in the process we are creating a natural soil amendment called biochar, an all natural fungicide and pesticide called Pyroligneous Acid (Wood Vinegar), and water.

Sounds too good to be true doesn't it? But, it is true, and this technology is modular, and has a short payback on investment without any tax credits or incentives. Please feel free to contact me with any questions. jlarry.cox@greendieselelectric.com

The Cost of Renewable Energy

Isn't it amazing that everyone is wanting clean renewable energy? We just had the Climate Change Summit, and all of these countries have signed up to reduce carbon emissions. But, as usual, at least in the United States, the government isn't doing much to promote it. Most renewable energy projects are not financially attractive without some sort of a government subsidy. Projects are doable on a small scale, but when get to the size we need the financials don't look so great. The government does not have any long term plan to incentivise renewables.So guess what is going to happen? As the government begins to shut down coal and nuclear power plants we will begin to see electricity rates rise to the point where you can justify clean energy solutions. Hopefully, someday everything will be back to normal in regards to your energy bills. It's an unfortunate price to pay for renewable energy, but shutting down coal and nuclear plants is the only way.