The latest peak oil projection: a stunning difference

Wednesday, June 03, 2009

From a post by John Kingston, Platts, on EnergyBulletin.net:

A session with a leading Peak Oil supporter can always be a sobering experience. That was certainly the case May 28 at the "New Challenges for Crude Oil" conference in Geneva, where the president of main international Peak Oil group spoke.

Swedish professor Kjell Aleklett is actually a physics professor at Uppsale Universit, not a geology professor. But he is also the president of the Association for the Study of Peak Oil, and he was chair of the Platts' conference.

He is about to present a paper for peer review and inclusion in the academic magazine Energy Policy. That paper will take issue with the International Energy Agency projections on oil supply out to 2030, by an enormous factor.

The difference between the IEA and Aleklett's work is fairly straightforward. Aleklett adopts what he calls a "parameter" in determing the rate of depletion in fields that have yet to be developed or fields yet to be discovered, two key elements in the IEA's projections.

The gap between his work and that of the IEA is huge. IEA projections of liquids supply see total output of 101.5 million b/d by 2030. Aleklett's research sees it at a little more than 75 million b/d.

There are numerous areas where Aleklett said his research agreed with the IEA, including the projected rate of decline of existing fields. But beyond that, what Aleklett says are the different approaches toward depletion rates creates enormous differences in projections out to 2030. Output in fields to be developed would be 22.5 million b/d in the IEA forecast; it's 13.6 in Aleklett's. The difference in fields yet to be discovered is 19.2 million b/d vs. 8.7 million b/d.

Aleklett, like other Peak Oil proponents, also criticized the IEA practice of counting all barrels of NGLs equally with a barrel of crude, even though the BTU content is not equal.