Risk Is Clear in Drilling; Payoff Isn’t

I predict that despite this decision there will not be any significant oil drilling in these new areas for several decades. It will not be economical. People can talk all they want about cool new technology to drill deep in the ocean floor. But the bottom line is that the Middle East still has easy accessible oil that can undercut price. And if oil prices rise than all sorts of energy efficient and savings methods kick in thereby driving demand and the price back down.

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