6 June, 2007
OPEC has warned the West that efforts to kick off from oil addiction by promoting biofuels would lead to oil prices “going through the roof”. Opec Secretary General Abdalla El Badri also threatened that the oil producing countries might cut their investments in new oil production as a result of these alternative fuels policies.
I am puzzled: i thought higher oil prices would actually provide them with more cash to invest and surely the limited growth of biofuels use in the West can be compensated by the need for more oil from other industrialising countries. So, could it be that they are using this as a pretext to hide their own “inconvenient truth” that OPEC’s oil reserves are starting to reach their maximum production peak?Author : Willy De Backer