Treaty Energy Corp. (fka TECO)

[bullmarket2222]

It's very encouraging to have this level of discussion , here.

Let me first say, I believe we have reached Peak Oil. The argument could easily be made that we haven't, with all the known deposits such as the one you mention, Green River Formation. Viability of such deposits at current WTI prices is certain.

http://en.wikipedia.org/wiki/Peak_oil


Green river is not a tight oil deposit. Extraction there will require new technologies and the cost is certain to be much higher than the cost of recovering tight oil.

http://www.slate.com/articles/health_and_science/science/2013/02/u_s_shale_oil_are_we_headed_to_a_new_era_of_oil_abundance.html



High oil prices may make it profitable to recover more oil from unconventional deposits, but ultimately physics rules. In his talk at the AGU session, Charles A.S. Hall pointed out that the energy return on investment—the amount of energy you get out of a well vs. the energy needed to produce the oil—has been getting steadily worse over time. As long as there is some net energy gain and some profit to be made, drilling may go ahead, but the benefits to the energy supply deteriorate at the same time as the collateral damage to climate (in the form of increased carbon dioxide emissions per barrel of oil produced) goes up.

The market is not laying the foundations for an era of unending oil-based prosperity. The market is pushing inexorably toward investment in expensive technologies to extract the last drop of profit through faster depletion of a resource that's guaranteed to run out. If we're going to invest in expensive energy technologies, it would be better to pick long-term winners rather than guaranteed losers.


Global growth along with a worldwide middle class explosion ensures the demand side of the equation is growing rapidly.

Cost are moving up on hydrocarbon extraction, no doubt....

The price of oil has to move up over time, no question. The recent fall is unwarranted (when you look at the big picture) and my take is oil is going higher from the 82.00 level. I'm expecting some pops in WTI has players jump in with hedges.

This brings me back to the water system. No doubt the water system making old wells viable is perfect solution at the perfect time. The niche is in the billions.

We still need to see how all this plays out with distribution of shares to the TECO shareholders. That should happen shortly.


BULL