BP CEO - "Era Of Cheap Energy Is Behind US" - Prices "Relatively High For Forseeable Future"

[hatrack]

HOUSTON -(Dow Jones)- Pointing to "real tightness" in crude-oil supplies, BP Chief Executive Tony Hayward Thursday predicted that oil prices would remain relatively high for the foreseeable future but rejected the notion that the world has hit peak output. "For the medium-term, it's very clear the era of cheap energy is behind us," Hayward said in a speech, citing political and technological factors that constrain supply growth.

Hayward's comments come as oil prices have paused in their march toward $100 a barrel. Prices had surged 40% since mid-August on worries that oil demand would outstrip supply, but have fallen over the past two days on concerns that a slowing U.S. economy would put a dent in consumption.

Hayward became CEO of BP in May following the resignation of John Browne. Browne's reign was marked by tumult and operational woes; BP hasn't been able to fully capitalize on high oil prices due to start-up delays at some projects. Hayward has made it a priority to settle disputes with regulators and to set the London-based company's operations aright.

On Thursday, Hayward said he expects per-barrel oil prices to trade in the $60-$80 range for the "medium term," but said it isn't clear how long the "medium term" is. He rejected the idea that oil prices have shifted permanently into a higher trading range.
"Oil is a commodity and is subject to price cycles," Hayward told reporters after the event. "Who knows where prices will be in 15-20 years?"

EDIT

http://www.easybourse.com/Website/dynamic/FicheValeur-Actualites.php?ISIN=GB0007980591&NewsID=336600

[GliderGuider]

1. "Who knows where prices will be in 15-20 years?"

Oh, oh, I know, I know: "Higher than they are today!"

So, what do I win?

$60 to $80 for the medium term? What's he been smoking? I don't know whether to be excited that people like Hayward are even considering the idea, or exasperated that they won't just come out and say it.

It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!
It's Peak Oil, you idiot!

There. Cut and paste that, and send one line to each of your favourite politicians and oil company CEOs.

[Democrats_win]

2. But..But...What about the law of supply & demand?

With oil prices so high shouldn't this encourage companies to find more oil to sell to us gas suckers?