[lbo-talk] Mo oil, mo oil, mo oil ...

[Jordan Hayes]

> "A test well indicates it could be the biggest new domestic oil 
> discovery
> since Alaska's Prudhoe Bay a generation ago. But the vast oil deposit
> roughly four miles beneath the ocean floor won't significantly reduce 
> the
> country's dependence on foreign oil and it won't help lower prices at 
> the
> pump anytime soon, analysts said."
>
> Mark Jones: Playing Peaksters' advocate for a moment, if this is so 
> much
> oil, how come it won't reduce U.S. dependence on "foreign" oil?

The key is "anytime soon" -- they are just trying to say that if you 
think this headline will give us $2/gal gas tomorrow, you're wrong.


> Isn't 50% of U.S. reserves 50% of a very small portion of all the
> known oil reserves in the world ?

It is a small but not insignificant number.  Read all about it:

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

/jordan