"The Wealth Beneath Our Feet". The report is essentially a glossy public relations exercise of trying to talk up the contribution of the oil and gas industry to the local and New Zealand economy.
But even a cursory examination of the data, and the Report’s own graphs, shows that actually, reserves, production, and the contribution of oil and gas to the economy, have all reached a peak, and are all in steep decline.
As the graph shows, this decline has been happening at the very time that drilling activity and the number of wells being drilled has risen sharply. There is no foreseeable increase in production likely, because no new major discoveries have been made in the last few years.
post last November about the oil production projections from a Ministry of Development official at the Petroleum conference. They showed oil production halving by 2015. The Venture Taranaki report confirms a similar trend for gas production.
With global oil production projected by many credible organisations to be headed for an era of permanent decline, and global net exports of oil likely to decline even faster -- the outlook for New Zealand with its increasing dependency on imported oil - is bleak.
The report contains some interesting information regarding the level of current oil production, -- 19.6 million barrels were produced in 2009 of which 17.9 million barrels were exported and just 1.7 million barrels refined locally.
Could it be that the operators of "Peak Petrol" were aware of Hubbert’s 1950’s peak oil projections even before Hubbert himself, and foresaw a decline in global oil production as steep as the slopes of Mt Taranaki itself?