"oil wil be capped at $40 per barrel"

A few years ago, when oil prices had been under $30 per parrel for a
long time,
analysis wrote off gasoline synthesis (from methanol, coal, etc.)
because of cost.
This posting from 2003 was typical:
http://groups.google.com/group/sci.energy/browse_thread/thread/1b9d35a39fd270d1/10cf29c9c4cfc4b4

"The business types I'm aware of who have invested in this enterprise,
have admitted its a long shot, because oil would have to be $40 per
barrel or more - over an extended period - for this system to be
profitable."

Because cost of synthesis was assumed to be around $40 per barrel,
people
said that this would cap the effective price of oil. (Do you remember
this talk?)

So are these conversion technologies going to "kick in" with oil now
above $70 per barrel?

.

Relevant Pages

  • Re: Brent now a smidgen over $80 a barrel
    ... localised downwards anomaly and that $200 a barrel is still on the cards this ... The oil companies are quick to wave oil prices in front of our noses ... The price of crude is somewhat of a red herring when taken in isolation from other factors including, as you rightly say, the greed of the oil companies. ...
    (uk.transport)
  • Another week of oil market news
    ... oil demand, quashing hopes of an imminent decline in oil prices. ... With prices topping $44 a barrel and OPEC saying the well is dry, ... We need basically a new form of energy. ...
    (sci.energy)
  • Oil plummets to $82 on global slowdown fears
    ... barrel Friday in Asia as investor fears of a severe global economic ... "The whole market has lost confidence in everything," said Mark ... "Everyone is worried about global growth, and oil is the front line ... global financial crisis is affecting oil prices. ...
    (misc.news.internet.discuss)
  • Re: America needs to export energy now
    ... After all, half the world's oil was held by rogue regimes, and it ... and we're back to $12 per barrel oil again. ... production is $6 to $8 per barrel, you can bet that oil prices would ... wanted to buy my technology. ...
    (sci.energy.hydrogen)
  • US oil supply problems still worries
    ... Oil prices slip from record high ... US crude oil slid back to $66.25 a barrel on Monday as some US refineries ... The price of a barrel of US light, sweet crude had hit yet another record on ... the price of Brent North Sea crude oil for delivery in September ...
    (misc.survivalism)