YOU BET YOUR LIFE

From The Wilderness might be exagerating but not by much:

By my calculations and those of oil energy expert Jan Lundberg, the United States has just lost between 20% and 25% of its energy supply. My projection is that it's not coming back -- at least not most of it.

As a result of Katrina, Saudi Arabia has finally admitted that it cannot increase production. Many of us knew they've been lying for at least two years. The Energy Information Administration has just admitted that global demand has been outstripping supply for several months before Katrina. Nice time to start telling the truth.

"How will the oil companies even find their workers or tell them where to report for work?" Where will the workers live? Where will they buy groceries? How will they get to and from work if the gasoline they're supposed to produce isn't there? The Louisiana Offshore Oil Port (LOOP) is also much more seriously damaged than press accounts disclose. It's here that supertankers from overseas (used to) offload. They have no place else to do it. They're too big. I have seen video of LOOP damage which doesn't look anything like the minimal damage that's been reported. OK, so when the port is fixed what about the damaged pipelines running to shore? How many boat anchors have been dragged over them? In how many places are they ruptured, crushed or broken?

As many as twenty offshore rigs have now been confirmed as adrift, capsized, listing or sunk. Each rig may have as many as eight wells. Where's the money coming from to replace them? How long will that take?

Bottom line: my assessment is that New Orleans is never going to be rebuilt and that US domestic oil production will never again reach pre-Katrina levels.

The most chilling thing I have heard is that hurricane Katrina fell on the thirteenth anniversary of Hurricane Andrew which devastated Florida in 1992. Hurricanes are named alphabetically. Andrew was the first tropical storm of 1992. Katrina was the eleventh of 2005 and the hurricane season is just beginning. There are more storms forming now. Some of them will most likely become very large hurricanes because water temperatures are so high in our dying oceans.

Go ahead. Tell me we've all been wrong about Peak Oil, about climate collapse, and the metastatic corruption of our government and economic system. Now it's an easy bet and one that we will not have to wait long to settle. I'll take your wager.