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Hoarding is exactly what the government is doing right now by filling the SPR, and frankly it's the best thing that could happen. It drives prices up. High prices encourage demand destruction. They also finance new well development. The hoarded oil gives us a buffer to fall back on once shortages become more prevalent. High prices are what we need in order to adapt to what's coming, and the sooner they happen, the better.

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Insatiable China Will Import Gas More and More
Consumption; Demand; PricesChina's demand for natural gas is expected to rise about 12 percent a year for the next 15 years, outstripping proven reserves, and reaching around 1 trillion barrels by 2020.

Neftegaz.ru
Posted on Friday, April 30 @ 02:48:24 PDT by admin
 
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