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Sunday, 26 February 2012

'A global heart attack'

Oil Disruption is Zooming and Global Panic Awaits

24 February, 2012

Oil is up to $110 and it is on a roll.

The last time oil went in this direction, it caused a slowing in the global economy that led to a global financial panic.   

What's causing it?  Peak oil, Chinese growth and lots of potential oil disruption.  Pretty much the same factors that caused it last time.

The pipeline disruption is a little different this time.

Israel

The headline player is Iran due to its nuclear program.  But Iran isn't actually disrupting the production system, they are merely making threats. 

If you unwind this a bit, it's pretty clear that the countries actually sending shockwaves of fear through the markets are Israel and the US.  However, of the partners in this relationship, Israel is in the drivers seat.  They are calling the shots on the timing of an attack on Iran and they will take the world along for a ride.  

The funny thing, to set this entire disruption event in motion, the Israeli attack on Iran doesn't have to be that big.  It just needs to be public and able blow something up.

NOTE:  IF you start seeing people with strong connections to the Israeli government buying up oil futures contracts for the "Widows and Orphans fund", start buying like crazy.

Nigeria

Nigeria's MEND (Movement for the Emancipation of the Niger Delta) is back for the first time since the 2009 amnesty-payoff. 

The government recently decided to stop the big (although small $$ compared to the amount top gov't and corporate players in the country are paying themselves) payments to MEND guerrillas and they have resumed operations.  

They are making attacks again on foreign oil company pipelines.  Last time they were able to hit nearly 1 m barrels a day of disruption.  We'll see if they can hit that level again.  

Another factor is oil theft.  Bunkering on the pipelines of Shell and other foreign oil firms operating in the Delta is reaching a new level of dynamism.   The number of bunkering valves inserted into company pipelines is up to 4 a kilometer!  Lots of money is being made at the grass roots level.

Global Heart Attack

This is shaping up to be an amazingly violent global heart attack.  Another in a long line, with more yet to come.  Worse, everytime it happens, we get weaker and the global elites get stronger.   We still have the 16% unemployment due to the last one while the fortunes of the global 0.001% zoomed.

You should be looking for a long term solution.  Something that will allow you to get out of a global system in a flat spin.  

What is that solution?  A Resilient Community. If you don't know what that means, read something I wrote today called, "What is a Resilient Community?" These communities have the potential to provide you a much better quality of life in a decade than you have today, across nearly every measure.  

So don't wait. Start small.  Get smart.  Join our online community on ResilientCommunities.com by signing up for the free newsletter.   You might even be able to find other people there you would be interested in starting a community with.

You can also join us on Facebook

We're on the journey to make this happen before depression sets in.    Let's roll.

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