Oil & Gas will fuel economic growth for decades to come, and the fast-track industrialization of emerging growth economies such as China, India, Brazil and many other countries in Asia, South America and other parts of the globe portend a period of tight supplies and rising prices as the global economy continues to recover.

Whether one ascribes to the Peak Oil scenario or not, there is simply not enough global oil production capacity to fulfill the historic demand that is expected to emerge as the global economy enters a stable, strong growth phase. Oil prices are expected to skyrocket!

China is now importing record quantities of oil and that trend is forecast to accelerate as the huge Chinese economy moves into high gear. Oil recently hit $84 per barrel in the wake of news that China’s December crude imports had jumped a whopping 25% in December to a record 21.26 million tons or 160 million barrels. That amounts to 5.15 million barrels per day, and that figure is expected to grow materially in the years ahead.

India is slated to achieve double digit growth as its massive move to full industrialization gains momentum in the immediate future and its rising dependence on imported oil can only accelerate.

Many analysts are projecting crude oil prices to reach $100 later this year, and to reach historic highs above $150 in the not-too-distant future.

The U.S. will increasingly rely on domestic improvements to make up the shortfall in Oil & Gas supplies as world economies accelerate and oil supplies tighten.

420,000 marginal wells in the U.S.A. add up to a Lot of Oil & Gas! We believe that the proven reserves contained in aging oil & gas fields represent a key early step in reducing the nation’s current dependence on imported oil. Marginal wells produced more than 335 million barrels of oil in the United States in 2006. That’s equivalent to more than 60 percent as much as the United States imports annually from Saudi Arabia and reworking of many of these wells can dramatically enhance their production volume!

Last year, in assessing the coming global imbalance of supply/demand for crude oil, Barry Russell, President and CEO of the Independent Petroleum Association of America stated "With approximately 20 percent of American oil production and 10 percent of American natural gas production coming from marginal wells, they are America’s true strategic petroleum reserve."

Bayside Petroleum is moving forward aggressively to grow production from its numerous Oil & Gas field interests through reworking and rehabilitating wells that are underlain by proven reserves that have not yet been efficiently exploited. The magnitude of potential production increases are at the triple digit level (100% to 500%) for many of BYSD’s projects.

…

…

Peak Oil: The Eventual End of the Oil Age