Joe Vial: Russians overcome peak oil (?)


Richard Moore

You might also check out this article by William Bowles:
The truth about 'Peak Oil' 
6 December    2004



Russia Proves 'Peak Oil' is a Misleading Zi** Scam While
Moscow invests heavily in unlimited oil production for the
future, New York squanders America's dwindling oil profits on
fast cars and fast women

Copyright Joe Vialls, 25 August 2004 

In 1970 the Russians started drilling Kola SG-3, an
exploration well which finally reached a staggering world
record depth of 40,230 feet. Since then, Russian oil majors
including Yukos have quietly drilled more than 310 successful
super-deep oil wells, and put them into production. Last Year
Russia overtook Saudi Arabia as the world's biggest single oil
producer, and is now set to completely dominate global oil
production and sales for the next century.

If the opening paragraph of this report started by claiming
that completely unlimited crude oil reserves exist inside
planet earth, readers might be tempted to regard the entire
text as preposterous ghostwriting for a novelist like
Frederick Forsyth. If the report then went on to claim that
the Russians have exploited this stunning reality for nearly
thirty years, right under the largely unwitting noses of
western intelligence, readers could be excused for mistaking
the author for a lunatic, or perhaps as a front for spy
novelist John le Carré. The problem here is that unlimited oil
reserves do exist inside planet earth, and the Russians long
ago developed the advanced technology necessary to recover
these unlimited oil reserves in an efficient and timely

Profoundly disturbing hard intelligence like this does not sit
well with the frantic cries of western academic shills and
lobbyists, determined to convince you all that the end of the
oil world is nigh, or, more accurately, that America faces an
imminent catastrophe when global production capacity "Peaks",
i.e. when world demand for crude oil finally exceeds the rate
at which we can physically pump the required product out of
the ground. The gist of these false claims are outlined in a
speech given at the at the University of Clausthal, by
lobbyist Doctor Colin Campbell during December 2000:

"In summary, these are the main points that we have to grasp:
Conventional [Free flowing] oil provides most of the oil
produced today, and is responsible for about 95% of all oil
that has been produced so far. It will continue to dominate
supply for a long time to come. It is what matters most. Its
discovery peaked in the 1960s. We now find one barrel for
every four we consume. Middle East share of production is set
to rise. The rest of the world peaked in 1997, and is
therefore in terminal decline. World peak comes within about
five years" [circa 12/2005]

Campbell is just the tip of a giant iceberg of academic Peak
Oil 'experts' who suddenly appeared en-masse to give you this
frightening news, right after President Saddam Hussein
suddenly started trading his oil in Euros rather than in US
Dollars, a devastating switch with the easy capacity to
destroy the US Dollar in less than five years if it was left
unchallenged and unchecked.

So these shills [decoys] were carefully positioned to deflect
your attention away from the obvious greed and incompetence of
the United States Government and its Wall Street masters, and
focus it elsewhere instead. Then, hopefully, a few years later
down the track when prices start to bounce through the roof,
and America has no Euros to buy crude oil, you will blame
gasoline prices of $5.00+ per gallon at the pumps on an
'inevitable decline' in world oil production, rather than
march furiously on Washington DC with locked and loaded

Though attacking Campbell and his ilk is not the purpose of
this report, his idiot claims can be debunked readily enough.
While it is true that nowadays we only officially find one
barrel of oil for every four barrels we consume, this is
primarily because we temporarily stopped the incredibly
expensive process of looking for crude oil when we had already
physically established more than two trillion barrels of
reserves in known reservoir locations around the world. When
those known reserves drop to [say] one trillion barrels we may
be tempted to go and find more, but not until then. And while
it is true that the production rate from each individual oil
well ever drilled has slowly declined over the years, there is
a perfectly valid technical reason for this predictable
reduced flow rate, which will be explained later.

In order to understand how Russia has left the rest of the
world standing in its wake, it is essential to know a little
bit about where oil is located, and how it is extracted from
the ground for refining and commercial use. It is an
enormously complex subject, especially when considering the
ultra-deep wells, which should really have a separate category
all of their own. Many years ago I was personally involved at
the sharp end of two ultra-deep drilling operations [one of
them in direct liaison with Russian experts from the Moscow
Drilling Institute], and will try to keep this drilling lesson
as simple as I can. Thankfully perhaps, the underlying
principle of how and where oil is recovered from is not
difficult to comprehend, as illustrated by the diagram below.

The theory underlying how oil is formed at such enormous
depths in the mantle of the earth is not central to this
report, because the Russians have already proved its point of
origin in absolute drilling terms more than 300 times. Those
interested in the exact process should research the archives,
where there are more than two hundred Russian papers on the
subject. Probably a good place to start would be "The Role of
Methane in the Formation of Mineral Fuels", written by by A.D.
Bondar in 1967. What is central to this report is the massive
advantage that Russia's ultra-deep drilling discoveries and
technical achievements give it over the western nations.

The first advantage I intend to explain is nowhere near as
important in global terms as the second, because it is the
second advantage that finally drove the Zionist Cabal to
illegally invade sovereign Iraq, and thereby bring us all to
the very brink of thermonuclear war. However, from where I
sit, the first advantage is much more important in simple
humanitarian terms, although "humanitarian" is not an
acceptable trading process on Wall Street.

As we have already discovered, oil can be produced virtually
anywhere on earth, provided the host country can afford the
expensive [and sometimes classified] technology, and the
massive cost of drilling a well to extreme depth through
extremely hard rock formations. But just think what even 20 or
30 deep producing oil wells can mean for the people of a
country that has no natural resources of its own, or worse
still, for people who have been told by glib western lobbyists
that they have no natural resources of their own. Anyone who
can prove that the western nations were lying or simply wrong,
will become a trusted friend forever. Vietnam is a classic

After more than 60 years of being enslaved, pillaged, and
raped by the French and then by the Americans, the poor
Vietnamese were told officially by American oil multinationals
that their country was barren; that western 'cutting edge'
technology had failed to find anything to help them recover
financially from the mess left behind by American bombs, Agent
Orange, and a host of other delightful gifts from Uncle Sam.
This of course was exactly where America wanted the Vietnamese
to be: desperately poor and unable to take action against
their former invaders.

The Russians had other ideas and a very different approach.
After telling the Vietnamese that the Americans had lied to
them, oil experts were flown in from Moscow to prove this
startling claim in a no-risk joint venture, meaning the
Russians would provide all of the equipment and expertise free
of charge, and only then take a percentage of the profits if
oil was actually found and put into production. Vietnam had
absolutely nothing to lose, and swiftly gave Russia the green

The Vietnamese White Tiger oil field was and is a raging
success, currently producing high quality crude oil from
basalt rock more than 17,000 feet below the surface of the
earth, at 6,000 barrels per day per well. Through White Tiger,
the Russians have assisted the Vietnamese to regain part of
their self respect, while at the same time making them far
less dependent on brutal western nations for food-aid

All of a sudden in a very small way, Vietnam has joined the
exclusive club of oil producing nations, and a stream of
cynical U.S. Senators and Congressmen have started making the
long pilgrimage to Ho Chi Minh City in order to 'mend fences'.
Predictably perhaps, the Vietnamese are very cool, and try
hard to ignore their new American admirers.

It is truly amazing how quickly good news travels [outside of
CNN], and in a very short space of time China was also engaged
in a joint super deep venture with Russia. Nor did it end
there. As I write this report, intelligence reports that the
Russians have already moved three deep-drilling rigs into
impoverished North Korea, where they intend to repeat the
Vietnamese production cycle by drilling thought solid granite
and basalt, with not a single trace of the 'decaying marine
life' so essential to blinkered western geologists for the
'accepted' production of crude oil. It may take a while, but
ultimately the North Koreans will be able to go about their
sovereign business without the Zionist Cabal in New York being
able to blackmail them over a few ship loads of food-aid rice.
Yes indeed, Korea will eventually have an oil surplus of its
own, allowing it to tell the latest in a long line of
terminally insane "New World Orders" to go to hell.

The White Tiger project was the first outside Russia to openly
exploit and showcase this ultra-deep technology and oil
production from basalt rock to the world, though the original
intent was to do so much earlier in India during 1983. During
that year a large drilling rig in the Ganges Delta was
scheduled to drill down to below 22,000 feet into basalt, and
then dramatically flare "impossible" ultra deep oil. Oil well
Bodra #3 was directly supervised by teams of experienced
Russian drillers and scientists from the Moscow Institute of
Drilling, with the author the only westerner on site,
contracted to control one of the critical advanced systems
needed to reach target depth smoothly and efficiently.

If Bodra #3 had been allowed to drill ahead unhindered, there
is no doubt the resulting impact would have sent shock waves
around the oil world, and gained enormous international
prestige for the Russians. Even more importantly perhaps, the
desperately poor people of West Bengal would have gained
access to their own energy reserves. Unfortunately, Bodra #3
was not allowed to drill ahead unhindered. The Americans were
determined to stop the project one way or the other, and
played on New Delhi's obvious fear of the Communist State
Government in West Bengal. After bribing a handful of corrupt
central government officials, US intelligence sent in
professional American saboteurs, who managed to wreck the
drilling project while the author was away on a visit to
Sydney in Australia.

Before we continue to the second massive advantage derived
from ultra deep oil, and thus the primary reason why Wall
Street decided to illegally invade Iraq, it is essential to
look briefly at the way in which America devours a massive
portion of global oil supply. You see, the 'Peak Oil' scam is
not really about the world running out of oil reserves or
being incapable of producing sufficient quantities to provide
for its various national users. Instead, Peak Oil was
fabricated to disguise America's individual increasing greed
for crude oil, and its imminent inability to pay hard cash for
the product. Put simply, America is going broke fast, and Wall
Street wishes to blame someone else before the angry Militias
appear with their locked and loaded weapons.

This sorry situation is best summarized by Professor Victor
Poleo of Venezuela's Central University, who told IPS in April
that, "The mechanism by which global oil prices are set is
intact, but the normal behaviour of supply and demand is not."
According to Poleo, the root of the problem is that the United
States ''is a terminal victim of its energetic metastasis. It
has neither the oil nor the natural gas needed to feed its
style of development. With just six percent of the world
population, it consumes nearly 25 percent of the oil and gas
produced worldwide.'' Professor Poleo went on to explain that
there were expectations that demand for gasoline in the United
States would stabilize at around 7.2 million barrels a day by
the mid-1990s, ''but that didn't happen,'' he said. ''The
United States' voracity for gasoline rose to nine million
barrels by 2003, one of every two liters burnt in the world.''
And domestic demand for crude oil will continue to grow. The
United States imports today six of every 10 barrels of oil and
two of every 10 cubic meters of gas that it consumes, and by
2020 it will import eight of every 10 barrels of oil and four
of every 10 cubic meters of gas, according to U.S. government

Despite the fact that American intelligence already knew of
Russia's achievements with ultra deep oil production from the
mantle of the earth back in the early eighties, it was obvious
that this slow and expensive method of adding to national oil
reserves could never keep up with America's voracious appetite
for gasoline. So ultimately when domestic demand grew too
fast, or cash reserves were finally depleted, America would
either be obliged to halve its own use of gasoline, or steal
it from someone else by force. Halving gasoline usage was out
of the question, so instead of building hundreds of ultra-deep
drilling rigs, Wall Street squandered the cash building more
aircraft carriers, with the desperate objective of attacking
and permanently occupying the Middle East.

This is the point at which the second massive advantage
derived from ultra-deep oil comes into play. Do you remember
how puzzled the reservoir engineers were when they discovered
that their existing reserves were being "topped up" from
below? They later discovered that what they were really
observing were naturally occurring ultra-deep oil wells,
leaking vast quantities of oil from the mantle of the earth
upwards through fractures into what we nowadays refer to as
"sedimentary oilfields", located relatively close to the
surface. As the production companies draw oil out of these
known reservoirs through oil wells, field pressure is slightly
reduced, thereby allowing more ultra-deep oil to migrate up
from the mantle and restock the reservoir from below.

Russian studies of their own ultra-deep wells and those in the
White Tiger field in Vietnam, indicate in very rough terms
that migration from the mantle is probably 20-30% less than
production at Middle East wellheads, meaning in turn that if
the flow rates of existing Iraqi and Saudi wells are reduced
by about 30%, oil supply and production can and will continue
forever, constantly replenished by ultra-deep oil from the
mantle itself. It goes almost without saying that even with
production reduced by 30%, there is more than enough oil in
the Middle East to provide for America's increasing usage for
at least the next century. And that, ladies and gentlemen, is
why your sons and daughters have died and will continue to die
in Iraq and elsewhere in the Middle East.

Now we come to the completely false [or deliberately
misleading] claim by Peak Oil shills that production from
existing oil wells is "slowing down", thereby proving that the
oil fields are "running dry". This is so wrong that it is
almost breathtaking. Think of this slowing down process in the
same way you might think of the engine oil in your automobile.
The longer you run the engine, the higher the level of
contaminates that get into the oil. The higher the level of
contaminates, the higher the level of friction. Sooner or
later you have something closely akin to glue coating your
piston rings, and the performance of your engine declines
accordingly. This is an inevitable mechanical process well
known to all automobile owners.

Henry Ford and others managed to slow down the rate of
contamination in engine oils by inventing the oil filter,
through which the oil has to circulate each time it passes
around inside the engine. A high percentage of the
contaminates stick to the filter element, thereby allowing
extra miles between oil changes, though heaven help the
careless motorist who thinks he can get away without ever
changing his clogged oil filter when recommended.

When oil is extracted from a producing formation underground,
it flows out through pores in the reservoir rock, and then
into the open borehole, from where it is transported to
surface by the production tubing string. So by the very nature
of the beast, the bottom section of the well is "open hole"
which allows the oil to flow out in the first place, but
because it is comprised of exposed and sometimes unstable
rock, this open hole section is also continually subject to
all manner of turbulence and various contaminates. For
example, tiny quantities of super fine silt may exit through
the pores but not continue to the surface with the oil,
tumbling around in the turbulence instead, until the silt very
slowly starts to block off the oil-producing pore throats.
Yes, of course there are a variety of liners that can be used
to slow down the contamination, but there is no such thing as
a Henry Ford oil filter 10,000 feet underground.

The inevitable result of this is that over time, the initial
production rate of the well will slowly decline, a hard fact
known to every exploration oilman in the business. However,
this is certainly not an indication that the oil field itself
is becoming depleted, proved thousands of times by offset
wells drilled later into the same reservoir. Any new well
comes on stream at the original production rate of its older
cousins, because it has not yet had time to build up a thin
layer of contaminates across the open hole. Though as we shall
see it is possible to "do an oil change" on a producing well
and bring it back to full production, this is extremely
expensive, and rarely used in the west.

Look at a simple example: Say we have a small oil field in
Iraq with ten wells that each started out in life producing
10,000 barrels of oil per day. Fine, for a known investment we
are producing 100,000 barrels of oil per day from our small
field, at least for a while. Five years later contamination
may have slowed our overall production down by ten percent to
90,000 barrels per day. So we are now faced with a choice:
either "do an oil change" on all ten existing wells at vast
expense and down time, or simply drill one additional well
into the same reservoir, thereby restoring our daily
production to 100,000 barrels with the minimum of fuss. Take
my word for it, ninety-nine percent of onshore producers will
simply drill the extra well.

Naturally there are times and places where this simple process
is not an option, for example on a huge and very expensive
offshore platform, which may have only 24 drilling 'slots',
all of which have been used up. To restore your overall
production after five years you can either build another giant
platform next door for two billion dollars, or "do an oil
change" on each of your existing 24 wells, one at a time.
Clearly this time you are forced to carry out the time
consuming business of restoring the open hole section at the
bottom of the well to its old pristine condition, before
various contaminates started to slow down your production

For this task you first pull the production tubing out of the
hole, and then run back in with a drill string, to which is
attached an underreamer as shown in the pictures above. When
the reamer is directly opposite the top of the open hole
producing section, the drill string is rotated to the right
and the blades fly out under centrifugal force to a distance
preset by you before lowering the tool into the hole. The
objective is to cut away the contaminated face of the well to
a depth you consider will once again expose pristine producing
pores. As the spinning underreamer is slowly lowered, it
enlarges the size of the hole, with the contaminated debris
cut away and flushed back to surface by the drilling fluid.
Hey presto, you have a new oil well, and it only cost one or
two million dollars to restoreŠ

Remember I said this process is rarely used in the west, which
is true, but it is not true of Russia, where the objective for
many years has been to dominate global oil supply by continual
investment. With no shareholders holding out their grubby
little hands for a wad of pocket money every month, the
Russian oil industry managed to surge ahead, underreaming
thousands of its older existing onshore wells in less than ten
years. Then along came Wall Street asset Mikhail Khodorkovsky,
who fraudulently got his hands on Yukos oil for a mere
fraction of its value, and was on the point of selling the
entire outfit to the American multinationals when Vladimir
Putin had him hauled off his private jet somewhere in Siberia.
So Wall Street was finally 'cheated' of its very own 'free'
Russian oil, and poor old Mikhail had better get used to the
taste of prison food.

To recap, 'Peak Oil' claims that because today we only find
one barrel of oil for every four that we use, world oil
reserves are running out. Completely misleading propaganda. as
the Russians [and the CIA] know perfectly well, reserves of
oil in the mantle of the earth are infinite. 'Peak Oil' also
claims that we will shortly be unable to pump sufficient oil
out of the ground to keep up with demand. Completely
misleading propaganda again. We could drill more wells, but
Wall Street cannot afford to pay for them, and never intended
to, at least not while it still believed conquest and eternal
occupation of the Middle East was a realistic possibility.

Professor Poleo makes it quite clear which direction the west
needs to go in if it is to survive in the long term, and that
is to follow Russia's example by sharply reducing domestic
consumption. Back in 1990 America was using around 6 million
barrels per day compared to Russia's 8.4 million, but how
things have changed since then. Thirteen years later in 2003,
American consumption was up to 9 million, while Russian
consumption had been reduced to a mere 3.2 million. A few
billion folk over there in America might like to walk around
their houses and switch off any electrical appliances they
don't actually need. Believe me, I can almost hear the oil
surging through the pipelines in New York, and I live more
than 12,000 miles away in Australia.

In closing I would like to pass on my greetings and thanks to
the cheerful Russian drillers and scientists I had the
pleasure of working with at Bodra #3 in West Bengal, without
whose expertise we might all be dead today, as a direct
consequence of repeated American sabotage attempts on the high
pressure well. My thanks also to the Moscow Drilling Institute
for the unrestricted flow of information and documents on
ultra deep oil production technology, without which I could
not have written this report.

In direct conflict with the 'Peak Oil' myth, the underreamer
shown in these photos can restore an oil well's original
production rate, using basically the same principle as
changing the oil filter in your automobile engine

"Apocalypse Now and the Brave New World"