Russia proves peak oil a myth?


Richard Moore

Original source URL:

Russia Proves 'Peak Oil' Is
A Misleading Zionist Scam [stet :-( ]
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 manner.

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 

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 firearms.

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.

 [diagram in original]

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 example.

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 light.

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 handouts.

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 

Predictably perhaps, the Vietnamese are very cool, and try hard to ignore their 
new American admirers.

Welcome to the White Tiger oil field in Vietnam. Observe the truly amazing oil

flares, in an area the Americans officially declared 'barren' of oil reserves !

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 

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 

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 

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 reports.

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.

In direct conflict with the 'Peak Oil' myth, the under-reamer 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

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 rate.

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 restore

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.

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