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Cliffs…And Virtually No One Is Prepared

Independent Researcher & Precious Metal Analyst
November 10, 2020

The world is heading full steam ahead towards the ENERGY CLIFF, and virtually no one seems to be prepared.  After watching the U.S. Presidential Election and the circus sideshow that followed on both Mainstream media outlets, I am quite surprised how much Americans have invested their time, energy, and emotion in either political party when the world is getting ready to enter a GLOBAL DEPRESSION the likes of which we never recover.

Sure, I imagine I will upset a few people with that remark, but those are the FACTS.  Of course, we can hem-&-haw about the ENERGY CLIFF’s exact timing, but in the end, it doesn’t really matter if we are off by a few years… DOES IT?  Gosh, it has been 11 years since the 2008-2009 Global Financial Crisis.  How fast did that go by??

Well, I will tell you how fast it went by… the world enjoyed a net increase of 12 million barrels per day of OIL, NGLS, and CONDENSATE production from the U.S. Shale oil industry.  We can thank the very unprofitable U.S. Shale Industry for basically propping up the entire global economy for the past decade.  We must remember the simple fact; oil production growth allows GDP growth… PERIOD.

While many shale investors were taken to the cleaners, they were sacrificed to the GREAT PONZI SCHEME GODS to allow business, as usual, to continue a bit longer.  So, if you come across any investors with a sad face after investing in the Shale Biz, you should give them a big THUMBS UP as they allowed the U.S. Suburban Leech & Spend Economy to go on for another decade.

All kidding aside, the U.S. and world face a very DARK REALITY, which few are prepared for.  Unfortunately, when you turn on the TELLY, we don’t see any warning signs of the coming ENERGY CLIFF; rather, we see a lot of Americans yelling or screaming about a WIN or LOSE for their Presidential candidate.  I can assure you that within the next 5-10 years, there won’t be much a President can do to prepare us for what’s coming.

Today, Gail Tverberg of put out a new article and an EYE-OPENING chart, Energy Is the Economy; Shrinkage in Energy Supply Leads to Conflict.

The shape of this curve is far different from the one most forecasters expect because they assume that prices will eventually rise high enough so all of the fossil fuels that can be technically extracted will, in fact, be extracted. I expect that oil and other fossil fuel prices will remain too low, for reasons I discuss in Section [4], below. In fact, I have written about this issue in a peer reviewed academic article, published in the journal Energy.

I have had a few email exchanges with Gail in the past.  Some may have been in disagreement with Dr. Louis Arnoux and the Hills Group work on the Thermodynamics of Oil Depletion.  However, if we compare Dr. Arnoux’s most recent chart, which I used as a title in our newest Youtube Video interview Thermodynamic Oil Collapse & Future, you will notice a very eerily similar resemblance.

You see, Dr. Arnoux gets the credit for the term, THE MOTHER OF ALL SENECA EFFECTS.  I just replaced “Effects” with “Cliff.”  I like Cliff… sounds better.

It is interesting to see Gail Tverberg publish such a dramatic chart on future energy production-consumption.  Gail is by no means one of the Alt-Media’s “Grand Conspiracy Afficiandos.”  Oh, no.. she is by professional trade, a casualty actuary working in insurance industry forecasting.  That is about as BORING of a job as it gets, nothing personal.  So, when Gail publishes a chart that shows the END OF THE WORLD as we know it, people should take notice.

But of course, they won’t.  Rather, during many family and friend get-togethers, Americans will have to listen to the subtle ways of how we should hate TRUMP or BIDEN.  Because you know… TRUMP hasn’t done one GOOD thing or has (& will) BIDEN.  Or TRUMP is the best thing since sliced bread… or so is BIDEN.  It’s either one or the other.  It seems that the American way of life today… you have to LOVE one and HATE the other.

So… as we head closer to the ENERGY CLIFF, we will do so by hating each other every step of the way.  Thus, I don’t see a viable solution to the Energy Cliff, such as the one proposed by Dr. Arnoux’s nGeni, because we are just TOO STUPID and GREEDY to set aside our egos to work together… as the human race should.

With all that being said… if you are going to be a part of the world as the ENERGY CLIFF moves into high gear, it’s probably best to move a good percentage of your investments into physical GOLD & SILVER.  While there is no guarantee on the future values or prices of the precious metals, I can assure you; they will provide MUCH BETTER OPTIONS than soon to be defunct 401ks, Pension Plans, IRAs, Treasuries, Bonds, most Stocks, and Real Estate.

The world is heading into a new paradigm of PROTECTING WEALTH, as building wealth will become impossible to do for most individuals, even the wealthy.

Lastly, I have another ENERGY CLIFF article to come out later in the week… 


Steve St. Angelo

Independent researcher Steve St. Angelo (SRSrocco) started to invest in precious metals in 2002.  Later on in 2008, he began researching areas of the gold and silver market that, curiously, the majority of the precious metal analyst community have left unexplored.  These areas include how energy and the falling EROI – Energy Returned On Invested – stand to impact the mining industry, precious metals, paper assets, and the overall economy. He has written scholarly articles in some of the top precious metals and financial websites. Visit his website SRSrocco Report.

The world’s gold supply increases by 2,600 tons per year versus the U.S. steel production of 11,000 tons per hour.
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