On Mon, 28 Feb 2011 09:03:59 -0800, jps wrote:

Any time oil/gas prices go up, it becomes very popular to think that
there is some vast conspiracy behind it. Who's fault is it when
prices go the other way as they sometimes do? There are vast numbers
of middle men involved in the production, distribution, refining and
transportation of oil. If they think prices are going up in the near
future because of a posible shortage, they do the same thing that you
and I would do, and try to buy more right now. The only collusion
involved is supply and demand.

As was mentioned earlier in this thread, reserves are going up at the
same time price is going up. That's not supply and demand.

Of course it is. The reserves are created by people buying in
advance of actual need in expectation that supplies may be tighter at
a later date and/or prices higher. There is no big tank labeled
reserves. It is the sum total of inventory on hand.