An end to the end of oil?

Chevron and two of its partners reported yesterday that they may have stumbled upon a deep reserve of oil in the Gulf of Mexico. The well test, which drills five miles down into the ocean floor, was so successful that some believe it might contain more crude than Alaska's Prudhoe Bay reserve, which was discovered 40 years ago. The LA Times reported that the finding could boost U.S. petroleum reserves by up to 50 percent. Chevron's announcement came just a day after President Bush made a speech warning about U.S. dependence on foreign oil. To quote the Church Lady, "How conveeeeeenient!"

Seriously, though, if this oil discovery turns out to fulfill its promise, it could have a large impact on oil prices, which tumbled by $1.10 today to close at $67.50. Last month, FP reported on the shrinking oil reserves around the world. It sure would be nice to add an oil field to the list that is actually growing in production, instead of falling off.