For these very low prices to sustain, we need an economic environment in which worldwide activity is reduced for an extended period to levels that can be supplied by producers whose cash costs are measurably less than current prices. Gradually, events such as strikes, casualty, currency turbulence and resource nationalism etc etc knock off those low cost operations one by one. Since the presumption is a backdrop of worldwide recession, bumps are to the upside. The west gets the worst of the recession due to high debt levels. So, the west has to stimulate, bumping to the upside. Surprise, we also regulate to avoid deliberate accidents such as the current nightmare.

You will never see an opportunity to buy incredible long term resources cheaply as that which is now in front of us, and which will be forced to the upside as economic chaos otherwise consumes the west.