An industry analyst today explained that the proper supply and demand price for oil is $65, but that the anticipated demand from China is driving up the price.
Here's what's happening, folks...
China is the fourth largest country in land mass in the world. It is owned and controlled by a Marxist government that will do anything to promote its interests while maintaining control and protect what it has.
Oil is very expensive to find and exploit petroleum resources on their own soil- particularly when remote areas are difficult to get to.
So, here's the key...
It is cheaper for the Chinese to buy oil from all those who will sell it to them than to explore and exploit their own and more strategic for them to explore for oil in other countries (Sri Lanka, Cuba, Chad) than to explore and exploit their own.
In a decade or two or five, China will be the last nation on earth with vast supplies of oil. And they won't care to share.