Is the BP Oil Spill a Good Thing?

“This disaster in the Gulf will bring so much joy, such great future for the US!” Marcio Mello said yesterday during his presentation at the Agora Financial Investment Symposium. If you are unfamiliar, Mello is the geological legend responsible for Brazil’s massive deep-water oil discoveries in the last few years. He shared his thoughts at our annual Symposium yesterday…

But before you read them, have you ever seen Italian television? A Mexican talk show? If you have, then you can accurately picture Mello bounce around the room with wild, infectious, almost cartoonish enthusiasm. This was by far the most charged presentation this week…a great show:

“There are no disasters. There is no bad news – only opportunity. BP is not bad news. Accidents happen, but oil drilling is the safest operation in the world. This is the first accident there, EVER! The global energy industry drills 1,500 offshore wells a year with no accident.

“Thousands of barrels of spillage a day is a great sign! Look at how much oil could have been produced if they didn’t have this accident. There is so much oil deep in your Gulf of Mexico that America is so blessed. There is so much, one day it will be hard to believe in Peak Oil. It is great news.”

The one real lesson to learn from BP, says Mello, “is people. I put all my money in the right people. People…that’s it. Countries, government, assets, NO… Put your money in good people and you will never lose. Who?”

Crowd responds: “People.”

“I can use data; I can use history; I can use good sense. But when I doubt, I always put my money in the one thing that never fails me. Say it with me:”

An excited crowd responds: “People!”

Mello: “No… s**t… oil!”

Ian Mathias
for The Daily Reckoning

The Daily Reckoning