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Via Long Investment Ideas from Seeking Alpha:
Oil's current valuation is a slippery slope. No one knows when the price will come down. One side will argue the peak oil theory. The other side will tell you that speculators are to blame and the price run-up will be short-lived. The problem with the media is they are trying to sell you a magazine, and the truth relies solely with the individual. With oil, it comes down to supply and demand. OPEC is milking it a little more than they should, trying to get as much as they can out of their supply. They announced that they will be increasing production to 9.7 million barrels of oil per day and that they will be able to increase production to 15 million barrels in 2 years.
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