But the key thing is that Iraq, while it's got very large oil reserves, has marginalized itself as an oil exporter and these days its exports are only about one tenth that of neighboring Saudi Arabia.

If a war started, the oil price probably would go up, as you said, maybe $5, $6 a barrel until you saw other oil from the extra supplies that are available elsewhere coming into the world, into the market.

The starting point for energy security today as it has always been is diversification of supplies and sources.

Even Silicon Valley investors have put well over a $1 billion in new energy technologies.

This has a lot to do with the unrest in Nigeria, but also with the production loss after the hurricanes in the Gulf of Mexico, the decline in Iraq since the 2003 war, and the decline in Venezuelan output since 2002.

A premium in the oil price of somewhere between 10 to 15 dollars a barrel reflects this heightened anxiety.

The North Sea was supposed to run out in the 1980s. Then in the 1990s. And now production is still on-line.

Cycles of shortage and surplus characterize the entire history of oil.

We are living in a new age of energy supply anxiety.

I think the producers, for the most part, don't want to see prices skyrocket because that will only create problems for them down the road and would also be a, you know, would be a very serious shock for a world economy that can't afford serious shocks right now.

We are living in a different world now. You can see it everywhere in international relations: It was noteworthy that, after his visit to Washington, the Chinese president's next stop was Saudi Arabia.

It's extraordinary how inventive one can be with ethanol right now.

But that's not enough: To maintain energy security, one needs a supply system that provides a buffer against shocks. It needs large, flexible markets. And it's important to acknowledge the fact that the entire energy supply chain needs to be protected.

Clearly, the Chinese need the resources, but I don't think they want to clash with the industrial world which happens to be the market for their goods.

So the major obstacle to the development of new supplies is not geology but what happens above ground: international affairs, politics, investment and technology.

First, we have to find a common vocabulary for energy security. This notion has a radically different meaning for different people. For Americans it is a geopolitical question. For the Europeans right now it is very much focused on the dependence on imported natural gas.

The Russians are turning east to the Chinese - to the Europeans' surprise. It always seemed to me that the relationship between Russia and China would shift from being based in Marx and Lenin to being based in oil and gas.

The bulk of extra supplies that could be put into the market come from two places. One, they come from other Persian Gulf suppliers, of which Saudi Arabia is at the top of the list.

The other are the strategic, so-called strategic stocks that the United States and the other Western industrial countries have, which could put in as much as four million barrels a day of oil into the market pretty quickly.

But the key thing is that Iraq, while it's got very large oil reserves, has marginalized itself as an oil exporter and these days its exports are only about one tenth that of neighboring Saudi Arabia.

We experienced similiar fears in the 1880s, at the end of World War I and II. And we ran out in the 1970s.

In a couple of years, the Chinese will be seen as regular participants in international industry. Their companies have to report to shareholders as well as to the Chinese authorities. They need to make money, they have to be efficient.

People always underestimate the impact of technology. To give you an example: In the 1970s the frontier for offshore development was 200 meters, today it is 4,000 meters.

But eventually it's a question of access: Getting access to fields is on top of the oil companies' agenda. We see a substantial build-up of supply occurring over the coming years.

We experienced similar fears in the 1880s, at the end of World War I and II. And we ran out in the 1970s.

We must support initiatives that provide clear, concrete measures and milestones that our troops need for defeating the insurgency, building up Iraqi security forces, and handing over Iraq to the Iraqi people.

Before and during the first phase of the war his administration repeatedly maligned the UN but now, that Iraq has turned into a quagmire, it is asking the UN for help.

Athletes as role models and heroes is a hoax, a sick hoax. The men and women who are fighting in Iraq, they are the true heroes.

But in the first Gulf war the United Kingdom was not under any threat from Iraq, and is still less so in the second one. Then there is no justification for obstructing freedom of information, particularly as nations have a right to know what their soldiers are being used for.

As I think through the issue of funding the rebuilding of Iraq, I think about the analogy of a bankruptcy proceeding. There is no doubt that Iraq as a country is bankrupt.

Our brave soldiers and support personnel are engaged in a battle as important as any the United States has ever before waged, for the success of democracy in Iraq is a crucial test of the ideals this Nation was founded upon.

The situation in Iraq will be long, it will be expensive and it will be difficult. But in the end, Iraq will very much be worth it.

It's true that the war in Iraq opened a distance in relations between part of Europe and the U.S. government, but our basic ties are stronger than that. We share democracy, free markets and a commitment to Western security. We differ on how to guarantee that security.

It was Osama bin Laden and al-Qaeda who attacked the U.S. on September 11, 2001, not Saddam Hussein and Iraq.

Further, Japan is the second largest donor in Iraq after the United States, with over $5 billion dollars for humanitarian, infrastructure and reconstruction projects.

Iraq's elite Republican Guard is doing so badly they're changing their name to the Democratic Guard.

And in Iraq we tried to implement the same policy that was so successful in Saudi Arabia, but Saddam Hussein didn't buy. When the economic hit men fail in this scenario, the next step is what we call the jackals.

Rather, it is through conciliation and compromise that we are building a fair Iraq, a just state for all its peoples.

This will be Iraq for all without discrimination among Iraqi citizens, or ethnic or sectarian discrimination.

The Bush administration also was not straightforward about the intelligence it had, releasing tenuous information that fit its goal of attacking Iraq. I feel deceived.

We ought to recognize that we have an offensive responsibility to take the war to the terrorists where they are. That responsibility has waned in the last year as military and intelligence resources were withdrawn from Afghanistan and Pakistan to be used in Iraq.

We are at war to liberate Iraq, to protect the people of the United States and other countries from the devastating impact of Iraqi weapons of mass destruction being used by terrorists or the Iraqi government to kill thousands of innocent civilians.

The poorest residents of the gulf coast were most affected by the devastating hurricanes, and the poorest Americans have shouldered a disproportionate share of the burden in Iraq.

We believe the use of force against Iraq, especially with reference to previous resolutions of the UN Security Council, has no grounds, including legal grounds.

This war of choice in Iraq is undermining the very fabric of American society.

And now when we hear that Iran and Iraq plan to cooperate more closely and that a fundamentalist is coming to power in Tehran - a man about whom we cannot be sure that he is absolutely averse to terrorism - it is very worrisome.

What is the first thing we did when we took control of Iraq? Protect the oil fields. Remember the administration quote about how the oil would pay for the war.

The Syrian regime is helping the insurgency in Iraq and allowing all kinds of militants to come in and out, and go to Iraq to attack random soldiers and innocent people.

I think the suffering, violence and cruelty and Guantanamo and the rest is going to go on and on in Iraq.