The Oil Industry Is About To Become Worthless

mentalfloss

mentalfloss

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The Oil Industry Is About To Become Worthless​


There’s a lot of denial and wishful thinking in the oil and auto fields these days, but on the other hand, there are quite a few industry observers who understand that a historic transition is beginning. A recent article in the trade magazine OilPrice.com notes that coal power plants are being retired at “an alarming clip,” and that the EV sector now accounts for a higher stock-market valuation than does the legacy auto industry.

As writer Alex Kimani eloquently puts it, the situation facing oil companies and backward-looking automakers is “eerily reminiscent of the thousands of buggy and whip companies that were rendered obsolete in the early 20th century.” He cites recent research by Morgan Stanley, which argues that selling ICE vehicles will become a money-losing proposition as early as 2030.

insideevs.com

Morgan Stanley: The Oil Industry Is About To Become Worthless

There’s a lot of denial and wishful thinking in the oil and auto fields these days, but quite a few industry observers realize and accept the transition.
insideevs.com insideevs.com
 
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pgs

pgs

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mentalfloss said:

The Oil Industry Is About To Become Worthless​


There’s a lot of denial and wishful thinking in the oil and auto fields these days, but on the other hand, there are quite a few industry observers who understand that a historic transition is beginning. A recent article in the trade magazine OilPrice.com notes that coal power plants are being retired at “an alarming clip,” and that the EV sector now accounts for a higher stock-market valuation than does the legacy auto industry.

As writer Alex Kimani eloquently puts it, the situation facing oil companies and backward-looking automakers is “eerily reminiscent of the thousands of buggy and whip companies that were rendered obsolete in the early 20th century.” He cites recent research by Morgan Stanley, which argues that selling ICE vehicles will become a money-losing proposition as early as 2030.

insideevs.com

Morgan Stanley: The Oil Industry Is About To Become Worthless

There’s a lot of denial and wishful thinking in the oil and auto fields these days, but quite a few industry observers realize and accept the transition.
insideevs.com insideevs.com
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Bought that electric vehicle yet ?
 
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Nick Danger

Nick Danger

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Jinentonix said:
Funny how the wishful thinking twats who keep saying that seem to think all oil is used for is to generate electricity and make cars go "zoom".
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You don’t have to dig too deep to figure out that the most common use for oil is transportation, and within that sector the biggest consumer is personal vehicles. So it’s no coincidence that we are seeing a huge focus on converting to electric vehicles. It’s not going to kill the oil industry but it’s sure to “thin the herd” somewhat, and Alberta oil on a global scale is very expensive to produce. Business is business.
 
Jinentonix

Jinentonix

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Nick Danger said:
You don’t have to dig too deep to figure out that the most common use for oil is transportation, and within that sector the biggest consumer is personal vehicles. So it’s no coincidence that we are seeing a huge focus on converting to electric vehicles. It’s not going to kill the oil industry but it’s sure to “thin the herd” somewhat, and Alberta oil on a global scale is very expensive to produce. Business is business.
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You missed one important factor, The movement to go green would be dead in the water without oil. Wind turbines are useless without it, EVs are useless without it. Commercial scale solar power would be less effective without it.
Even Space X's rockets are fossil fuel powered. But that's not all. Oil also has one advantage that no other resource I'm aware of has. You get more out than what you put in. What I mean is, out of a bbl of oil which is equal to 159 liters, you can make 170 liters of refined product. The "problem" with oil is it's so damn versatile it's not going anywhere anytime soon. The problem with wind and solar is they are not the least bit versatile and they generate power purely on the vagaries of weather. I've got a tracker that shows the hourly output of Ontario's energy mix. This week has been pretty decent for wind averaging between 2000-3000MW of output. Last week however there was only 1 day where wind reached 1000MW. But most of that week saw wind generating 300MW or less. Not really seeing the benefit of wind power.
 
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Nick Danger

Nick Danger

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Jinentonix said:
You missed one important factor, The movement to go green would be dead in the water without oil.
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Oil production will never stop, but it’s use as a small vehicle fuel source will drop drastically. That will lead to increased competition among producers, and in those fights the guy with the lowest production cost wins. Not good news for Alberta.

Electric vehicles will see their growing pains as well, recharging infrastructure is way behind. I’ve read that six or eight of them on your average residential block would be enough to strain the electrical grid. Long range travel in BC often includes climbing mountain passes. How much of a line-up will you see for half a dozen charging stations at the Coquihalla Summit when summer traffic kicks in ?
 
Twin_Moose

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Nick Danger said:
Oil production will never stop, but it’s use as a small vehicle fuel source will drop drastically. That will lead to increased competition among producers, and in those fights the guy with the lowest production cost wins. Not good news for Alberta.

Electric vehicles will see their growing pains as well, recharging infrastructure is way behind. I’ve read that six or eight of them on your average residential block would be enough to strain the electrical grid. Long range travel in BC often includes climbing mountain passes. How much of a line-up will you see for half a dozen charging stations at the Coquihalla Summit when summer traffic kicks in ?
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Outside the Urban setting EV's will fall flat on their face
 
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taxslave

taxslave

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Nick Danger said:
Oil production will never stop, but it’s use as a small vehicle fuel source will drop drastically. That will lead to increased competition among producers, and in those fights the guy with the lowest production cost wins. Not good news for Alberta.

Electric vehicles will see their growing pains as well, recharging infrastructure is way behind. I’ve read that six or eight of them on your average residential block would be enough to strain the electrical grid. Long range travel in BC often includes climbing mountain passes. How much of a line-up will you see for half a dozen charging stations at the Coquihalla Summit when summer traffic kicks in ?
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Electric vehicles would virtually stop ion their tracks without the massive taxpayer subsidies in both purchase price and operating costs.
 
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