The other side of this argument is that the world is not getting off oil. We will need the oil if we want to get every nation up to a Euro/US standard of living.
It’s destroying demand at a massive clip, if the IEA is to be believed [1]. With Riyadh’s elevated break-even price [2] that doesn’t leave them a lot of time.
Excellent call outs, the price of oil doesn’t have to go to zero, it must simply be held below what middle eastern countries need to pacify their populations. Failing that, all hell breaks loose, potentially impairing their petroleum supply chains (depending on intensity of turmoil that occurs).
The industry runs on oil (and gas) and that's not going to be phased away as easily as cars.
It would be nice to see something like Tesla but for heavy/industrial machinery, though. I think I saw something somewhere, but can't find the source at this time.
It’s destroying demand at a massive clip, if the IEA is to be believed [1]. With Riyadh’s elevated break-even price [2] that doesn’t leave them a lot of time.
[1] https://www.axios.com/2024/06/12/oil-peak-demand-iea-project...
[2] https://fred.stlouisfed.org/series/SAUPZPIOILBEGUSD