In the sunset

of the

petroleum industry

OtherOil is conceived with the simple idea that we can better manage a finite resource. That there is a way to do business with care over the extraction and transportation process of fossil based fuels and a way to immediately transition to new renewable liquid fuels limiting pollution.

We’ve used more than half the oil already. It only took a century. According to the American Petroleum Institute, the world has consumed approximately 1000 billion barrels of oil in total since oil was first discovered. At the end of 2005, there were approximately 1200 billion barrels of proven reserves of crude oil in the word. One barrel contains 42 gallons of crude oil.
Of the 1200 billion barrels of crude oil, the U.S. has 2.4 percent or 29.3 billion barrels of proven reserves of crude oil. The total world consumption at the end of 2005 was 82.5 million barrels per day (or 30 billion barrels per year).
The U.S. alone consumed 24.6 percent of this, which totals approximately 7.5 billion barrels per year.

In key areas, the situation is worse since the '70's, first oil crisis. Back then, the US used overseas sources for just over a third of its oil consumption. Now, dependence has grown to 56 percent and, by 2025, would reach 68 percent, according to the US Energy Information Administration. The Energy Information Administration reports global petroleum demand while dropping due to price increases in '04 is forecast to increase to increase 1.8% for '05-'06. According to World Energy Outook '05,, oil demand now in the US is 82-84 million barrel per day (mbbl/d) but should be around 92 mbbl/d in 2020 and 115 mbbl/d by 2030.

World oil demand is still expected to grow this year and for the foreseeable future, led by China and India. With the sleeping giants India and China, countries with huge populations, jumping on the oil-burning bandwagon the downward slope of that bell curve is steep and fast.

Wether you believe demand will continue in a linear fashion (unlikely) India & China will have there say.

Is the glass half empty or full?

Since the original commercialization of fossil fuel use (when Edwin L. Drake drilled the worlds first oil well in 1859 and launched the modern petroleum industry) till now we have used the equivalent of 4 full glasses of fossil oil, unfortunately the last glass was used up in only the one decade.

The fact is, we used most of all the available new glasses and are proceeding at a rapid pace to the last drop!

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