When will we run out of oil?


| 1 Comment
Oil is what drives our economy and our military.  When oil prices rose in the 1980's it caused a massive recession and led to economic phenomenon called stagflation.  Oil policy in the United States has been a major issue leading to fights between politicians on the pursuit of an alternative energy source.  That is why President Obama appointed Steven Chu to be his Energy Secretary of Energy, an expert and leading authority on alternative energy.  Obama said, "the future of our economy and national security is inextricably linked to one challenge: energy."

So energy policy is obviously important, but why do need to go gradually away from oil.  Are we near running out of oil.  The answer to this question is no.  We have an abundance of oil and are continuously find more oil around the globe.  Recently North Dakota just began drilling oil, and as led to dramatic uptick in their economy (that has led to social issues, but that is for a different day).  According to the Washington Post, "Tight rock formations of North Dakota and Texas - basins with resources so hard to refine or reach that they were not considered economically viable until recently."  The point of economically viable is instrumental to this issue.  As demand for oil increases it will become more cost effective to search and drill for oil in more expensive places like North Dakota and Alaska.  

HSBC in a report said that they think "oil may run out by 2060."  In my opinion, this view is misguided.  We have not discovered all the oil on earth, and with the massive amounts in the Gulf of Mexico and Alaska, we are centuries away from running out of oil.  However, that does mean that alternative energy could help the environment and lower are footprint.

oildrilling.jpg
Suzanna Gonzales/Bloomberg

1 Comment

It may be true that we will not run out of oil until long after 2060, but the fact is that oil will always be a scarce resource that we cannot artificially recreate. Whether it be in the next 100 years or the next 1 million years, it will run out eventually. Also, regardless of the fact that it will eventually run out, using oil to run our cars and supply us with electricity is extremely harmful to our environment. So, doesn't it seem like it would be smartest to find another energy source regardless of if the oil will run out any time soon?

Leave a comment

Subscribe to receive notifications of follow up comments via email.
We are processing your request. If you don't see any confirmation within 30 seconds, please reload your page.

Search This Blog

Full Text  Tag

Recent Entries

Alcohol and Energy Drinks
We've all heard of Four Lokos (or "blackout in a can") and the drama surrounding them when they first came…
It isn't up to the Keratin
Many girls who have naturally curly, wavy, or frizzy hair have started looking into getting keratin treatments at their local…
It isn't up to the Keratin
Many girls who have naturally curly, wavy, or frizzy hair have started looking into getting keratin treatments at their local…

Old Contributions