In the land of black gold

250px-Tintin_cover_-_Land_of_Black_GoldIs peak oil a myth?

Here’s an interesting piece from Fast Company on the idea of “peak oil”. Far from our supplies of black gold running out, we are in fact finding limitless supplies of the stuff. But can the climate absorb it? At current levels, perhaps not, but who knows what amazing innovation lies just around the corner to help us mitigate the effects? As the author says, “argue for climate change, by all means. But, be wary of using a cause for scarcity to do so”.

As market value is usually a good indicator of supply levels, I’ve taken the liberty of copying in a little historical crude oil price data below.

There’s also a good chart on The Economist that compares Hubbert’s initial 1950 apocalyptic predictions of oil running out by the 1970’s with what’s actually happening.

historic-oil-prices chart

© Copyright 2010 InflationData.com

Chart taken from inflationdata.com

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