As populations grow and energy demand increases, we need everything we can get our hands on. Energy and Capital editor Jeff Siegel has high hopes for hydrogen. And he's not the only one.
When you’re in control of global spare capacity the ability to extract more barrels to meet rising demand life is good. In our case, it led to a massive boost to U.S. oil output and the sudden explosion of crude exports after Congress repealed the ban in late 2015. Even more important was the fact that the world didn’t have to rely on the whims of OPEC and Russia as more and more U.S. oil flowed into the market. The problem is that those boom times are officially behind us.
Warren Buffett has a grudge with you. You read that right. The man with $130 billion in net worth doesn’t just have a bone to pick with individual investors like us. He’s also jealous that you and I can do something he’ll never be able to do. Truth is, he’s been a little peeved for years.
Make no mistake, China was under the spotlight last year more than ever before because the mainstream narrative was that its economy and by proxy its oil consumption would crash. And yet, it didn’t. Even the eternally-bearish IEA estimates that Chinese oil demand averaged around 17 million barrels per day in 2023 a growth of nearly 4%.
Technology has been the one saving grace that has kept our oil flowing. Geologists today can tell you with pinpoint accuracy where to find the oil underground. The real question is how much would it cost to extract.