Our World in Data
How much demand is there for fossil fuels globally?
The global economy is dependant on fossil fuels coal, gas and especially oil. Our World in Data website shows use of them in the last 60yrs has increased dramatically to over 120,000 Terrawatts.
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| Fossil fuel consumption (from Our World in Data website ) |
The Statistica website graph below also shows daily demand for crude oil increasing. There is "blip" when we had lockdowns (less car / air travel for work & leisure etc), but demand is expected to pass 100 million barrels a day this year (2023).
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| crude oil daily demand (Statistica website) |
When will we run out of oil ?
The calculation below comes from the insightartist.com website. We may need to be cautious because some of the figures come from WEF partners (eg BP).
- Proven reserves of oil are 1,730,000,000,000 (1.73 Trillion) Barrels.
- And we will assume that we stay at the current level of consumption of 97,360,000 barrels per day.
- So, 1,730,000,000,000 / (97,360,000 x 365) = 48.68years - the year 2073.
When will we run out?
Many countries around the world won't be slowing down , whilst the UK and others are trying to do so.
How is oil used?
Statistica website shows that oil is mostly used for road transport (almost 50%) , and industrial purposes eg electricity, plastics, medicines, agriculture.
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| Distribution of oil demand (statistica) |
Types of oil
There are 3 main types of crude oil and each has to go to special refineries only for that type of oil.
- Brent blend - comes from North Sea fields and so is waterbourne and easy to transport . Is light and sweet meaning it is ideal for diesel fuel.
- WTI - West Texas Intermediate from US oil fields . Is light & sweet but is landlocked and costs more to send by pipeline to a facility at Cushing oklahoma.
- Dubai / Oman - lower grade and "more sour" (has more sulphur content).
It is expected that oil prices will remain high . Recession in Q1 2023. High inflation.