oil crisis

The existing oil reserves as well as the discovery of new oil fields are currently declining, while energy demand keeps increasing constantly as a result of the steady growth in the world’s population and newly established consumption patterns in emerging countries.

The “peak oil theory” by American geophysicist M. K. Hubbert posits that oil extraction will reach a peak, following which the quantity of oil that can be produced will be bound to diminish. This production downturn will be matched with constant or even growing demand, thus leading to a quick price increase.

Many analysts are persuaded that the peak will be reached in the next few years.

hubbert’s peak oil curve - www.hubbertpeak.com

Natural gas and coal reserves are not unlimited, either, especially if we take into account future extraction rates. Against such a background, vegetable oils will be more and more necessary to replace many oil derivatives. Vegetable oils are already widely used to produce soap, detergents, cosmetics, lotions, plastic materials.

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