patrick.net

The rebound in oil prices was way overdone.
The reality is oil is plentiful for years to come and deflation is on us.
I think oil is going below $40.

"Plentiful for years to come."

I have a mental image of the situation that would make a nice cartoon. Picture a 20% full barrel of oil, with too many spigots installed, all near the bottom. Apparently, oil price is low because some spigots were expensive and all the people that inserted them are desperate to sell as much oil as possible at any price. And at the same time, the people that own cheap spigots want to "protect their market share".

This is a recipe for disaster. How long before oil is priced more according to its real and long-term value?

Natural gas (do we have any of that?) + waste vegetable oil (or tallow) = Second Generation Renewable Diesel
Here come the Finns, one tank of renewable diesel will get you from sea to shining sea.

When that Iran deal goes through Gas will be back 2.00 and below, that is Investors, and Political taxes not withstanding.

EBGuy says

Here come the Finns, one tank of renewable diesel will get you from sea to shining sea.

Diesel engines are undoubtedly a big part of the solution when it comes to reducing oil consumption.

Well the problem is you don't take a barrel of Oil and produce a barrel of Diesel.
What do you then do with the Petrol?

You do realize we have the car today because JDR, approached Ford to build an engine to burn the byproduct waste of creating Kerosene and Oil based lubricants.
Not because he wanted to ramp up production of Gasoline, but because he had no to put it, and no other practical use for it, or no way to not produce it, every Oil refining treatment.

CaptainShuddup says

You do realize we have the car today because JDR, approached Ford to build an engine to burn the byproduct waste of creating Kerosene and Oil based lubricants.

Not because he wanted to ramp up production of Gasoline, but because he had no to put it, and no other practical use for it, or no way to not produce it, every Oil refining treatment.

Cap you are once again the world champion in the category of weird history. Otto invented the 4 cycle engine in 1876 (henry ford was 13) , perhaps that's why it's called the otto cycle engine. The first practical car powered by a gasoline otto cycle engine was by Karl Benz (name ring any bells for you? hint, think car manufacturing in germany) in 1889. Ford was shoveling cow poop on the family farm at the time.

Gasoline wasn't a very big byproduct of early refining processes. When demand went up new refining processes (thermal cracking then catalytic) were invented to get more gasoline yield.