🌅 How Much Oil the World Has Left

SOURCE

Rystad Energy

WHAT TO KNOW

• Rystad Energy’s latest outlook shows the world’s total recoverable oil reserves held 1.5 trillion barrels in 2024, down some 52 billion barrels from the group’s 2023 analysis. The total recoverable oil figure, while notoriously difficult to estimate, represents an upper limit of how much oil can be produced over the next century or more.

WHY IT MATTERS

• Right now, the world consumes around 35 billion barrels of oil each year; with about 1.5 trillion barrels left and usage rising by more than 1% each year, some estimates suggest the world could run out of oil in just 47 years. However, that figure suggests growth remains steady at 1%, under a higher growth scenario, the world could run out of oil in 2052, in just under 28 years.

CONNECT THE DOTS

• If that sounds alarming, rest easy, as the lack of recoverable oil reflects a drop in exploration activities spurred by a positive industry shift: electrification. The Rystad analysis suggests investors have slowed oil exploration globally as the ongoing shift toward vehicle electrification has caused a slump in both oil demand and prices.