The Guardian published a report today on possible further cuts to OPEC oil production.
The 2019 oil prices varied from $55 to $75. (1) The 1950 oil prices were about $28. In 2019 dollars, that’s $300. So the 2019 prices are between 1/6 and 1/4 of the 1950 prices.
Verily, “oil is sloshing around” the world (See Offloading the Risk). No wonder ARAMCO is going public. At such low prices their profits must be tanking.
And with such cheap oil, the incentive to convert to renewables is reduced. That’s not good.
(1) See this page on Macrotrends. Since the latest prices is shown in current dollars, the chart is not adjusted for inflation. The highest price shown is $164.64 in June 2008, or $18 in 1950 dollars, about 65% of the 1950 price.
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