sunset

Oil Industry Update November 2020

Our previous blog mentioned ways energy plays a part in our lives. Now, we’ll go more in depth about the oil industry & COVID-19’s impact. As a result, it is becoming more obvious that we don’t need oil as much as we thought so. We will always use it, but maybe it’s time for petroleum to step out of the spotlight. However, the presidential election will have a say on oil’s future. Here’s what major oil companies have to say about the state of their industry.

 Oil’s Current Situation

COVID-19, heightened environmental awareness, and hurricanes have not been kind to the fossil fuel industry. In March, many refineries closed, drastically slowing oil production. July and August brought in a mass amount of hurricanes, destroying rig set-ups. Environmentalists are becoming increasingly concerned about marine oil spills and fracking. CNBC states, “Due to the ongoing impacts of Covid-19, the IEA expects global energy demand to fall by 5% in 2020, with oil and coal consumption falling 8% and 7%, respectively.”

One of Texas’ biggest oil companies, EOG Resources, is determined to make a comeback as they know how crucial oil is for Texas economy. Their stocks are slowly creeping back up, indicating a slow recovery. The Permian Basin is attracting oil business. Right now, oil’s biggest purpose is for vehicles, heating, and producing electricity. So, while oil has dropped drastically, the oil industry is using this time to re-structure business to prepare for less overall production.

Oil Industry Possible Future

It’s quite possible that oil will be replaced by the much more sustainable solar energy. This is due to environmentalism conservative movement and production costs. With that in mind, companies are working towards more safe practices. Drilling is triggering more earthquakes (in Oklahoma) and refineries pollute the air with smoke. Energy experts predict that oil will be replaced by wind & solar energy for electricity production. Meaning, in a few years, oil’s main purpose will just be fueling vehicles and engines. On the other hand, it’s hard to tell. Oil could go right back to pre-March success. After all, oil will always be essential to the energy industry. Here’s more data and statistics explaining petroleum’s projected path to 2050.

 

Oil’s future also depends on the presidential election outcome. Joe Biden is calling for a major decrease in production, as much as cutting it in half. Contrastingly, Donald Trump wants the economy stimulated in any way he can and will encourage oil to continue on. Will oil be able to conquer the election, environmental activism, and the pandemic? Only time will tell, but we do know that oil will likely never go back to the height it was at pre-March, but it will never completely phase out either.

 

Interesting in marketing services? Contact Redwood Creative today!

 

Energy Footprint

How To Reduce Your Energy Use

It’s the hottest time of the year. The electric bill skyrockets as we try to keep cool in the near 100 degree weather. While you should always not waste energy resources, now is the best time to reduce energy use. This is because the heat makes your appliances work harder, using even more energy, and run the risk of overheating. This includes running the AC on high. Thus, your electricity bill increases even more so. Also, heat worsens air pollution. We recommend at the very least to reduce your energy use during peak heat hours of the day, between 3-6 PM. The smallest effort could lead to a lower electricity bill and cleaner air.

 

How you can make a difference

Start by turning off lights and unplugging unused chargers and electronics. To reduce energy consumption during peak hours, avoid doing laundry, cooking, or driving. Even turning the temp up a degree or two will help. If there’s any rooms in the house not being used, close the vent and the door. You can use the heat to your advantage- instead of using the dryer, hang your clothes outside to dry. Dryers can eat up a lot of electricity and would only make your laundry room hotter. If you must go out for the day, try to schedule it either before or after the hours of 3-6 PM. This is to help reduce CO2 emissions being cooked into the air. It’s also easier on your car and you wind up saving a little bit of gas.

 

While limiting energy consumption is important during peak hours of the day, consider making it a habit to be more energy-conscious overall. For example, turn off or lower the air when leaving your home for more than an hour. If you have a garage/outdoor freezer, make sure it’s not in the hottest spot, or consider bringing it inside. Influence your peers to make more energy-saving decisions as well. It takes a community to lower air pollution and electricity usage.

Interested in marketing tips? Reach out to Redwood Creative for a quick response!