According to President Obama, oil prices will go much higher. It is just a matter of time, he says. This is what Mr. Obama told the audience during North American Leader’ Summit, which took place not so long ago in Ottawa, Canada.
The American president is convinced that crude oil prices is definitely going to get more and more expensive over time because this is a limited resource and it is being exhausted while the very oil production costs are getting more expensive.
That’s is why President Obama urges other nations to invest in green energy. He reminded the summit participants that technology is improving and now solar energy is getting a crucial part of the global energy sector. Wind power, water power, and bioreactors are still lagging behind solar power but those energy sources are also getting more important.
Eventually the leaders of the USA, Mexico, and Canada agreed to partner in the field of preserving the environment. Within the scope of this partnership, they are planning to increase the share of green energy all the way up to 50% of the entire volume of energy generated in North America by 2025.
In December 2015, 196 (195 counties and the E.U) U.N. members signed a climate agreement, which is designed to cut the discharge of the so-called “greenhouse gases” into the atmosphere. This is a huge step towards a cleaner environment.
As for oil prices, it is necessary to say that they are still going to be influenced by several factors such as shale oil production. Masterforex-V Academy experts say that as soon as the price of crude oil get high enough to make shale oil production profitable, U.S. and international shale oil producers will instantly regain their activities to quickly leading to overproduction and excessive oil inventories leading to lower prices. This means that if oil prices go higher, they are not going to stay there for too long.
At the same time, the modern motor industry is on the verge of radical changes. More and more auto brands are coming up with their electric vehicles. And even more of those brands yet to come and change the entire industry while reducing the overall supply of crude oil. At the same time, scientists are definitely going to find new alternative energy sources to supply us with cheaper and cleaner energy for decades and centuries to come.
