Will The EV Hype Actually Help The Oil Business?

14 Jul 2017   Electric Cars

Then France amped up the newswire by switching on a ban: No more combustion car sales by 2040. To cap off a trilogy of electric vehicle (EV) proclamations, Elon Musk lit up the twitter feed with a photo of Tesla Motor’s first Model 3 production car. Oil companies and investors should take note. These announcements are impacting the industry and will increasingly do so. But it’s not because electric cords are going to replace pump hoses anytime soon. The demand for oil is as robust as it’s ever been, thanks to barrels that are priced 60 percentage lower than they were three years ago; the linkage of petroleum to the world economy is actually strengthening not weakening. But it doesn’t matter. EV mania is affecting the psychology of investors who finance oil assets, services and infrastructure. Fog lights of reason are finding it increasingly difficult to see the future […]

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