PEAK OIL: Be warned: $25 oil is coming, and along with it, a new world order.

“Oil demand will peak 2021-2020 and will go down 100 million barrels, to 70 million barrels within 10 years. And what that means, the new equilibrium price is going to be $25, and if you produce oil and you can’t compete at $25, essentially you are holding stranded assets,” Seba said.

“At $25 a barrel, that means deep-water, sands, shell oil, fields, most are going to be stranded, and also all the refineries and pipelines associated with these expensive oils are also going to be stranded. And that is going to reshape worldwide oil, geopolitics and so on.”

It’s a big call, right? But if you look at what’s behind Seba’s premise, surprise, surprise, it comes down to money.

He says we are not going to stop driving altogether, just switch to self-drive electric vehicles, which will become a much larger part of the sharing economy. And these electric vehicles are going to cost less to both buy and run.

“The day that autonomous vehicles are approved, the combination of ride hailing, electric and autonomous means that it’s going to be ten times cheaper, up to ten times cheaper, to use a robot taxi, transport as a service car, than it is to own a car. Ten times.”

His cost-savings projections seem optimistic, but I certainly wouldn’t complain about $25 oil.