Oil Reserves

A study says global oil reserves will be exhausted within 90 years. Ironically, when it comes time replacement technology resources that can not be refurbished are expected not ready.

Theory of a study conducted by UC Davis, the new campus in California, U.S., based on estimates of the share price will fall closer to that time.

The prediction comes after a survey done on a number of long-term investors, which they regarded as the best predictor of when the new alternative energy technologies will successfully become the new energy substitution.

"Our findings suggest that renewable energy is a reliable and independent, at least prior to the time foreseen," said head of research Debbie Niemeier, Friday, November 11, 2010.

The study team uses market capitalization (market cap) as a reference, based on stock prices and dividends of oil companies that have public equity and alternative energy companies.

"Sophisticated investors tend to give up the effort of collecting, processing, and information about future cash flows on securities firms," says Niemeier.

"As a result, estimates of future market, which represents the consensus prediction of most investors, relatively accurate," he said.

Niemeier said the results show about renewable energy forecast was not ambitious enough to prevent its impact on society at large, economic development, and natural ecosystems.

"We need a very strong global policy to encourage development of alternative technologies together for the earth and its contents can survive," said Niemeier.