At today’s closing prices, crude oil is now trading more than 4x its BTU energy equivalent price relative to natural gas.
If sustained, which we have our doubts, it will interesting to see how this chart develops over the next few years. Note, 87 per cent of current U.S. energy consumption is from fossil fuels.
If not for the bold policy actions during the height of the financial crisis, some, including us, believe we would have seen a big spike in the consumption of wood.
(click here if chart is not observable)