Due to its high energy density,The force of oil, easy transportability and relative abundance, oil has become the world's most important source of energy since the mid-1950s. Petroleum is also the raw material for many chemical products, including pharmaceuticals, solvents, fertilizers, pesticides, and plastics; the 16 per cent not used for energy production is converted into these other materials. Petroleum is found in porous rock formations in the upper strata of some areas of the Earth's crust. There is also petroleum in oil sands (tar sands). Known oil reserves are typically estimated at around 190 km3 (1.2 trillion (short scale) barrels) without oil sands, or 595 km3 (3.74 trillion barrels) with oil sands.Consumption is currently around 84 million barrels (13.4×106 m3) per day, or 4.9 km3 per year. Which in turn yields a remaining oil supply of only about 120 years, if current demand remain static.A low point was reached in January 1999 of 17 USD per barrel, after increased oil production from Iraq coincided with the Asian Financial Crisis, which reduced demand.oil Prices then increased rapidly, more than doubling by September 2000 to $35, then fell until the end of 2001 before steadily increasing, reaching $40–50 by September 2004.NEW YORK, Aug. 31 (UPI) -- Crude oil prices drifted to more than $96 a barrel Friday in a week that focused on supply concerns.