Oil is like diamonds. Supposedly always running out.
I contend that Oil is going sub $20 long term.
The physical Gold backed Yuan Oil Contract may well get the blessing following the Chinese party meeting on October 18th 2017. This is an alternative to WTI and Brent Crude Contracts.
China are larger importer of oil. They need a lot of oil. Producers will be paid in Yuan or choose to covert to physical gold bullion. What will happen is gold will become more valuable and oil less valuable. In essence the gold oil ratio dynamic will change dramatically.
