After posting this question, I realized that there was quite a bit of controversy surrounding the use of Hotelling's Rule to estimate the price of oil. Participants on this site seemed to be evenly split on the issue.
From an Economics standpoint, How helpful is Hotelling's Rule in determining the price of oil?
From my analysis, it doesn't make sense that the price of oil should depend on Hotelling's rule instead of the traditional supply and demand models.
For example, when fracking was "new," its use was limited, making the impact on the oil industry negligible. Because the amount of oil produced was small, supply (for the most part) remained constant; businesses would also be incentivized to raise prices to market levels, increasing their profit margins.
However, as fracking became more widely used, the oil entering the market increased, affecting the price of oil (and, originally, causing concern for OPEC).
Years from now, when the Middle East is out of oil, companies will shift to drilling less accessible and more expensive oil, increasing the prices of oil for the consumer. Eventually, the last barrel of the oil will either cost an enormous amount of money or will be worthless because of the rise in substitutes (solar, hydro, and wind power; electric cars).
Thoughts or other analysis?