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The oil companies (which usually do refining and distribution too) are NOT going to just quietly fade into the sunset. They are going to do everything they can to push us into using some type of liquid fuel for cars...
Yes -- this is the primary reason why we hear so much about hydrogen-fueled cars.
It's a liquid fuel, and they know how to deal with liquid fuels. Never mind the enormous inefficiencies that come from producing and even transporting the hydrogen, nor the fact that the practical storage technologies to date have no better energy density than Li-ion batteries ; you still get car companies pushing it as the main alternative to gasoline, and also some naive environmentalists tagging along.
... and from their point of view if it is petroleum based, then the upgrading might not even need to happen (oil from shale or coal or algae or plants).
Yes again. The primary source of hydrogen today is natural gas.