The figure is based on
the average price of oil from blocks 3 and 7 in Upper Nile State, Sudan for Jan - May 2009 as reported by the Sudanese Ministry of Finance.
It is difficult to find fault with at least its title, considering that
the average price of oil over the preceding 10 years was $ 28 a barrel but rose to $ 45 over the ensuing decade to reach a peak of almost $ 150 in 2008.
«Based on the Saudi current - account balance, Aramco had revenues of $ 160 billion last year from just oil and refined products exports when
the average price of oil was $ 43 a barrel,» Fareed Mohamedi from the Rapidan Group said.
Not exact matches
But van Beurden has been slimming down his portfolio
of oil projects with the intent
of keeping only those lean enough to make good returns in a world in which
oil prices average no more than $ 40 a barrel, well below the
average price over the past decade.
Most North American
oil producers, on
average, require a WTI
price of roughly $ 35 a barrel to break even.
In fact, in the 10 years previous to the January 2011 cut - off
of the graph, Canadian light
oil sold (in Edmonton) at a $ 2 per barrel premium to the
average cost
of U.S. Saudi Light
oil imports because
of our access to premium -
priced markets in the mid-continent.
It also gradually phased out subsidies that kept retail fuel cheap, causing
prices at the pump to climb by an
average of nearly 25 % since 2014, even though global
oil prices fell by as much as 75 % during that period.
A glimmer
of good news: by the final quarter
of 2016,
oil prices were beginning to rebound, pushing the company's
average realized crude selling
price up 4.9 %, to $ 45.97 a barrel.
U.S. stocks have opened the first full week
of 2015 with a steep decline, with the Dow Jones industrial
average dropping 331 points, as falling
oil prices weighed on the energy sector.
The most precipitous real estate crashes in Canada in the past 30 years — Calgary during the 1980s
oil bust and Toronto in the early 1990s recession — resulted in losses
of 25 % to 28 % in the
average price of a house.
Because
of the drama in Saudi Arabia and further extended production cuts planned by the Organization
of Petroleum Exporting Countries (OPEC), Morgan Stanley just raised its forecast for the
price of oil, estimating WTI to
average $ 58 a barrel in the second quarter
of 2018.
Prices of WTI crude
oil, the benchmark grade for North America, have
averaged $ 97.40 a barrel over the last year, 15 % higher than the five year
average.
Brent crude
oil prices in the first three months
of this year
averaged around $ 67 a barrel, leaving last year's $ 54.5 behind as a distant echo
of the
price crash
of late 2014.
For the balance
of 2018, WPX has 57,500 bbl / d
of oil hedged at a weighted
average price of $ 52.82 per barrel; 130,000 MMBtu / d
of natural gas hedged at a weighted
average price of $ 2.99 per MMBtu; and 12,100 bbl / d
of NGL hedged.
World liquids production surplus
of deficit (12 - month moving
average) and Brent
oil price.
For 2019, WPX has 34,000 bbl / d
of oil hedged at a weighted
average price of $ 52.30 per barrel and 50,000 MMBtu / d
of natural gas hedged at a weighted
average price of $ 2.88 per MMBtu.
Underlying the new TD forecast is an
average oil price of price of $ 47 a barrel, compared to an assumption
of $ 68 last December.
Oil prices have already dropped to around $ 80 a barrel and, according to a recent forecast by Goldman Sachs, could
average only $ 75 by the second half
of next year.
Despite huge gains in
oil production, the
average price of a gallon
of gas in the US has set a new record high in each
of the last two years.
The
price of oil has been, on
average, about $ 20 / barrel for the past 120 years, ending this Century.
The government is revising this year's budget, which was drawn up on the assumption that
oil prices would
average $ 48 per barrel, well above the current
price of $ 28.
A strong dollar makes imported goods more affordable for American consumers, while it's estimated that weak
oil prices will put roughly $ 500 into the wallet
of the
average American driver.
The 104 - page OPEC report finds that there will be greater demand for the group's
oil in 2016, with customers consuming an
average of 31.65 million barrels a day throughout the year because the market will be «supply - driven» as competitors, beset by low
prices, continue to cut back severely on capital expenditures ranging from exploration to new drilling.
The report said a
price recovery is expected to cause the most pain among companies drilling in the United States, who rely mostly on hydraulic fracturing, which isn't profitable unless the
average global
price of oil is around $ 60 per barrel.
Russia reaped the benefits
of the
oil price boom starting in the early 2000s,
averaging 7.1 percent GDP for the six years ending in 2008.
The opportunity arose, I argued, because it seemed to me that the
oil environment was finally, in fact, ready to improve —
oil stockpiles were finally dropping below 5 - year
averages and declining steadily, and rig counts were due to decline as well, after so many months
of sub-profitable
oil prices.
Specifically, they relate spot West Texas Intermediate (WTI) crude
oil price to: the U.S. dollar exchange rate versus a basket
of developed market currencies; Dow Jones Industrial
Average (DJIA) return; U.S. short - term interest rate; the S&P 500 options - implied volatility index (VIX); and, open interest in the NYMEX crude
oil futures (as an indication
of financialization
of the
oil market).
Joint cuts
of 1.8 million b / d have reduced OECD
oil inventories towards their five - year
average and cleared most
of the global glut, with the Saudis cutting even deeper than agreed in an attempt to lift
prices well above US$ 80 before selling off shares in Aramco.
Since the March agreement between major
oil producers to cut production,
oil prices have risen sharply; in October the crude
oil price averaged US$ 22.63 per barrel, up from an
average of US$ 12.00 in February.
In recent weeks, the
price of crude
oil has fluctuated around a level close to the June quarter
average.
But the $ 12,480 will now buy 355 less barrels
of oil (down 77 %), 27 less ounces
of gold (down 66 %) and, despite a massive fall in house
prices of 15.8 %, only some 6 percent
of an
average family home (down 33 %).
The Canadian Real Estate Association expects
average house
prices in Alberta, Saskatchewan and Newfoundland and Labrador to fall next year because
of the downturn in the
oil industry.The association is estimating Alberta's
average housing
price will fall in 2016 by 2.5 per cent.
Over the first six weeks
of the year, the Dow Jones Industrial
Average declined 10 %, as the prospect
of interest rate hikes by the Federal Reserve, a slump in
oil prices, and concerns about economic conditions in Europe and China caused the long - running bull market to stumble.
The company's production mix was 65 % natural gas (which had an
average price of more than $ 6 per 1,000 cubic feet, down from $ 7 the prior year) and 35 %
oil and natural gas liquids.
The
average price for a gallon
of unleaded regular shot up 13 cents in just three days last week in response to a spike in crude
oil prices on the global market.
Using «status quo» assumptions for future increases in official national debt and crude
oil, and a collapsing Dow Jones Industrial
Average, (similar to the collapse
of 2008) I created the following graph
of «calculated silver»
prices for the next several years.
The EIA in February reported that Canada pumped an
average of 4.5 million barrels a day in 2015, and predicted this would rise to 4.8 million in 2017 as
oil sands projects under construction when
oil prices began to fall in 2014 come on line.
Currently sitting at around $ 30 - 35 a barrel, the Canadian Chamber
of Commerce's Crystal Ball Report predicts that, with supply set to exceed demand, the
price of oil will likely
average around $ 35 per barrel throughout 2016, before rising back to around $ 55 throughout 2017.
The investment bank expects
oil prices to
average $ 55 per barrel in the first half
of 2017, up sharply from the previous estimate
of $ 45 to $ 50.
Crude
oil prices are clearly trading above their 20 and 100 - day moving
average as this has now become one
of the strongest trends in 2018 as I think this will start to support the precious metals and the agricultural market down the road.
Since 2009, the share
prices of the world's top five publicly traded
oil and gas companies have posted less than a fifth
of the gains
of the Dow Jones Industrial
Average.
For all their official production measurements, OPEC uses an
average of estimates from six «secondary sources», namely the International Energy Agency (IEA), the
oil -
pricing agencies Platts and Argus, the U.S. Energy Information Administration (EIA), the
oil consultancy Cambridge Energy Research Associates (CERA) and the industry newsletter Petroleum Intelligence Weekly, as an impartial adjudicator as to whether their output quotas and production cuts are being met, to resolve any potential disputes that could arise if each member reported their own figures.
However, the fact that the
average quantity
of frack sand used per well has more than doubled in recent years — which has helped lower the breakeven
price of U.S. shale
oil — should help insulate the industry from the worst
of the
oil crash.
That is based on a forecast that the
price of oil will
average $ 85 per barrel.
In the summer
of 2014,
oil prices in North America
averaged around $ 100 a barrel.
This, in spite
of crude -
oil prices averaging about $ 43 per barrel during the year, which is very close to all - time lows for the commodity.
For this estimate, the RBI has assumed an
average oil price of $ 68 per barrel.
Already Buhari has started giving excuses for the abysmal performance.He attributed the quagmire to drop in the
price of oil globally and cleverly laid the blame on the doorsteps
of all Nigerian accusing them
of relying solely on
oil.All renowned rating agencies including fitch continue to downgrade Nigeria ever since Buhari took over and it is projected that Nigeria will not be able to repay its debt obligations.Fitch for instance downgraded Nigeria's longterm foreign currency issuer default rating to B + from BB - and longterm local currency IDR to BB - from BB.The general position expressed by almost all the Briton wood institutions is that Nigeria's fiscal and external vulnerability has worsened under Buhari and it is projected that the government's general fiscal deficit could grow up to 4.2 % by the end
of 2016 after
averaging 1.5 % under the previous regime.A recent capital importation report by Nigeria Bureau
of Statistics confirms that, last year, the country recorded total inflow
of capital into the economy stood at $ 9.6 billion which was a 53 % drop from previous year and the lowest recorded total since 2011.
Energy was at the centre
of the 2006 G8 when the Russian - Ukrainian gas crisis hit Europe and
oil prices reached $ 50 per barrel for the first time (a threshold now long forgotten, in 2012 the
average price is stood at about $ 112 per barrel).
Many
oil or mineral rich monarchies or authoritarian regimes use nationalized / royalty owned
oil and / or mineral wealth to dramatically limit domestic taxation and to fund a welfare state for
average citizens, sometimes with straight cash dispersals, sometimes with heavily subsidized
prices for certain essentials
of life, and sometimes by heavily subsidizing services like health care and education.