By the time the president made the decision, oil prices were so low that the «unlikely»
low oil price scenario in the State Department Environmental Impact Statement (EIS)-- where oil prices fell below $ 75 a barrel — had actually come to be and thus there was no shying away from the fact that the pipeline would cause the equivalent of over 6 million passengers cars worth of carbon pollution every year for at least 50 years.
Not exact matches
The facts are not right here, energy is cheap that means the cost of manufacturing and transporting of goods is
low, food and consumers staples already more affordable, so what if a few American
oil companies going out of business.the cost of producing
oil in middle east is less than $ 10 / bl and we were paying more than $ 140 / bl for it, with that huge profit margin the big
oil companies and
oil producing nations became richer and the rest of us left behind, with the
oil price this
low the
oil giants don't want to reduce the
price at pump even a penny, because they are so greedy.worst case
scenario is some CEOs bonuses might drop from $ 20 million to $ 15 millions I am sure they will survive.in terms of the stock market it always bounces back, after all it's just a casino like game.
The report does envision
scenarios in which
oil sands development is curbed by a combination of
lower oil prices and a lack of pipeline capacity.
With
lower prices forcing many
oil companies to take on more debt, the bankruptcy or closure of one or more major
oil companies is not an impossible
scenario, and would have major repercussions on
oil prices, both in the short and long term.
EIA explores the impacts of alternative assumptions about
oil prices in a
low -
oil -
price scenario and a high -
oil -
price scenario.
US Economy Keeps Rolling The US economy benefits significantly from
lower oil prices and is currently in a kind of «goldilocks»
scenario: The recovery has firmed while receiving a boost from
lower oil prices; those
lower oil prices are helping keep inflationary pressures muted, thus allowing the Federal Reserve to maintain very
low interest rates.
In a possible
scenario of 1) years of
low oil prices 2) a significant portion of trade in
oil not paid in US$ and 3) the Chinese unwilling to stack away more US$ the world's perception on the worth of the US$ might change rather early.
Overall, companies are worth 20 % less in the 450
scenario than the NPS, largely as a result of a
lower oil price assumption.
The IEA do assert however, that in a 450
scenario, the risk of stranded assets is higher because of a combination of falling demand and
lower prices, something that will mean
oil «companies are valued less».