OIL PRICE
Presented By Seetharam Neeli MBA-UAM
OIL PRICE FINITE SOURCE HIGH OIL PRICES – Supply And Demand OIL PRICE FUTURES OPEC
OIL PRICE
BREAK-EVEN PRICE
OIL PRICES AFFECT GASOLINE PRICES
PROFITABILITY Profitability =(Price of Oil - Break Even Price) Break Even Price
OIL PRICE
The following table provided by the Bank of Kuwait gathers current reported break-even prices of major oil producing nations:
OIL PRICE
DEMAND, GROWTH AND PRICES
Note that during this period global oil demand growth was 1.6% and economic growth was 3.6% p.a.
INDUSTRY OUTLOOK 160 140 120 100 80 60
Stock Price (Diamond Offshore)
40
Oil Price
20 0 2005
• Share price is driven by oil prices • Extremely high correlation
2008
OIL - NYMEX
Trading unit
Price Quotation
Minimum Price Fluctuation
OIL PRICE
Fair Oil Price of $60 - $80 per barrel would ensure that expensive oil exploration could continue and help to avert price spikes in the future.
THANK YOU ALL…