maximax

Analyst: Oil Prices Inflated by 50%

don't know what the price was when that interview was made but cannot agree to the 50% statement base on, say, a $100/bbl price. oil production cost inflation and opec countries' budget inflation as well as expensive tar sands and to some extent biofuels becoming an important supply source have brought up the cost floor to not much lower than we are right now, say $80-90, below that, KSA and tar sands output will react quite significantly.