Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : A.I.M Users Group Bulletin Board -- Ignore unavailable to you. Want to Upgrade?

To: Julius Wong who wrote (5199)	7/28/1998 9:37:00 AM
From: JZGalt	Read Replies (1) \| Respond to of 18928

Julius, I have no idea of the exact number, but the production of oil cannot be $16/bbl. That would mean that every country in the world that is producing oil is losing money for the last 6-8 months. I would point out that the difference might be that the exploration and finding of the first drop of oil from the field is very high, but afterwards production is relatively cheap. Analysts talk about the tipping point for oil at the $15/bbl for exploration and production companies. If oil is above $15/bbl, then it is viable to drill, below that it isn't. This is quite different than the cost of "production". ---- Dave