Oil could fall to $10
A barrel is as cheap as it was in 2004, but that won’t mean much at the pump
How the price of oil an# petrol has change#
PRICE OF BRENT CRUDE OIL
JAn 1 2004
JAn 1 2006 Oil price in 4ollAr per EArrel Oil price in rAn4 per EArrel Petrol price in rAn4 per litre
JAn 1 2008
JAn 1 2010
JAn 1 2012 PRICE OF 93 OCTANE PETROL IN SA IN RAND PER LITRE
JAn 1 2014
R12.09 JAn 1 2016 GrAphics24 they do not want to give up their market share.”
This means that when Iran begins exporting oil again to the tune of 1.5 million barrels a day – the level it produced before the sanctions – it will flood the market and worsen the current oversupply of oil.
“Saudi Arabia can operate their current oil rigs at prices as low as $7 per barrel without having to make an operating loss. US shale gas producers can only operate at up to $20 a barrel and, therefore, many people expect that oil prices will only drop to $20 per barrel before they start rising again,” he said.
PARTY A pump jack operates in an oilfield near
Corpus Christi, Texas, in the US. Crude oil prices slid to their lowest levels since December 2003 this week as turbulence in China, the world’s biggest energy consumer, prompted renewed concerns about the strength of