Oil prices

Discussion in 'Current Affairs, News and Analysis' started by Tankiebootneckdad, Nov 20, 2008.

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  1. If a thread has already been posted I apologise; However, having just read the BBC and Sky news websites, I see that oil is at its lowest price, (per barrell), for three years.

    If that is the case, what were we paying for petrol, at the pumps, three years ago?

    I'm sure it wasn't what we are paying now!!!!!

    Can we expect further price drops? I think not. :? :evil:
  2. The oil has dropped but the tax hasn't. I don't expect diesel to go below the £1 barrier again; in fact, having read the link below, I wouldn't be surprised to see another surge in the not too distant future...

  3. I was in Halfords the other day, and Castrol Magnatec was down to £26.99 for 4 litres, if that's an indicator...?

    And you got a 1 litre bottle free.

    :D :D :D
  4. Apparently Azda have reduced the price of their unleaded to 90.9 but, well, one couldn't, what if one's neighbours saw you leaving Azda? That'd be the Rotary up the duff.
    Still, I'm sure the other ranks in their cheap malasian cars will enjoy the benefits.
  5. I'm sorry I disagree, oil is one third the price it was just a few months ago, even with the tax increase, Derv should be back to around 80-90p a litre by now or even lower, the exchange rate hasn't helped as the Dollar rises against Sterling, but even with this taken into account we should still see a 15-20p reduction, unless someone is profiteering?
  6. Halford's are well overpriced at the best of times, I don't go anywhere them.
  7. My point isn't that we SHOULDN'T have a reduction in costs, just that we won't because of, as you point out, people making a dirty profit.
  8. 1.The oil price normally quoted is for oil that will be delivered in 3 months, so the price at the pump should be based on what the price of crude was 3 months ago.

    2.The oil price is quoted in dollars, we pay in pounds, the pound has fallen against the dollar. To make a reasonable comparison you have to calculate the price of crude in pounds, using the exchange rates at the different times.
  9. I know what you mean bubby, but with the 1 litre bottle being free, the 5 litres that I needed for my Gas Guzzlers annual service was cheaper than anywhere else, the local motor factors was much dearer.

    Can't wait for the VED to reach £455 per year, that'll mean that I have more rights to be on the road than some Lentil-soup eater in there C1
    :D :D :D :D :D
  10. Have a butchers at this and then do the sums.
  11. Assuming £1 / litre pump price, 65p is tax for HMG and 35p to the seller. How much of that 35p goes towards transporting the oil around the world, refining it, marketing it, transporting to the forecourt and paying all the staff etc etc? Say 8p - including profit margin. That means the raw commodity makes up 27p of the pump price at £1/litre.

    90p/litre forecourt equates to about $60 a barrel.
    £1/litre forecourt equates to about $90 a barrel.

    Pump prices likely to rise as Saudis need about $65 a barrel to pay for their spending plans. Expect Saudis to announce major cut in production to push the price up again to this level.
  12. elovabloke

    elovabloke LE Moderator

    The Government have no interest in the price of fuel at the pump going down.

    You will see them starting to shout at the oil company's just as the price starts to shoot up again.
  13. OPEC ! Oh yes they will announce a Cut but every member expects the other man to cut not themselves.
  14. Crude has dropped to $49 a barrel, or £34 for around 159 litres, thats 21p per litre. I know we don;t get 159 litres of petrol or derv, but it produces much more than fuel.
  15. Eh???

    What point are you trying to make? It's not clear.

    How does writing that at $49 per barrel, a litre of crude equates to 21p (at today's exchange rate), help the discussion?

    I thought we were discussing the price of refined petrol at the pump - a price that reflects a crude spot price several weeks past.