But some oil producing countries are hurting more than others. In the United Kingdom, it costs $52.50 to produce a barrel of oil — which is trading right now around $42. Oil production in Brazil costs nearly $49 per barrel. Production costs around $41 a barrel in Canada.
How much does it cost to produce a barrel of crude oil?
For instance, while it costs an average of $8.38 to produce a barrel of crude oil in Saudi Arabia, it costs Iran and Iraq about $9.08 and $10.57 respectively. According to the Group Managing Director of the Nigerian National Petroleum Corporation, Mele Kyari, it costs Nigeria about $17 to produce a barrel of crude oil.
How much does it cost to produce a barrel of oil by country?
Comparative cost of production
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How much does it cost to produce a barrel of oil in Alberta?
According to a 2019 economic review document published by the Government of Alberta, “the breakeven [WTI] price for a new stand‑alone mine is currently within the US$75‑85/ bbl range,” while in-situ production is lower, at around US$55 or US$60 per barrel — still way above WTI oil prices as of late.
How much does it cost to produce a gallon of oil?
Recently, that price has ranged between $50 and $70 per barrel, depending on the type of crude oil purchased. With crude oil at these prices, a standard 42 gallon barrel translates to $1.19 to $1.67 per gallon at the pump.
What is the break even price of oil?
According to a 2021 survey, the average oil producer operating in the Eagle Ford oilfield needed WTI oil prices to amount to a minimum of 46 U.S. dollars per barrel in order to profitably drill a new well. This compared to a breakeven price of 17 U.S. dollars per barrel for existing wells.
How much money is a barrel of oil 2021?
(13 May 2021) Brent crude oil prices will average $62.26 per barrel in 2021 and $60.74 per barrel in 2022 according to the forecast in the most recent Short-Term Energy Outlook from the US Energy Information Administration (EIA).
What is the lowest oil price ever?
The next day, Brent crude oil, another global crude oil price benchmark, fell to $9.12 per barrel (b), its lowest daily price in decades.
Why is Alberta oil price so low?
The oil Alberta produces is simply of a lower quality than Brent or WTI, and is located further away from customers. But it’s also important to note that price discounts are impacted by Alberta’s access to markets. The easier it is to move our oil to refineries around the world, the less the price discounts will be.
Why Canadian oil is so cheap?
Canadian heavy crude has become so cheap that the cost of shipping it to refineries exceeds the value of the oil itself, a situation that may result in even more oil-sands producers shutting operations. … Synthetic crude, produced from oil-sands bitumen that’s been run through an upgrader, fell to $9.56 a barrel.