Oil Prices

jonnybuoy

jonnybuoy

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North Sea crude trading $110/bbl today. Nomura say if Algeria affected (1.5Mb/d exports) then crude goes to $220/bbl. What price diesel do you stop boating (or at least stop longer discretionary trips)?
 
IMHO....i dont think its the price of fuel thats the problom, its all the tax n vat thats added by HM.GOV "bleed em to death" atitude !!!!!...................im in the haulage industry (or whats left of it) so i can see the damage......if it was,nt for east european companies half the shops would be empty!!!!!!!...............moan over........sorry, i supose this reply should be in the "lounge".......PS. its only my boat that stops me going nuts over it.......
 
I suppose the speculators will be jumping on the band wagon and will be forward buying dry cargoes . Dunno how much speculator demand will push up the oil price but i recall reading somewhere it was in the order of US$ 20 a barrel.

As i see it a higher oil price makes a (60/40) diesel engined boat more attractive than a petrol boat
 
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Could be an interesting experiment. Outlaw speculation and see what happens. It's far from unknown to see several tankers sitting off our coast waiting for the oil price to rise in order to give the leeches their/our blood.


Make them actually buy the asset and see how they get on. Any one else see a parallell with the property market?
 
If I didn't actually already own the boat, I wouldn't be looking to buy one. In fairness, I've been in that situation for 3 years or so, but the cost of fuel has had a significant bearing on this. Our patterns of usage has changed so much for us, that the price of fuel increasing further doesn't have quite as much impact - it's already becoming a floating appartment - much to my own disgust!
 
jonnybuoy said:
North Sea crude trading $110/bbl today. Nomura say if Algeria affected (1.5Mb/d exports) then crude goes to $220/bbl. What price diesel do you stop boating (or at least stop longer discretionary trips)?
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No, the analyst hungry for fame and fortune said that the worst case scenario could mean oil might go to $220.
No one gets a headline for saying it might go up $5.
 
beejay190 said:
I suppose the speculators will be jumping on the band wagon and will be forward buying dry cargoes . Dunno how much speculator demand will push up the oil price but i recall reading somewhere it was in the order of US$ 20 a barrel.

As i see it a higher oil price makes a (60/40) diesel engined boat more attractive than a petrol boat
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Dont blame the speculators. Blame the UK govt. The govt takes 20% of every 1p per litre rise in fuel in VAT so they are benefiting from oil price rises too. Not only that but VAT is also charged on the duty element of the fuel cost so you are paying a tax on a tax. Currently, about 70% of the cost of a litre of fuel goes straight into the Treasury coffers so if you are going to point any fingers, point at them
Btw, it seems that every $2 rise in the price of oil results in an extra 1p per litre at the pump
 
gjgm said:
Though I guess a sudden increase of $50 would slash consumption so much there would be a glut ;)
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Yup thats how the theory of price demand elasticity goes but I guess there's a certain base level below which demand wont drop ie essential usage. Whatever happens, it will kill economic growth
 
The World could not resist oil at 100US$+ in 2008, imagine now with the economy still pulling the ropes of that havoc.
We will soon have a supply demand crash again with oil going down to 50.
This speculation issue should be arranged on certain essential items being it food or energy items. That is why the World Global Economy is in this mess in the last decade.
 
Interesting debate.

But turn this away from boats to heating oil for a moment.

My oil tank is nearly empty, and we have a 2500 litre tank to last us over a year.

Do I fill it full now, on the basis it might double in price in the next 6 months?

Or do I buy just a little to last out the rest of the winter on the basis it will halve in the next 6 months?

Crystal ball anyone?
 
Correct me if i am wrong, but oil price has gone up on the assumption that supply will be reduced as a result of the people revolutions in Libya etc. No sign of this yet as far as i am aware - no burning oil fields a la Saddam.

In addition Saudi Arabia can pump a few more barrels if production is curtailed elsewhere.

I don't havea crystal ball - but i would sit tight and defer the full fill for six months
 
"North Sea crude trading $110/bbl today. Nomura say if Algeria affected (1.5Mb/d exports) then crude goes to $220/bbl. What price diesel do you stop boating (or at least stop longer discretionary trips)"

Not a single mention anywhere of perhaps buying a more economical boat next time !
 
oldgit said:
"North Sea crude trading $110/bbl today. Nomura say if Algeria affected (1.5Mb/d exports) then crude goes to $220/bbl. What price diesel do you stop boating (or at least stop longer discretionary trips)"

Not a single mention anywhere of perhaps buying a more economical boat next time !
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A more economical marina would be more effective. Fuel is maybe 30pct of my overall bill.
 
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