 |
|
| Science Forum Index » Economy Forum » Oil profits: rent? |
|
Page 1 of 1 |
|
| Author |
Message |
| Dan in Philly |
 Posted: Sun Nov 20, 2005 9:40 pm |
|
|
|
Guest
|
I almost hate to ask this in this group - could lead to a lot of
monologues - but maybe someone knows the answer:
Oil companies have made big profits lately. How much of that is due to their
owning oil wells? (as opposed to profits from refining, transporting, etc).
Citations would be appreciated; I googled but couldn't find anything. TIA.
Dan in Philly |
|
|
| Back to top |
|
|
|
| Mark Monson |
| Posted: Sun Nov 20, 2005 10:39 pm |
|
|
|
Guest
|
Dan in Philly wrote:
[quote:2e0744eb90]I almost hate to ask this in this group - could lead to a lot of
monologues - but maybe someone knows the answer:
Oil companies have made big profits lately. How much of that is due to their
owning oil wells? (as opposed to profits from refining, transporting, etc).
Citations would be appreciated; I googled but couldn't find anything. TIA.
Dan in Philly
[/quote:2e0744eb90]
Imagine the oil companies owned all the drilling, transporting, and
refining equipment, but not the oil fields. Who would reap the greatest
windfalls, the oil companies or the oil field owners?
MM |
|
|
| Back to top |
|
|
|
| Guest |
| Posted: Mon Nov 21, 2005 12:23 pm |
|
|
|
|
On Sun, 20 Nov 2005 21:40:48 -0500, "Dan in Philly" <djr8@aol.com>
wrote:
[quote:985237e357]Oil companies have made big profits lately. How much of that is due to their
owning oil wells? (as opposed to profits from refining, transporting, etc).
[/quote:985237e357]
Very difficult to say, as much of the profits may be due to local
differences in elasticities, inventory adjustments, etc. and will to
some extent be balanced by lower profits before and after the price
spike.
-- Roy L |
|
|
| Back to top |
|
|
|
| Ron Peterson |
| Posted: Tue Nov 22, 2005 10:26 am |
|
|
|
Guest
|
Dan in Philly wrote:
[quote:8e82a67437]I almost hate to ask this in this group - could lead to a lot of
monologues - but maybe someone knows the answer:
Oil companies have made big profits lately. How much of that is due to their
owning oil wells? (as opposed to profits from refining, transporting, etc).
Citations would be appreciated; I googled but couldn't find anything. TIA.
[/quote:8e82a67437]
The Yahoo Industry Browser has the following information on return on
equity
Independent Oil & Gas - 23.80
Oil & Gas Drilling & Exploration - 18.30
Oil & Gas Equipment & Services - 16.40
Oil & Gas Pipelines - 11.70
Oil & Gas Refining & Marketing - 30.90
Looking at Valero with a 30% ROE, I think that refining is the most
profitable part of the energy business now.
--
Ron |
|
|
| Back to top |
|
|
|
| Dan in Philly |
| Posted: Thu Nov 24, 2005 5:24 pm |
|
|
|
Guest
|
"Dan in Philly" wrote in message ...
[quote:c60968e80a]Oil companies have made big profits lately. How much of that is due to
their owning oil wells? (as opposed to profits from refining,
transporting, etc).
[/quote:c60968e80a]
I checked the balance sheets of Exxon and BP (via yahoo) to see if any
assets increased tremendously inn value over the past couple years. None
did, so either they have no oil wells (or very few), or they don't mark to
market.
I'm just surprised that any firm can make big profits on the intermediate
steps (refining, transportation). I thought the oil well owners would
extract all profits by raising the price of crude.
Dan in Philly |
|
|
| Back to top |
|
|
|
| zzbunker |
| Posted: Fri Nov 25, 2005 3:50 am |
|
|
|
Guest
|
Dan in Philly wrote:
[quote:f7213e1466]I almost hate to ask this in this group - could lead to a lot of
monologues - but maybe someone knows the answer:
Oil companies have made big profits lately. How much of that is due to their
owning oil wells? (as opposed to profits from refining, transporting, etc).
[/quote:f7213e1466]
none of it. Since the idiots are like economists and MBAs, not a
technolically advanced
type of civilization. The only thing the idiots own are hummvees,
Sears Welding Equipment. and drilling rigs.
They don't even own oil rigs or computers.
[quote:f7213e1466]
Citations would be appreciated; I googled but couldn't find anything. TIA.
[/quote:f7213e1466]
Oil Compines only make any profit, because
plastic surgeons a profit, not because Bush makes a profit.
So there is no citation.
> Dan in Philly |
|
|
| Back to top |
|
|
|
| Ron Peterson |
| Posted: Fri Nov 25, 2005 9:29 am |
|
|
|
Guest
|
Dan in Philly wrote:
[quote:20d47c29b9]"Dan in Philly" wrote in message ...
Oil companies have made big profits lately. How much of that is due to
their owning oil wells? (as opposed to profits from refining,
transporting, etc).
I checked the balance sheets of Exxon and BP (via yahoo) to see if any
assets increased tremendously inn value over the past couple years. None
did, so either they have no oil wells (or very few), or they don't mark to
market.
[/quote:20d47c29b9]
http://bigcatchronicles.blogharbor.com/blog/_archives/2005/5/9/663449.html
lists the oil reserves of various countries/companies.
[quote:20d47c29b9]I'm just surprised that any firm can make big profits on the intermediate
steps (refining, transportation). I thought the oil well owners would
extract all profits by raising the price of crude.
[/quote:20d47c29b9]
The price of crude is going to be limited by the cost of discovery and
the possibility of extracting oil from the oil sands.
--
Ron |
|
|
| Back to top |
|
|
|
| The Trucker |
| Posted: Sat Nov 26, 2005 2:20 pm |
|
|
|
Guest
|
"Ron Peterson" <ron@shell.core.com> wrote in message
news:1132928948.092878.156170@f14g2000cwb.googlegroups.com...
[quote:7806bf5785]
Dan in Philly wrote:
"Dan in Philly" wrote in message ...
Oil companies have made big profits lately. How much of that is due to
their owning oil wells? (as opposed to profits from refining,
transporting, etc).
I checked the balance sheets of Exxon and BP (via yahoo) to see if any
assets increased tremendously inn value over the past couple years. None
did, so either they have no oil wells (or very few), or they don't mark to
market.
http://bigcatchronicles.blogharbor.com/blog/_archives/2005/5/9/663449.html
lists the oil reserves of various countries/companies.
I'm just surprised that any firm can make big profits on the intermediate
steps (refining, transportation). I thought the oil well owners would
extract all profits by raising the price of crude.
The price of crude is going to be limited by the cost of discovery and
the possibility of extracting oil from the oil sands.
[/quote:7806bf5785]
The price of crude is limited only by the amount people are
willing/forced to pay and the price of alternatives they have to
the use of oil.
--
"I know no safe depository of the ultimate powers
of society but the people themselves; and
if we think them not enlightened enough to
exercise their control with a wholesome
discretion, the remedy is not to take it from
them, but to inform their discretion by
education." - Thomas Jefferson
http://GreaterVoice.org |
|
|
| Back to top |
|
|
|
| Dan in Philly |
| Posted: Mon Nov 28, 2005 7:31 am |
|
|
|
Guest
|
"Ron Peterson" <ron@shell.core.com> wrote in message ...
[quote:02d62acdd7]http://bigcatchronicles.blogharbor.com/blog/_archives/2005/5/9/663449.html
lists the oil reserves of various countries/companies.
[/quote:02d62acdd7]
Thanks Ron, this is just what I was looking for. |
|
|
| Back to top |
|
|
|
| Jim Blair |
| Posted: Fri Dec 02, 2005 2:11 pm |
|
|
|
Guest
|
"Dan in Philly" <djr8@aol.com> wrote in message
news:438133e7$1_1@alt.athenanews.com...
......
[quote:0f58c35397]Oil companies have made big profits lately. How much of that is due to
their
owning oil wells? (as opposed to profits from refining, transporting,
etc).[/quote:0f58c35397]
......
[quote:0f58c35397]
Dan in Philly
[/quote:0f58c35397]
Hi,
Just some comments. Our governor is currently asking oil company CEO's
about those "big profits".
Turns out that the oil company profits are about in line with other
corporations and other industries.
Don't compare the dollars, but the percent return on investment on an annual
basis. Oil companies make a lot of dollars in profits because they are big
corporations with a lot invested.
A recent letter pointed out that regulated utilies in Wisconsin are given a
larger return rate on investment than the oil companies typically earn, and
they are monopolies. We even have a "minimum mark up" law in Wisconsin that
ensures that gas stations get a higher return on the gas they buy than the
profit margin that the oil companies typically have.
When gas prices peaked at the end of summer, someone suggested that the
minimum markup law be suspended so filling stations could lower their prices
and compete with each other. But that was rejected, as was a proposal to
suspend the state gasoline tax.
Of course, if your concern is for the environment, the higher the price of
gas, the better. When gasoline was over $3 per gallon, I even saw a few
more people riding the bus and I was no longer the only one riding a bicycle
to work.
,,,,,,,
_______________ooo___(_O O_)___ooo_______________
(_)
jim blair (jeblair@wisc.edu) Madison Wisconsin USA.
This message was brought to you using biodegradable
binary bits, and 100% recycled bandwidth. For a good
time call: http://www.geocities.com/capitolhill/4834
No animals were harmed in making this post |
|
|
| Back to top |
|
|
|
|
|
All times are GMT - 5 Hours
The time now is Sat Nov 28, 2009 1:21 am
|
|