Economics - Crude Oil Market Analysis - 3070 Words

A PROJECT REPORT ON DEMAND, SUPPLY amp; ELASTICITY OF CRUDE OIL SUBMITTED BY Group -5 Karan Chopra (2012137) Manik Grover (2012155) Manish (2012156) Nancy Pande (2012178) Nayan Sharma (2012182) Nitya Agarwal (2012188) Introduction Crude oil is a naturally occurring substance (i.e., â€Å"Fossil Fuel†, formed from organic remains over a period of millions of years) found in certain rock formations in the earth. It is a dark, sticky liquid which, scientifically speaking, is classified as a hydrocarbon. Crude oil is highly flammable and can be burned to create energy. Derivatives from crude oil make an excellent fuel. Measuring Crude Oil Crude oil is measured in barrels. When crude oil first came into large-scale commercial use in the United†¦show more content†¦The dollar lost approximately 14% of its value against the Euro from May 2007 to May 2008, and the price of oil rose 96% in the same time period. Demand pressures on oil have been strong. Global consumption of oil rose from 30 billion barrels (4.8Ãâ€"109 m3) in 2004 to 31 billion in 2005. These consumption rates are far above new discoveries for the period, which had fallen to only eight billion barrels of new oil reserves in new accumulations in 2004. In 2005, consumption was within 2 million barrels per day (320Ãâ€"103 m3/d) of production, and at any one time there are about 54 days of stock in the OECD system plus 37 days in emergency stockpiles. Besides supply and demand pressures, at times security related factors may have contributed to increases in prices, including the War on Terror, missile launches in North Korea, the Crisis between Israel and Lebanon. Nuclear brinkmanship between the US and Iran, and reports from the U.S. Department of Energy and others showing a decline in petroleum reserves. Another factor in oil price is the cost of extracting crude. As the extraction of oil has become more difficult, oil’s historically high ratio of Energy Returned on Energy Invested has seen a significant decline. The increased price of oil makes non-conventional sources of oil retrieval more attractive. Effects of rising oil prices World consumption of primary energy by energy type in terawatts (TW), In the past, the price of oil has led to economicShow MoreRelatedThe Core Concepts Of Economics1241 Words   |  5 Pagesthe core concepts of economics. Demand states the quantity of a product one requires to fulfill his needs at particular price stand. On the other hand supply refers market offering of a product at specific price level. There are numerous constituents that affect the Demand of a product. 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Without access to seaports, Alberta andRead MoreThe Critical Value Of Crude Oil1681 Words   |  7 Pages Final Project: Forecasting – Crude Oil The Critical Value of Crude Oil Prices Oil is the world economy’s most important source of energy and is therefore critical to economic growth. At its most basic level, the supply of crude oil is determined by the ability of oil companies to extract reserves from the ground and distribute them around the world. Its value is driven by demand for refined petroleum products, particularly in the transportation sector. Petroleum products power virtuallyRead MoreFactors Affecting Price of Crude Oil and Natural Gas1355 Words   |  5 Pages　　　　Factors Affecting Price of Crude Oil and Natural Gas Introduction Over the last few years, the prices of crude oil and natural gas have depicted turbulent rising and falling trend. Changes in these prices are largely determined by supply and demand factors in the global market. The recent financial crisis that occurred in 2008 and 2009 displays poor economic conditions that have led to reduced demand of oil due to poor economic activities among many countries. Presently, the world economy isRead MoreArticle Analysis Paper1275 Words   |  6 PagesArticle Analysis Paper The United States consumes more than 25% of the world’s petroleum products which is a large percentage, considering only 3% of the world’s oil reserves are produced by the United States. Given the demand for petroleum products such as gasoline, understanding why Crude oil prices have skyrocketed in recent years, is not hard. According to the article â€Å"Ending America’s Oil Addiction,† the surge in crude oil prices can be reduced in large part to the simple concepts of supplyRead MoreThe Oil Sands Of Alberta1194 Words   |  5 Pages Alberta Oil Industry EC239 section C Instructor: Sharif Khan GROUP MEMBERS Jiayu Weng 133004040 Liang Zhang 114161410 Jingsong Sun 114161870 Brent Bogdon 130177700 Thurairajah Thilakxshan 130937440â€Æ' I. INTRODUCTION The Oil Sands of Alberta have been a scene of controversy since the commercial production of oil began there in 1967. The Oil Sands are underground deposits made up of a mixture of sand, water, clay, and bitumen (1). The oil extracted from these reserves in Alberta is an integral sourceRead MoreSwot Analysis Of Gazprom784 Words   |  4 Pagesplayers in the oil market. It is engaged in all the activities: exploration, production, transportation, storage, processing, and marketing. Gazprom generally operates in Russian market and delivers its products to Central Asia and Europe. Gazprom operates in the next segments: production of gas and crude oil; transportation; storage; distribution; refining; electric and heat energy generation and sales; and other (Market Line). The activities related to the improvement of the company s oil reserves areRead MoreExportation Of United States Crude Oil Embargo Act ( Worstall )1401 Words   |  6 PagesExportation of United States’ crude o il has recently become a major topic of debate due to enhanced oil discovering techniques. These new production and extraction methods have been developed to fully produce reservoirs across the country. Since 1973, the United States’ government has placed rigid restrictions on the exportation of crude oil produced within the country (Johnson). These restrictions have prohibited the sale of U.S. crude oil to foreign markets (with some exceptions). President RichardRead MoreSupply And Demand Of Gasoline849 Words   |  4 PagesGasoline is produced by a distillation process where crude oil is heated and fumes are captured and converted into many products such as kerosene, jet fuel, and gasoline to name a few. Therefore the price of crude oil, which is extracted from oil wells beneath the earths surface, is a major factor in gas prices. The five leading oil-producing countries and their approximate shares of the world supply of oil are: Soviet Union 21%, Saudi Arabia 17%, The Un ited States 15%, Venezuela 4%, and Mexico 4%Read MoreOil Gas Price Evolution1625 Words   |  7 PagesWhat Moves the Oil and Gas Price? Why are oil prices and gas prices so dramatically increased in the last view years? Oil and gas price will maintain the current level or rise in the next years because of the world economy, an increased demand on oil and its production costs, the gas demand, and the investment in developing alternative energy sources. How long will the oil reserves last? It is currently estimated that the oil reserves in the United States will last for 20 to 30 years

Importance of the Inferior Vena Cava free essay sample

An essay detailing the essential uses of the system of blood veins called the inferior vena cava. Deep veins in the legs and pelvis join to form a large vein in the back of the abdomen, known as the inferior vena cava, which carry blood from the lower part of the body to the heart. This paper explains how the inferior vena cava is usually a single large vein that forms from many smaller veins in the early stages of development of a human embryo. The importance of this vein is discussed and an examination of health risks if this vein is damaged. The superior vena cava, which is one of the largest veins in the body, works to return blood back to the right atrium from the upper part of the body. We will write a custom essay sample on Importance of the Inferior Vena Cava or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page The inferior vena cava is important for carrying the blood back to the right atrium from the lower part of the body. The inferior vena cava is a large veinabout as big as a broom handlein the abdomen and chest. It drains most of the blood from the legs and abdomen and takes it to the heart. The heart then pumps then pumps it into the tiny vessels of the lungs to get fresh oxygen and then out again into the general circulation.