Wednesday, March 30, 2011
According to Reuters, it has been almost two weeks that Libya can not export any crude oil. Before the Libyan Uprising it can produce 1.6 million barrels of oil per day nearly 2 percent of the world total production. It seems to the clashes will continue much more than prediction that causes a halt on Libyan oil export. Since it is unpredictable at the moment who wins the current situation at Libya, oil firms are will be more unwilling to import crude oil from Libya.
Tuesday, March 29, 2011
Since the efficiency of diesel engines are better than gasoline powered engines, market share of light-duty diesel engines are increasing. However increasing diesel consumption causes diesel prices increase more than gasoline prices. A question in my mind does using diesel powered light-duty engine will be no more cheap at future? Here are some figures historical diesel and gasoline and diesel prices. The time base is 1979 and 2011. The real price for gasoline was 2.62$ at 1979, now(2011 Jan) it is 3.56 $ which gives us a %35 increase at gasoline retail prices. On the other hand, The real price for diesel was 2.39$ at 1979, now(2011 Jan) it is 3.81 $ which gives us a %59 increase at gasoline retail prices. Gasoline retail prices are 23cent higher at 1979, but now it is 25 cent cheaper.
Monday, March 28, 2011
Since the rapid advance of rebel fighters at Libya, oil town Brega is captured. The US Treasury has given the green light to sales of Libyan crude oil from rebel-held territory, saying rebels are not part of Col Gaddafi's regime and therefore are not subject to US sanctions, AP news agency reports.UAE steps in to help make for lost Libya output, which causes a fall for crude oil futures.
Peak oil is the point in time when the maximum rate of global petroleum extraction is reached, after which the rate of production enters terminal decline. The real question is when? There is not only one answer yet. Since there are billion of dollars for the petroleum industry in which nearly whole system is based on oil, the impacts are inevitable.