[JasonC]

It is stupid, sorry. Present value. Oil now is worth a lot more than oil later. The price would have to rise 7% per year to break even. No it won't remotely pay the interest. Besides, crude oil is only worth using in the first place because it cheap. You can make oil out of coal synthetically for about $100 a barrel.

[Eric in the Ozarks]

Contango. If I can sell my oil for a higher price tomorrow, what do I want to do today ?