So the oil is still there just not profitable right now? With the way things are going in the middle east it might be a good investment at today's rates.
Yeah, I was thinking that all it would take would be a shooting war .... oh, wait.
Oil pumped out of the ground in Saudi Arabia was around $20-30/barrel to produce, while oil sands are closer to $70/barrel to produce - and that’s with fracking technologies that made it cheaper.
Yes, it is better to buy from Canada than the Middle East, but customers prefer lower prices in general.
That would be correct. It costs more to extract the oil than it will sell for.
Petroleum extraction in the Arctic region shows the highest breakeven price of $75 per barrel. On the other hand, Middle Eastern countries have the lowest price at $27 per barrel. US shale oil producers have a breakeven price of $65 per barrel.
Saudi is like China, their labor costs are nothing compared to us.