If you read todaythe top 5 oil companies were befor capitol hill today getting grilled...Their answer was their profit margin was only about 9% and thats about on line with most other industries who get the 18 Billion in tax breaks every year....
Let me give this a try. At 9% profit:
When oil costs $50/barrel, the oil company would sell it for $54.50. $4.50 profit.
When oil costs $100/barrel, the oil company would sell it for $109.00. $9.00 profit.
Double the profit, for the same amount of work.
When the price of oil goes up, their profit increases proportionally. Good for them, bad for us.
Yes and consider the 100 million barrels used a day........its a no brainer....
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