OIL PRICE AND ITS IMPACT

What Crude Oil

Crude oil is a naturally-occurring substance found in certain
rock formations in the earth.
It is a dark, sticky liquid classified as a hydrocarbon. This
means, it is a compound containing mainly carbon and
hydrogen.
Crude oil is highly flammable and can be burned to create
energy.
Petroleum= Petra (Rock) + Oleum (Oil) (Latin)

IMPORTANCE OF OIL
Gasoline
Diesel
Heating oil
Jet fuel
Bunker fuel

Uses Of Crude Oil

Fibers
Rubber
Plastics
Dyes
Paints

OI

Fertilizers
Pesticides
Medicines
Food additives
Make-up

So can you imagine life without oil?

Detergent
Candles
Photographic film
There are more than 4000 petrochemical
products
3

Crude Oil Production & Consumption

Thousand
Barrels Daily

894

India

3126

Kuwait

Thousand
Barrels

3313

Russia

3646

UAE

3727

India

2875

Mexico

Canad
a

3948

China

4180

4551

Japan

3558

Iran

10756

China

10003

US
Saudi
Arabia

11525

18887

US

10788

Russia

0
0

5000

10000

10000

15000

Source: BP Statistical Review of World Energy 2011

20000

5000
4500
4000
3500
3000
2500
2000
1500
1000
500
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Production in '000 barrel per day

Source: BP Energy Statistics

Consumption in '000 barrel per day

8%

11%
34%

23%
18%
2%

22%

5%

10%

41%
23%

Iran
Saudi Arabia
Other
Western Hemisphere

3%
Oil
Nuclear
Combustible Renewables and Waste
Other Renewables
Coal

Source: Global Trade Atlas

Crude Oil Price

140.00
120.00
100.00
80.00

60.00
40.00
20.00
0.00

Source:- BP Statistical review of World

Nominal Price $/Bar

Real Price $/Barrel

THANK YOU