[central_va]

Why is oil 95 bucks a bbl then?

[thackney]

While Saudi Arabia can tolerate lower prices, “there will be some members, like Venezuela, Iran who will struggle at $90,” said Amrita Sen, chief oil analyst at London-based Energy Aspects Ltd. The front month Brent contract for July settled at $102.62 a barrel Monday. Venezuela’s oil minister said on Monday that he would push for a cut in OPEC production if oil falls below $100 a barrel.

Iran needs high prices to offset the loss of $26 billion of oil revenue last year from tough Western sanctions on its exports, according to estimates from the U.S. Energy Information Administration.

Algeria, which has been rattled by riots over food and housing, needs an oil price of $121 a barrel to cover planned domestic spending—including for roads, jobs and housing—according to the International Monetary Fund.

http://online.wsj.com/article/SB10001424127887323855804578508871186460986.html

[SeminoleCounty]

It may still be high due to refining.

I wonder all our new domestic production is easy to refine. The sweet crude from the Islamic states is usually the easiest to refine....while the Venezulan oil is tough to refine (which probably curtailed a lot of Chavez nuttiness....they had to refine their oil outside country)

Also...shale and tar sands oil costs more to extract

As long as the Islamics, Free Trader Globalists, and the enviros don’t gang up to stop domestic production (those three will try...guarantee)...petrol should drop if the free market is allowed to run course

[Captain PJ]

Because the old mighty buck isn’t worth a buck anymore.

[molson209]

Why is oil 95 bucks a bbl then?

they think it’s a fair price ?

[Milton Miteybad]

Why is oil 95 bucks a bbl then?

Because the currency you're using to buy oil has only 40% of the purchasing power it did in 1981. The price is set on a world market, and exporters increase the per barrel price as necessary to maintain the purchasing power of the emaciated, weak dollars they are taking in exchange for their oil.