It's ok if you are rich ....

bledd · 31 Oct 2008 at 12:18

int said:
Did I say anything about a loss? "Half" insinuates you still have the other half left over.

lets say, it costs them $100 to produce & ship a barrel, and they sell it for $120, so they make $20 per barrel

to ask them to sell for just $110 instead would be a big ask imo, and wouldn't effect you or me that much at all

Tefal · 31 Oct 2008 at 12:21

int said:
How are they allowed to make such large sums of money when they could cut that in half and pass on the savings?

Or you could buy a load of shares in them and enjoy the profits too

bigredshark · 31 Oct 2008 at 12:22

bledd. said:
lets say, it costs them $100 to produce & ship a barrel, and they sell it for $120, so they make $20 per barrel

to ask them to sell for just $110 instead would be a big ask imo, and wouldn't effect you or me that much at all

Indeed, and why would they, it's not like you'd sell something for less than it was worth just to help out the other person, you'd sell it at the highest price you could get...

Surfer · 31 Oct 2008 at 17:20

Jez said:
World oil price has very little to do with an individual oil exploration/refining company, so i really cannot see any meaning to that post whatsoever? Are you relating the well owner to the whole of OPEC?

it was an analogy. Point is there should be stricter controls on goods/services that are deemed as necessities to stay alive. (because their price is pretty much unlimited = theoretically limitless profit)

Yeah Tefal is right the price of what something is worth is whatever what person will pay it... well your life is what you pay for a necessity.

[TW]Fox · 31 Oct 2008 at 17:48

Surfer said:
it was an analogy. Point is there should be stricter controls on goods/services that are deemed as necessities to stay alive..

I'm sorry but retail petrol is not a 'necessity to stay alive'.

Richdog · 31 Oct 2008 at 17:51

[TW]Fox;12808230 said:
I'm sorry but retail petrol is not a 'necessity to stay alive'.

It is if you're a poor ickle car that runs on it.

alx · 31 Oct 2008 at 18:01

Had a look at the figures from their website and their turnover for the 3rd quarter 2008 was $137,000 million. Seeing as they made $14,800 million in profit, that's a margin of about 10.8%. It's ok but nothing special, a lot of companies have much larger profit margins.

People just see a big number and get all excited. You can only really comment on profit if turnover is taken into account.

MikeHunt79 · 31 Oct 2008 at 18:02

mo' money, mo' problems ;p

panthro · 31 Oct 2008 at 18:14

Simon said:
Welcome to the oil industry

Thanks, but I was there before you

Bear · 31 Oct 2008 at 18:29

I read somewhere that oil companies make in the region of $30 to $40 a barrel which isnt a lot but only when you think the world consumes around 80million barrels a day, you can see where this large figures come from. They make money from quanity not because they make loads off the barrel

MumboJumbo · 31 Oct 2008 at 18:31

Clipsey said:
Imagine having to write the tax bill for that sum!!
Fair enough to them though, if they can still produce record breaking profits in a time of world economic crisis, they must be doing something right time and time again!

the more you earn the less tax you pay. You just get good accountants to hide it all and split it up so you pay penuts compared to what you earn.

Energize · 31 Oct 2008 at 18:33

[TW]Fox;12803281 said:
Pass on the savings to whom?

The employees perhaps?

Surfer · 31 Oct 2008 at 18:41

[TW]Fox;12808230 said:
I'm sorry but retail petrol is not a 'necessity to stay alive'.

Heating is. Domino effect on the power companies = very large cost increases to a great many households.

alx · 31 Oct 2008 at 18:44

[TW]Fox;12803281 said:
Pass on the savings to whom? Do you have ANY idea what you are talking about?

The customer or whoever buys the crude, at a guess.

Muffin` · 31 Oct 2008 at 18:49

Energize said:
The employees perhaps?

gareth.e · 31 Oct 2008 at 19:01

bigredshark said:
Indeed, and why would they, it's not like you'd sell something for less than it was worth just to help out the other person, you'd sell it at the highest price you could get...

Surfer said:
it was an analogy. Point is there should be stricter controls on goods/services that are deemed as necessities to stay alive. (because their price is pretty much unlimited = theoretically limitless profit)

Yeah Tefal is right the price of what something is worth is whatever what person will pay it... well your life is what you pay for a necessity.

Come on guys lets step it up a notch..

Lets add some buzz words such as 'elasticity of demand'

Petrol is an inelastic product..
If you **** with the price demands not going to change much...
Which means if your names Exxon your going to keep the price nice and high and watch the monies accumalate in your bank account.

Most of what we pay for petrol is tax.
We get taxed as we earn, taxed as we spend and taxed just for fun.

edit:

I've just realised I haven't been in the serious discussion section... Since the beginning of time.. I would go in but people take it too serious and I would probably spam it down...

*..wonders off to spam the Super Serious Discussion threads*

Energize · 31 Oct 2008 at 19:44

Muffin` said:
Lol look at how cool I am with my picture.

Please troll elsewhere.

Muffin` · 31 Oct 2008 at 19:48

Energize said:
Please troll elsewhere.

Well go on then, why should they give more to the employees?

Energize · 31 Oct 2008 at 19:50

Muffin` said:
Well go on then, why should they give more to the employees?

I never said they should, it was just a suggestion of who they could pass the savings onto. Hence the "?".

Muffin` · 31 Oct 2008 at 19:58

Energize said:
I never said they should, it was just a suggestion of who they could pass the savings onto. Hence the "?".

So you just put down whatever weird and wonderful thing pops into your head then stick it in a thread? Do you have any thought process?