[careinke]

Only a 26% profit. How sad......Not

[sparky]

.
that's the baker problem in a famine
he bought flour and made bread , but the price of flour has risen
so he sell his bread for a much higher price
not to pay for what he bough but to pay for what he will have to buy to re stock .

the oil companies can make plenty of profit by running down their existing field ,
it's all paid for ,running cost are quite small .
the problem is getting new fields open , they cost even more and will crush their budget ,

[ROCKMAN]

Sparky - Amazing isn't it: in one breath preaching how poorly the oil patch is doing financially and the next tossing out absurdly high and incorrect "profit" margins. Just a tad schizophrenic, eh? LOL. I wonder if some of this jealousy was equally matched with remorse when oil was selling for much less, hundreds of thousands lost their jobs and a great many companies went under.

No point in is preaching. Self interest is a powerful force.

[careinke]

.
that's the baker problem in a famine
he bought flour and made bread , but the price of flour has risen
so he sell his bread for a much higher price
not to pay for what he bough but to pay for what he will have to buy to re stock .

the oil companies can make plenty of profit by running down their existing field ,
it's all paid for ,running cost are quite small .
the problem is getting new fields open , they cost even more and will crush their budget ,

Not to sound trite, but I thought profit included the entire cost cycle. So the new wells would not be included in the calculation.

I certainly see your point though, wonder if the new wells will also get a 25% profit. I'm guessing not.