Global Oil Prices Will Continue To Rise

[Jai Dee]

Mr. Manoon revealed that global oil prices will continue to rise

The deputy chairman of the BangChak Petroleum company revealed that global oil prices will continue to rise, as many nations await OPEC's decision regarding increased oil production on March 8.

Mr. Manoon Siriwan (มนูญ ศิริวรรณ), acting Deputy Chariman of BangChak (บางจาก) Petroleum company, revealed that the current global oil trend shows an increase in oil prices the past week, following reports of attacks on oil pipelines and drill facilities in Nigeria, as well as concerns over Iran's nuclear debacle. The decision of OPEC on March 8 as to whether oil production will be increased will also affect oil prices further.

Currently OPEC nations are producing 28 million barrels of oil daily, exceeding its quota by 2 million barrels. OPEC members suggest that production rates be lowered, but oil prices should increase. However, oil prices in New York and London have decreased by 1 dollar this morning, alleviating some concerns over the oil price trends. It is expected that oil demands this year will remain the same from last year.

The deputy chairman adds that conservation of energy is still a primary focus, and that even if oil imports decrease, the price per barrel can increase by as much as 6 percent. Mr. Manoon adds that if citizens can move to alternative sources of energy such as gasohol or biodiesel, the nation's economic burden will be greatly relieved.

Source: Thai National News Bureau Public Relations Department - 07 March 2006

[cclub75]

Mr. Manoon revealed that global oil prices will continue to rise

This gentleman is really clever...

He would have rather use the word "believe", or "think".

Anyway, there is 1 good news : at last, a thai official "reveal" that the country is seated over a burning barrel of oil !

[astral]

They are wonderful, the way they express things, or at least the way it gets

translated to English..............

[Kerryd]

Rising oil prices isn't news. It shouldn't come as a surprise to anyone, after all, if you are making $60 US per unit (barrel) for a commodity you are producing (oil), and the demand for that product increases daily, why would you want the price to go down ?

The only way the price would drop is if the demand dropped. Oil producing nations would have to lower prices to encourage their customers to buy more.

Gas stations do this all the time, sometimes on a daily basis. They creep the prices up higher and higher until they notice a drop in sales, then they'll temporarily lower the price. Gradually raise it say, 6 cents a liter (or gallon), then drop it 4 cents. Raise it another 5 cents, drop it 3.

[cclub75]

The only way the price would drop is if the demand dropped. Oil producing nations would have to lower prices to encourage their customers to buy more.

Gas stations do this all the time, sometimes on a daily basis. They creep the prices up higher and higher until they notice a drop in sales, then they'll temporarily lower the price. Gradually raise it say, 6 cents a liter (or gallon), then drop it 4 cents. Raise it another 5 cents, drop it 3.

In Thailand, you are right. The amount of taxe on 1 liter is much lower compare to western countries.

In France 1 liter = 1.30 euro = 62 THB, but with 80 % of taxes !

It means that Thailand has no "security net". On the contrary, they have created a "fund" to subsidize the gasoline.... We saw the result when they stopped it last july : a debt of 100 billions of THB.

Sabai sabai.

On the other hand, they try to "stick" to the world market price, as much as possible. This is why the price at stations increases, then decreases, then etc... I'm not convinced that it's a marketing trick. It's only because they are really terrified of the consequences of expensive gasoline (bad for elections, right ?).

Oil will be the grave of Thaksinomics (and probably the grave of Thailand too).

[Thaising]

World oil prices rise – PTT shareholders will never cry because the profit will go highhhhhighhhhhh. Car owner pocket would get dry dry.