Oil Sands Newsletter: Energy Numbers

The significant crude oil price increases of the last 2 months are the result of increasingly tighter world oil markets. In May, the refiner acquisition cost (RAC) for crude oil averaged $61.60 per barrel. By August, the average monthly RAC price is projected to be $73.50 per barrel. The annual average RAC price is expected to increase from $60.23 per barrel in 2006 to $64.86 per barrel in 2007 and to $68.75 per barrel in 2008. West Texas Intermediate (WTI) crude oil prices are projected to average $67.60 per barrel for 2007 and $71.25 per barrel in 2008. As of August 6, retail motor gasoline prices have fallen by almost 40 cents per gallon from the spring peak of $3.22 per gallon on May 21, even as the price of WTI crude oil has risen by over $9 per barrel (22 cents per gallon) over the same period. The exceptionally high refiner margins that were the result of numerous refinery problems earlier in the year have eased considerably. Gasoline prices at the pump are projected to continue to decline through the end of 2007 and then begin their seasonal increase next spring. The Henry Hub natural gas spot price is expected to average $7.45 per thousand cubic feet (mcf) in 2007, a $0.52-per-mcf increase from the 2006 average, and to average $8.06 per mcf in 2008.

Official energy info from U.S Government
Energy Information Administration

Crude Oil Prices 1861 - 2006
www.forbes.com