Thought this might interest you. I had a holiday in Venezuela a few
years back. All true.

http://www.guardian.co.uk/business/2.../oil.venezuela

On Tue, 11 Jan 2011 01:14:37 -0800 (PST), harry wrote:

Thought this might interest you. I had a holiday in Venezuela a few
years back. All true.

I bet they aren't paying any tax or duty on that fuel...

Assume 130p/l remove VAT @ 20% (22p) and Duty (58.95p) you end up at
50p/l. 1 US petroleum barrel is 159l US$100/barrel = 63c/l or about
40p/l.
10p margin to share between refiner/distributer/retailer...

--
Cheers
Dave.

On 11/01/2011 09:14, harry wrote:
Thought this might interest you. I had a holiday in Venezuela a few
years back. All true.

http://www.guardian.co.uk/business/2.../oil.venezuela

Are you suggesting that it is unreasonable for a country to subsidise
its infrastructure?

Colin BIgnell

"Nightjar "cpb"@" "insertmysurnamehere wrote in message
...
On 11/01/2011 09:14, harry wrote:
Thought this might interest you. I had a holiday in Venezuela a few
years back. All true.

http://www.guardian.co.uk/business/2.../oil.venezuela

Are you suggesting that it is unreasonable for a country to subsidise its
infrastructure?

He might be suggesting that it's reasonable to expect people to pay more
than the cost of an ice-cream, or a cup of coffee, to fill up a 60l tank
from empty.

(In fact, even the ice-cream and coffee, seem to be a lot cheaper than they
are here, where we pay 4-5 x as much.)

It's ridiculous really: what I'd pay here for a small 'latte', would pay for
enough fuel for my car to drive from New York to Los Angeles! That is, at
(2008) Venezuelan prices.

--
Bartc

On 11/01/2011 12:25, BartC wrote:


"Nightjar "cpb"@" "insertmysurnamehere wrote in message
...
On 11/01/2011 09:14, harry wrote:
Thought this might interest you. I had a holiday in Venezuela a few
years back. All true.

http://www.guardian.co.uk/business/2.../oil.venezuela

Are you suggesting that it is unreasonable for a country to subsidise
its infrastructure?

He might be suggesting that it's reasonable to expect people to pay more
than the cost of an ice-cream, or a cup of coffee, to fill up a 60l tank
from empty.

Is it reasonable, given that in 2008, although the world oil price was
$100 a barrel, it would have cost under $5 a barrel to extract the oil
in Venezuela? Excluding taxes, we would probably have been paying around
42p a litre at the pump for the product. A proportionate price in
Venezuela would be just over 2p a litre. So, yes they are being
subsidised, but not by as much as it may appear.

Colin Bignell

Nightjar "cpb"@ insertmysurnamehere wrote:
On 11/01/2011 12:25, BartC wrote:


"Nightjar "cpb"@" "insertmysurnamehere wrote in message
...
On 11/01/2011 09:14, harry wrote:
Thought this might interest you. I had a holiday in Venezuela a few
years back. All true.

http://www.guardian.co.uk/business/2.../oil.venezuela

Are you suggesting that it is unreasonable for a country to subsidise
its infrastructure?

He might be suggesting that it's reasonable to expect people to pay more
than the cost of an ice-cream, or a cup of coffee, to fill up a 60l tank
from empty.

Is it reasonable, given that in 2008, although the world oil price was
$100 a barrel, it would have cost under $5 a barrel to extract the oil
in Venezuela? Excluding taxes, we would probably have been paying around
42p a litre at the pump for the product. A proportionate price in
Venezuela would be just over 2p a litre. So, yes they are being
subsidised, but not by as much as it may appear.


Venezuala break-even price is $75 a barrel or thereabouts. As are a lot
of the tar sands and oil shale type setups.



Colin Bignell

On Jan 11, 9:14*am, harry wrote:
Thought this might interest you. I had a holiday in Venezuela a few
years back. All true.

http://www.guardian.co.uk/business/2.../oil.venezuela

On a few inter-city journeys we hired a Cadillac. I think we paid
about US$0.25/Km or thereabouts.
The buses cost next to nothing.
We hired a light aircraft to take us to a jungle hotel. Nearly got
abandoned there!
http://freespace.virgin.net/susan.armitage/VENPAR2.HTM

On 11/01/2011 15:11, The Natural Philosopher wrote:
Nightjar "cpb"@ insertmysurnamehere wrote:
On 11/01/2011 12:25, BartC wrote:


"Nightjar "cpb"@" "insertmysurnamehere wrote in message
...
On 11/01/2011 09:14, harry wrote:
Thought this might interest you. I had a holiday in Venezuela a few
years back. All true.

http://www.guardian.co.uk/business/2.../oil.venezuela

Are you suggesting that it is unreasonable for a country to subsidise
its infrastructure?

He might be suggesting that it's reasonable to expect people to pay more
than the cost of an ice-cream, or a cup of coffee, to fill up a 60l tank
from empty.

Is it reasonable, given that in 2008, although the world oil price was
$100 a barrel, it would have cost under $5 a barrel to extract the oil
in Venezuela? Excluding taxes, we would probably have been paying
around 42p a litre at the pump for the product. A proportionate price
in Venezuela would be just over 2p a litre. So, yes they are being
subsidised, but not by as much as it may appear.


Venezuala break-even price is $75 a barrel or thereabouts. As are a lot
of the tar sands and oil shale type setups.

Although the tar sands reserves have had a lot of attention in recent
years, the Venezuelan oil industry has huge conventional oil fields. In
2003, the production cost of those was $2.5-$3 per barrel, up from $1.9
per barrel before the 2002 oil workers' strike.

Colin Bignell

Dave Liquorice wrote:
On Tue, 11 Jan 2011 01:14:37 -0800 (PST), harry wrote:

Thought this might interest you. I had a holiday in Venezuela a few
years back. All true.

I bet they aren't paying any tax or duty on that fuel...

Assume 130p/l remove VAT @ 20% (22p) and Duty (58.95p) you end up at
50p/l. 1 US petroleum barrel is 159l US$100/barrel = 63c/l or about
40p/l.
10p margin to share between refiner/distributer/retailer...

Dave,

Just to add to the obvious envy. If you were tp pop along on short trip to
the island of Margarita just off the Venezuelan coast, you will fine that
"taxes" are almost unheard off.

No income tax, no fuel tax, no equivalent to road tax or MoT, petrol so
cheap that its unbelievable to us, there vehicles legally on the road so
bloody rusty and battered you have to see them to believe it - and that's
just the taxi's.

All great fun when I was there.

Cash

Nightjar "cpb"@ insertmysurnamehere wrote:
On 11/01/2011 15:11, The Natural Philosopher wrote:
Nightjar "cpb"@ insertmysurnamehere wrote:
On 11/01/2011 12:25, BartC wrote:


"Nightjar "cpb"@" "insertmysurnamehere wrote in message
...
On 11/01/2011 09:14, harry wrote:
Thought this might interest you. I had a holiday in Venezuela a few
years back. All true.

http://www.guardian.co.uk/business/2.../oil.venezuela

Are you suggesting that it is unreasonable for a country to subsidise
its infrastructure?

He might be suggesting that it's reasonable to expect people to pay
more
than the cost of an ice-cream, or a cup of coffee, to fill up a 60l
tank
from empty.

Is it reasonable, given that in 2008, although the world oil price was
$100 a barrel, it would have cost under $5 a barrel to extract the oil
in Venezuela? Excluding taxes, we would probably have been paying
around 42p a litre at the pump for the product. A proportionate price
in Venezuela would be just over 2p a litre. So, yes they are being
subsidised, but not by as much as it may appear.


Venezuala break-even price is $75 a barrel or thereabouts. As are a lot
of the tar sands and oil shale type setups.

Although the tar sands reserves have had a lot of attention in recent
years, the Venezuelan oil industry has huge conventional oil fields. In
2003, the production cost of those was $2.5-$3 per barrel, up from $1.9
per barrel before the 2002 oil workers' strike.

Colin Bignell

The statements are not mutually incompatible..there's a load of
diferrence between production costs and break even prices.
Like payng back capital investment etc.

On 12/01/2011 11:44, The Natural Philosopher wrote:
Nightjar "cpb"@ insertmysurnamehere wrote:
On 11/01/2011 15:11, The Natural Philosopher wrote:
Nightjar "cpb"@ insertmysurnamehere wrote:
On 11/01/2011 12:25, BartC wrote:


"Nightjar "cpb"@" "insertmysurnamehere wrote in message
...
On 11/01/2011 09:14, harry wrote:
Thought this might interest you. I had a holiday in Venezuela a few
years back. All true.

http://www.guardian.co.uk/business/2.../oil.venezuela

Are you suggesting that it is unreasonable for a country to subsidise
its infrastructure?

He might be suggesting that it's reasonable to expect people to pay
more
than the cost of an ice-cream, or a cup of coffee, to fill up a 60l
tank
from empty.

Is it reasonable, given that in 2008, although the world oil price was
$100 a barrel, it would have cost under $5 a barrel to extract the oil
in Venezuela? Excluding taxes, we would probably have been paying
around 42p a litre at the pump for the product. A proportionate price
in Venezuela would be just over 2p a litre. So, yes they are being
subsidised, but not by as much as it may appear.


Venezuala break-even price is $75 a barrel or thereabouts. As are a lot
of the tar sands and oil shale type setups.

Although the tar sands reserves have had a lot of attention in recent
years, the Venezuelan oil industry has huge conventional oil fields.
In 2003, the production cost of those was $2.5-$3 per barrel, up from
$1.9 per barrel before the 2002 oil workers' strike.

Colin Bignell

The statements are not mutually incompatible..there's a load of
diferrence between production costs and break even prices.
Like payng back capital investment etc.

True, although one of the problems Venezuela has is that it has not been
investing anything near enough in either exploration or production. I
would not disagree with the idea that they need to achieve $75 a barrel
for sales to the USA, which has to cover not only the subsidies to their
own citizens, but also the cheap oil they supply to their neighbours.

Colin Bignell

On Jan 11, 2:01*pm, "Nightjar \"cpb\"@" "insertmysurnamehere wrote:
On 11/01/2011 12:25, BartC wrote:







"Nightjar "cpb"@" "insertmysurnamehere wrote in message
m...
On 11/01/2011 09:14, harry wrote:
Thought this might interest you. I had a holiday in Venezuela a few
years back. All true.

http://www.guardian.co.uk/business/2.../oil.venezuela

Are you suggesting that it is unreasonable for a country to subsidise
its infrastructure?

He might be suggesting that it's reasonable to expect people to pay more
than the cost of an ice-cream, or a cup of coffee, to fill up a 60l tank
from empty.

Is it reasonable, given that in 2008, although the world oil price was
$100 a barrel, it would have cost under $5 a barrel to extract the oil
in Venezuela? Excluding taxes, we would probably have been paying around
42p a litre at the pump for the product. A proportionate price in
Venezuela would be just over 2p a litre. So, yes they are being
subsidised, but not by as much as it may appear.

Colin Bignell- Hide quoted text -

- Show quoted text -

The oil is on-shore mostly and not deep. The peasantry (oilworkers)
works for peanuts in Venezuela.