38 per barrel the future price of oil for colorado

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Unformatted text preview: ges in local supply and demand. The International Energy Agency (IEA) is forecasting 2012 oil demand to be marginally higher than in 2011 due to tight supply offsetting the effect of a weak global economy. If global economic growth should slow significantly, the Organization of Petroleum Exporting Countries (OPEC) may reduce production to prevent oil from dropping much below $80 per barrel. The IEA predicts that oil demand will be 89.2 million barrels per day in 2011 and 90.5 million barrels per day in 2012. The U.S. Energy Information Administration (EIA) has slightly lower estimates of 88.4 million and 89.8 million barrels per day in 2011 and 2012, respectively. China and other emerging economies will be responsible for this projected consumption growth. EIA currently estimates that the average WTI will be $99 per barrel in 2011 and $98 per barrel in 2012. Retail Gasoline The Colorado average retail price of automotive gasoline through October 2011 was $3.47. This is a $0.76 (28%) increase over the average 2010 price of $2.71. The transportation sector is unlikely to...
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This note was uploaded on 02/11/2013 for the course MGMT 231 taught by Professor Yu during the Spring '13 term at Bauder.

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