Oil Flashcards
Why is there are varying price of petrol?
As global oil prices vary due to economical and political factors e.g. Mexican oil companies cut production as a political protest.
Why do oil prices change?
High demand causing prices to rise, and vice versa.
Supply- Supply affects the price, too much oil= prices drops, too little and it goes up.
What is Fracking?
A type of oil drilling technology that allows us to drill horizontally. Water is blasted into rock fractures under pressure. It has been revolutionary to the oil industry.
What impact did the Iraq war have on oil prices and why?
The conflict lead to shortages therefore an increase in prices. This lead to other allies (Saudi arabia) upping their production to stabilise prices.
What impact did the conflict between Russia and Ukraine have on oil prices?
Ukraine refused to pay increases in Russian gas prices, Russia then threatened to cut supplies that went through Ukraine to European customers.
