Russia and Ukraine flashpoint

[Bofferbrauer2]

shavenferret said:

Bofferbrauer2 said:

It's apparently $64 in the US. But in Russia, where wages are much lower, that could be also much lower, so I guess they're still selling at a profit, albeit a small one.

This $60 figure is probably assuming that things are "normal", because there is now added costs of rebuilding the destroyed refineries, pipes, and even ships.  There is no doubt more turnover for these jobs now that the refineries and ships are getting hit, etc.  The drone campaign also greatly reduces production and increases waste of oil which has an even worse effect on profit.  

Edit:  I responded to ya before i looked up what the actual profit was because I don't have a clue, and sure enough, gazprom posted a negative profit very recently.  I'm sure that Lukoil or whatever and the smaller companies are having the same problem.  Here's an article if you're curious:

https://www.reuters.com/business/energy/gazprom-swings-net-loss-129-billion-under-russian-standards-2024-ifx-reports-2025-03-17/

The article says that the loss is mostly down to a loss of share value, which apparently gets counted in Russian accounting standards. But I expect the main reason for financial loss not being that the oil price is too low to make profit, but the constant rebuilding of the refineries (plus the loss of oil in storage to fires and the shutdown of production during the reconstruction) that are getting targeted by Ukrainian forces.