Fitch has updated the 'AAA' breakeven
AP to 91% from 90.
point is the level of sales at which profit is zero (Fig.
Qatar's fiscal breakeven
oil price of $60 a barrel this year is at least 13% lower than the Gulf Cooperation Council (GCC) average but higher than that of Kuwait and the UAE, according to the Institute of International Finance (IIF).
Summary: According to IMF, fiscal oil breakeven
is an important metric, but it fluctuates based on governments' expenditure and oil production
The current period of weakness has plunged price levels below most countries' fiscal breakeven
prices, the level needed to generate a fiscal surplus.
The only country in MENA that can still generate a fiscal surplus with current oil prices is Kuwait, which posts a breakeven
price of $50 for 2015, as estimated by the International Monetary Fund (IMF).
About a quarter of new wells in 2014 had a breakeven
WTI price of $40 or less.
A tumble in the price from the year's high above $115 per barrel to below $90 has focused investors and oil companies once again on the breakeven
level -- the point at which net return on a project turns positive.
Hydrocarbon prices will continue to display relative stability, with additional output from countries that are members of the Organisation of the Petroleum Exporting Countries (Opec) offsetting additional demand from emerging markets; while unconventional oil has a high breakeven
point that acts as a floor on oil prices," said Lucio Mauro Vinhas de Souza, Managing Director -- Sovereign Chief Economist of Moody's said in Dubai yesterday.
Studies have determined these breakeven
prices for producing energy crops assuming that the yield of these crops remains the same over their lifespan and that the opportunity cost of land is also fixed over time (Khanna et al.
The training programme covers several areas including: clarifying the concept and importance of breakeven
analysis, the analysis of the relationship between size, cost and profit, the role of breakeven
analysis on short-term financial planning and the role of breakeven
analysis in pricing decisions, as well as the basics of cost categorization according to their relationship to the size of the productive, service and marketing sector and cost analysis and its auditing.
These measures are inflation swap rates and breakeven