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I wouldn't consider oil dropping from ~$100/barrel to ~$40/barrel a slight drop. https://en.wikipedia.org/wiki/West_Texas_Intermediate#/media/File:Crude_oil_sp

• microcolonel 9y ago
  It's not such a big deal if you haven't built everything on extracting 100% of the net revenue of the oil industry. If your take were lower, it would not be as big a hit, and you could raise the take and split the difference. If your take is 100%, there's nowhere to go.
  • libertyEQ 9y ago
    You stated in your original comment that is was a, "slight drop." I actually agree with much of what you wrote, but let the argument stand on its own, please don't use non-factual content to (note: the Iranian oil coming back into the "open" market might have been related) overstate things. We can't normalize "truthful hyperbole."
• protomyth 9y ago
  Its even worse for Venezuela. Their oil is plentiful but not a very high grade which requires significantly more money to refine than say Saudi Arabia, Texas, or North Dakota. This means that in a low price environment they aren't taking a cut, they literally cannot make any profit. Further complicating the situation is their mismanagement and lack of technology purchases or even basic maintenance in the oil industry.