BNP Paribas Slashes Oil Estimate to $80 a Barrel

Citing the ongoing weak economies in the West, BNP Paribas cuts its oil price estimate to $80 a barrel, down from its prior projection of $82 a barrel for 2010.

Paribas also cut its 2011 oil price target from $89 a barrel to $86 a barrel.

With oil settling at $76.80 a barrel, and nothing out there to suggest economics in the West will improve any time soon, the $80 a barrel downward revisement for 2010 may even be optimistic.

An ongoing contango situation suggests to Paribas that oil will probably be stored on tankers rather than brought to market.

Texas Bills BP (NYSE:BP) And They Paid In Full

Instead of hearing whining and complaining from states who feel they haven't been adequately compensated by BP (NYSE:BP), Texas billed the company and got paid in full. Something to note also, the bill wasn't excessive and lacked the greed that some of the other states seem to have with the astronomical amounts being asked for.

The bill was for $174,295, according to Jim Suydam, Texas General Land Office spokesman. The charges include personnel and vehicle expenses related to the oil spill. A check was received Monday by the agency. The amount included the amount of $77,500 which was the amount used for fire boom that had been used during the initial oil spill cleanup.

Testing in July proved tar bars that were found on McFadden Beach were from BP's oil spill. Suydam stated that Texas will usually bill a party if scientifically identified. While expenses from an unknown source are covered by a tax in a fund on imported oil barrels.