PPT Slide
• With the deregulation of oil prices in the late 1970’s, mineral revenue began to climb rapidly, peaking in 1982 at $1.6 billion.
• In 1983, oil prices began to fall from the mid-$30 range and did not bottom out until they reached the $15 range in 1986.
• Since then, oil prices have generally stayed below the $20 mark except for the Persian Gulf War in 1992 and during the last two quarters of the current fiscal year.
• Lower prices account for some of the decline in oil revenues, but a steady decline in production is a consistent bias in the declining mineral revenue base.