Being in the pipe business, we have seen our costs double from $900/Tonne to over $1800/tonne. These costs of course get passed on to the oil compaines putting the steel in the ground. So perhaps the price of a barrel of oil has dropped by $100, the cost to drill the wells is still the same as it was when oil was $147.
If you think about it:
Calgary gasoline is ~$0.83/Litre
Coffee at Tim Hortons ~$5.00/Litre
My two cents
