Barrel Of Oil Equivalent (BOE)

What is a 'Barrel Of Oil Equivalent (BOE)'

A barrel of oil equivalent (BOE) is a term used to summarize the amount of energy that is equivalent to the amount of energy found in a barrel of crude oil. There are 42 gallons (approximately 159 liters) in one barrel of oil, which will contain approximately 5.8 million British Thermal Units (MBtus) or 1,700 kilowatt hours (kWh).

Also known as crude oil equivalent (COE).

BREAKING DOWN 'Barrel Of Oil Equivalent (BOE)'

This term is used frequently when exploration and production companies are reporting the amount of reserves they may have. By giving a BOE figure, analysts, investors and management can assess the total amount of energy the firm has access to, without breaking it down into barrel's of crude oil, or the cubic feet of natural gas.

RELATED TERMS
  1. Barrels Of Oil Equivalent Per Day ...

    A term that is used often in conjunction with the production ...
  2. Barrels Per Day - B/D

    A measure of oil output, represented by the number of barrels ...
  3. Price Per Flowing Barrel

    A metric used to determine the value of a oil and gas company. ...
  4. Billions Of Cubic Feet Equivalent ...

    A natural gas industry term typically used to measure the amount ...
  5. Natural Gas Equivalent

    The amount of energy used by the burning of natural gas versus ...
  6. Benchmark Crude Oil

    Benchmark crude oil is crude oil that serves as a pricing reference, ...
Related Articles
  1. Stock Analysis

    Is Now the Right Time to Buy Oil Stocks?

    Learn about the oil industry and how crude oil effects the prices of oil stock. Understand if now is a good time to purchase oil stock.
  2. Options & Futures

    Commodities: Crude Oil

    By Noble DrakolnCrude oil is a naturally-occurring substance found in certain rock formations in the earth. To extract the maximum value from crude, it needs to be refined into petroleum products. ...
  3. Economics

    Projected Gas Prices for 2016

    Learn what major authorities on gas prices are predicting for 2016, and about the different factors that can impact the price of gas.
  4. Mutual Funds & ETFs

    It Might Be Too Late for Inverse Oil ETFs (SCO, DWTI)

    Learn why investors seeking to short the price of oil may want to be careful when using leveraged ETFs, and see how oil prices may have reached a bottom.
  5. Stock Analysis

    The Biggest Oil Producers in Asia

    Learn which Asian countries deliver the most crude oil to market, and discover what companies are the biggest producers in each country.
  6. Investing

    How Long Will Oil Prices Remain Low?

    With demand for oil weakening and new sources of supply, the price of oil is likely to remain below $100 a barrel for quite some time.
  7. Investing Basics

    American Oil Production's Amazing, Crude Future

    Is America producing more crude oil than it is consuming? How is technology changing the American oil industry? What will domestic oil industry look like in the near future?
  8. Economics

    What a $20 USD Barrel Means For the US Oil Industry

    Read about Goldman Sachs' prediction that oil prices could go as low as $20 a barrel. Understand how low prices impact companies in the U.S. oil sector.
  9. Investing

    What it Would take to Rebalance the Oil Supply

    Jim Atkinson, CEO of GuinĀ­ness Atkinson Asset Management Inc., discusses the factors behind the current oil over-supply.
  10. Economics

    The End of US Foreign Oil Dependency

    Learn about how U.S. production of oil is increasing on an annual basis and how oil imports are dropping, and why Congress may lift a ban on the export of oil.
RELATED FAQS
  1. What does a barrel of oil equivalent (BOE) refer to in the oil and gas sector?

    Find out about the oil and gas industry, what a barrel of oil equivalent refers to and what it measures in the oil and gas ... Read Answer >>
  2. How does fracking increase oil production?

    Learn how fracking, the process of high-pressure oil and gas extraction, has tripled domestic oil production and reduced ... Read Answer >>
  3. Why are stocks and oil so correlated right now?

    Learn whether the stock market and oil prices will continue their highly correlated price relationship or decouple again ... Read Answer >>
  4. What is a heavy oil differential and how does it affect oil producers?

    Learn what the phrase "heavy oil differential" refers to and the significance of heavy oil differentials for oil production ... Read Answer >>
  5. What causes oil prices to fluctuate?

    Discover how OPEC, demand and supply, natural disasters, production costs and political instability are some of the major ... Read Answer >>
  6. What economic indicators are important to consider when investing in the oil and ...

    Find out more about economic indicators and which ones are important when investing in companies in the oil and gas sector. Read Answer >>
Hot Definitions
  1. Law Of Demand

    A microeconomic law that states that, all other factors being equal, as the price of a good or service increases, consumer ...
  2. Cost Of Debt

    The effective rate that a company pays on its current debt. This can be measured in either before- or after-tax returns; ...
  3. Yield Curve

    A line that plots the interest rates, at a set point in time, of bonds having equal credit quality, but differing maturity ...
  4. Stop-Limit Order

    An order placed with a broker that combines the features of stop order with those of a limit order. A stop-limit order will ...
  5. Keynesian Economics

    An economic theory of total spending in the economy and its effects on output and inflation. Keynesian economics was developed ...
  6. Society for Worldwide Interbank Financial Telecommunications ...

    A member-owned cooperative that provides safe and secure financial transactions for its members. Established in 1973, the ...
Trading Center