DEFINITION of 'Oil Field'

A tract of land used for extracting petroleum, or crude oil, from the ground. Although the exact origin of oil is still contested, most consider petroleum a "fossil" fuel, created from dead organic material often found in ancient seabeds thousands of meters below the surface of the earth. There are more than 40,000 oil fields around the world, many of the largest of which are found in the Middle East.

BREAKING DOWN 'Oil Field'

While tens of thousands of oil fields have been discovered, less than than 10% of them have had a significant impact on worldwide crude oil supply. Ghawar Field in Saudi Arabia, which started production in 1951, is by far the largest oil field uncovered so far, having yielded about 60 billion barrels of "black gold" through 2005.

RELATED TERMS
  1. Crude Oil

    Crude oil is a naturally occurring, unrefined petroleum product ...
  2. Petroleum

    A naturally occurring liquid found beneath the Earth’s surface ...
  3. Unconventional Oil

    A type of petroleum that is produced or obtained through techniques ...
  4. Oil Refinery

    An industrial plant that refines crude oil into petroleum products ...
  5. Oil Reserves

    An estimate of the amount of crude oil located in a particular ...
  6. Canadian Association Of Petroleum ...

    A trade organization whose members operate petroleum and natural ...
Related Articles
  1. Investing

    What is Crude Oil?

    Crude oil is a natural petroleum product that’s composed of organic materials, including hydrocarbon deposits.
  2. Investing

    How Does Crude Oil Affect Gas Prices?

    Find out how this commodity's fluctuating price affects more than just how much you pay at the pump.
  3. Financial Advisor

    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.
  4. Investing

    The Economics of Oil Extraction

    The overall economics of oil extraction is that there is money in it - both for extraction companies and their investors.
  5. Investing

    Will Oil Ever Go Back Up To $100?

    Experts have yet to reach a consensus on whether oil will return to $100, but recent events could give us some clues to its future price changes.
  6. Investing

    Falling Oil Prices Could Bankrupt These Countries

    The price of crude oil has fallen sharply as of late, trading around $45 per barrel down from a high of over $100 just six months ago. Many oil-producing countries are feeling the pinch as oil ...
  7. Investing

    U.S. Has More Oil Than Saudis, Russians, Study Says

    United States is sitting on more oil reserves than any other country on earth, surpassing Saudi Arabia's 212 billion barrels and Russia's 256 billion, according to a study.
  8. Insights

    Who Wins With Low Energy Prices? 

    Low oil prices are here to stay for some time. Which economies will benefit or lose from the low oil price regime?
  9. Financial Advisor

    Oil Prices Expected to Surge in 2017

    Oil has made headlines for its plummeting prices this year. When will prices rise again?
  10. Investing

    Peak Oil: What To Do When The Wells Run Dry

    Find out how to invest and protect your investments in this slippery sector.
RELATED FAQS
  1. Why did oil prices drop so much in 2014?

    Learn the roles that decreased global demand, new supply sources in North America and actions taken by Saudi Arabia played ... Read Answer >>
  2. 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 >>
  3. 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 >>
  4. 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 >>
Hot Definitions
  1. Magna Cum Laude

    An academic level of distinction used by educational institutions to signify an academic degree which was received "with ...
  2. Cover Letter

    A written document submitted with a job application explaining the applicant's credentials and interest in the open position. ...
  3. 403(b) Plan

    A retirement plan for certain employees of public schools, tax-exempt organizations and certain ministers. Generally, retirement ...
  4. Master Of Business Administration - MBA

    A graduate degree achieved at a university or college that provides theoretical and practical training to help graduates ...
  5. Liquidity Event

    An event that allows initial investors in a company to cash out some or all of their ownership shares and is considered an ...
  6. Job Market

    A market in which employers search for employees and employees search for jobs. The job market is not a physical place as ...
Trading Center