Gas

Taking China and US as examples we notice that:
1) China burns more coal in its power plants and produces more goods in its factories, thus it emits more pollutants into the air and dumps more effluents into the water, and in effect the economy moves.
2) United States has grown richer in recent decades. Thus being sufficiently rich, it can afford o takes steps in limiting pollution, thereby reducing the environmental damage.

In US, the cars have catalytic converters that reduce fog and the government has imposed a limit on the emission of pollutants from the plants. As a countries per capita income rise, the initial effect is environmental damage but when a country becomes sufficiently rich, it can afford to take steps to protect the environment. (Grumman & Obsolete, 2009) What does this have to do with International Trade? Trade liberalizing is often supported on the grounds that it will be promoting economic growth.

Economic growth as a result will increase the per capita income which may lead to environmental damage initially but later, the country may take steps to improve the environmental quality. However, the rise in per capita income, improving or worsening the environmental quality can be well understood by observing which side of the environmental Sunsets curve the economy will lay. However the environmental Sunsets curve does not imply that globalization is good for the environment. It fairly gives an idea that a world level globalization has indeed harmed the environment, so far.

International initiatives to combat greenhouse effect and comate change

To combat greenhouse effect and climate change, many conferences and treaties have been conducted between various nations of the world. Some of these are: The Earth Summit/ROI Summit/ ROI Conference- This is also known as The United Nations Conference on Environment and Development which was held in ROI De Jeanine from June 3 to June 14,1992. Many issues relating to environmental protection was first discussed here wherein 178 governments and 2400 representatives of non- governmental organizations participated.

It resulted in the following documents: ROI Declaration on Environment and people Agenda Convention on Biological Diversity Forest Principles Framework Convention on Climate Change In 2012, it is again held in ROI from June 20th to 2nd, commonly called ROI+20 or ROI Summit 2012. The Kyoto Protocol- This is an agreement made under the United Nations Framework Convention on Climate Change. Nations that ratify this protocol entrust to reduce their emissions of carbon dioxide and five other greenhouse gases. It consists of more than 160 countries globally.

China has been the biggest single beneficiary of globalization, whose export led economy has experienced enormous growth since 1980. Meanwhile the single biggest environmental issue has been climate change. Before the government of China introduced several economic growth reforms in 1979, the average annual real GAP growth rate estimated by the Congressional Research Service stood at 5. 3%, from 1960-1978. An 2010, the annual growth rate was estimated at 10. 4%. China faced a steep incline and decline in its GAP growth rate due to global recession in 2008, which stood at 9. % drop compared to 14. % during 2012 (Agency). Due to the structural reforms, China’s economy is set to grow 7. 6 percent in 2013, beating the government’s 7. 5 percent target. (Angina, 2012). Due to such economic growth, it is clearly seen that China alone is a major emitter of greenhouse gases, which is raising the earth’s average temperature. China’s boom is closely associated with a huge increase in its emission of carbon dioxide. On the other hand, United States has already faced a situation of being the largest emitter of greenhouse gas in 2007.

From 1980 to 2012; United States ranks three out of 187 countries in Human Development Index that rose by 0. 4% annually (from 0. 843 to 0. 937 till date. ). Thus, United States has become sufficiently rich such that now the realization of taking steps to protect the environment dawns on them. The five environmental policies that President Obama has put in place to protect US environment and promote clan energy are (Price, 2008) : Creating the first-ever standard to limit greenhouse gases from new fossil-fuel-fired power plants, a source of carbon pollution.

Establishing the first fuel efficiency standards for heavy-duty trucks, preventing 270 million metric tons of roundhouse gases from polluting the air. Putting into place the first-ever national standard for mercury and toxic air pollution from power plans, preventing up to 130,000 cases of asthma symptoms every year. Approving the nation’s first offshore wind farm, that will generate clean electricity and power to 200,000 homes. Approving renewable energy projects, including 16 utility scale solar projects which are first ever on public lands.

However as years went by, and China began to develop at a rapid pace, the carbon dioxide emission began to rise, being almost equal to United States in 2006( 5817 million tones of CA) and overtaking it in 2007(6194 million tones). In 2006, United States greenhouse gas emissions decreased from 5992 million tones to 591 5 million tones. However, the US carbon dioxide emission rose by 1. 6% in 2007 following the bursting of the housing bubble in the mid 2007 when US entered a severe recession. This clearly shows how pollution is closely related to economic success.

From 2008 onwards, the carbon dioxide level emitted by United States begins to reduce and in 2009, President Obama sets a target to reduce greenhouse gas emissions in the range of 17% below the 2005 levels. This is clearly understood by Sunsets explanation: As a country gets sufficiently rich, it can afford to take action to protect the environment. However, China is still in the stage of progression of being sufficiently rich, in comparison to its population (satisfying the needs of its entire people).

Thus China continues to emit a high level of carbon dioxide in 2009, about 7205 million tones while Unite States is seen to reduce is emission to around 5427 million tones. Currently, China emits 48 % more CA than the USA and is responsible for a quarter of the world’s emission.

Conclusion

China ranks as the top greenhouse gas emitter in the world while United States is in the second position. However China is responsible for a quarter of the world’s emission.

The main problem here is not globalization but China’s economic success, which has to some extent come as a result of globalization. The foreign trade due to globalization makes producers have an access to larger, international markets. This access means that the economy benefits from international division of labor. Not only this, Domestic producer’s produce more efficiently due to their international factorization and the pressure coming from foreign companies. Thus consumers enjoy a wider variety of domestic and imported goods at lower prices.

Empirical evidence suggests that globalization has significantly boosted economic growth in East Asian economies such as China. This economic growth, has down the line affected the environment adversely. Despite Environmental concerns, it’s difficult to argue that China’s growth, which has raised a millions of people out of dire poverty, is a bad thing. However, emission of carbon dioxide affects the future climate for all entries, thus being an international negative externally it is an important subject of international negotiation.

Everything is made of particles. Particles in solid are not free to move around. Liquids and gases can. As particles move they collide with each other and bounce off in all directions. This is called random motion. In 2 substances, when mixed, particles bounce off in all directions when they collide. This mixing process is called diffusion. It’s also the movement of particles without a force. The smallest particle that cannot be broken down by chemical means is called an atom. ;In some substances, particles are Just single atoms.

For example the gas argon, mound in air, is made up of single argon atoms. ;In many substances, particles consist of 2 atoms Joined together. These are called molecules. ;In other substances, particles consist of atoms or groups of atoms that carry a charge. These particles are called ions. Solids liquids and gases Solid Properties: Definite shape and volume ; Normally hard and rigid Large force required to change shape High Density ; Incompressible Model: ; Closely packed ; Occupy minimum space Regular pattern ; Vibrate in fixed position Not free to move Liquid Properties: ; Definite volume but no shape.

Not compressible Occur in clusters with molecules slightly fury Free to move about within a confined vessel WPAD W. Transmigrate crossover Demand: Pu. Researcher’s www. PDFWatermarkRemover. Com to remove the watermark Gas Properties: No Fixed volume and no fixed shape ; Low density ; Compressible Very far apart ; Travel at high speed ; Independent and random motions Negligible forces of attraction between them Diffusion in Gases Gases diffuse in different rates. Those rates depend on their factors: 1. Mass of the particles The lower the mass of its particles the faster a gas will diffuse. Why?

Because the lighter the molecules… He faster it will travel (obviously… ) 2. The temperature The higher the temperature, the faster a gas will diffuse. Why? Because particles gain energy as they are heated Mixtures, Solutions, and Solvents Mixture: Contains more the one substance. They are Just mixed together and not chemically combined. Example: Sand and water. Solution: It is when a solute and a solvent mix. The solute dissolves in the solvent making a solution. Example: sugar (solute) dissolves in water (solvent) making a solution of sugar and water. The solubility of every substance is different.

To help a solute dissolve you could: ; Stir it Rise the temperature If you add excess amount of sugar in a small amount of water… It won’t dissolve as there is no space for it. The solution becomes saturated. Solvent: A substance that allows solutes to dissolve in Example: Water, Ethanol Pure substances and impurities A pure substance is a substance that has no particles of any other substance mixed with it. An unwanted substance, mixed with a wanted substance, is called an impurity. To check if a substance is pure, you have to check its melting and boiling points.

A pure substance has a definite, sharp, melting point. When a substance is impure, the letting point falls and its boiling point rises. So the more impurity present, the wider and bigger the change in melting and boiling point. Separation methods: Filter – -? Solid from liquid Centrifuge -? Solid from liquid Evaporation -? Solid from its solution Crystallization Solid from its solution Distillation -? Solvent from a solution Fractional distillation Liquid from each other Chromatography solution Separation methods – Different substances from a 1.

Filtering Example: A mixture of chalk and water… 1. A filter paper is placed in a funnel, the funnel placed on a flask. 2. The mixture is poured on the filter paper. The chalk (the residue) will remain in the filter paper and the water (the filtrate) will fall down in the flask. 2. Centrifuging This method is used to separate small amounts of solid and liquid. Inside a centrifuge (it’s a machine), test tubes are spun very fast so the solid gets flung to the bottom. 3. Evaporation This method is used to separate a solution in which the solid is dissolved in the liquid. . The solution is heated so that the liquid evaporates and the solid remains in the bottom of the evaporating dish. 4. Crystallization This method is similar to evaporation but here the solid forms crystals then the rascals are left to dry. Separating a mixture of two solids 1. This can be done by dissolving one in an appropriate solvent. 2. Then filtering one and extracting the other from the solution by evaporation. 5. Simple distillation 1. The impure liquid is heated. 2. It boils, and steam rises into the condenser. 3. The impurities are left behind. . The condenser is cold so the steam condenses to the pure liquid and it drops out on the beaker. 6. Fractional distillation . The mixture is heated. The wanted substance boils and evaporates 2. (some of the unwanted liquid will evaporate too) and rises up the column. 3. The substance will condense on the beads in the column causing them to heat. 4. When the beads reach a certain temperature when the wanted liquid wont condense anymore (That’s the boiling point) it will rise while the unwanted liquid will condense and drop.

The wanted liquid will make its way through the condenser where it will condense and drop down in the beaker. 7. Chromatography This method is used to separate a mixture of substances. For example you can use it to find how many colored substances there are in black ink. Steps: 1. Drop the black ink on to the center off filter paper and allow it to dry. 2. Drop water on to the ink spot, one drop at a time. 3. Suppose there are three rings: yellow, red and blue. This shows the ink contains 3 colored substances. The substances travel across the paper at different rates.

That’s why they separate into rings. The filter paper showing the separate substances is called a chromatogram. This method works because different substances travel at different speeds because they have different levels of attraction to it. Uses of chromatography: Separate mixtures of substances ; Purify a substance by separating the impurities from it ; Unit 2: The Atom Identify a substance Atoms are the smallest particles. Each atom consists of a nucleus and a cloud of particles called electrons that whiz around the nucleus. An element is a substance that contains only one kind of atom.

The periodic table is the “map/address book” for elements where each element is given a symbol (E. G. K for potassium). The group of elements that have similar properties are put in a numbered column. For example, if you know how one element in group 1 behaves, you can easily guess how the others in the same group will behave. The rows are called periods. The gig-gag line separates metals from non-metals, with the non-metals on the right. So most elements are metals. A compound contains atoms of different elements Joined together where the atoms are chemically combined.

For example carbon dioxide is a compound of carbon and oxygen (1 carbon and 2 oxygen molecules). The symbol for compound is made from the symbols of the elements in it. So the formula for carbon dioxide is CO. Isotopes and Radioactivity You can identify an atom by the number of protons in it. For example, only sodium atoms have 11 protons. Isotopes are atoms of the same element, with different numbers of neutrons. Some isotopes are radioactive. That means its nucleus is unstable, sooner or later the toms breaks down or decays, giving out radiation in the form of rays and tiny particles, as well as large amount of energy.

Like carbon-14, a number of other elements have radioisotopes that occur naturally and eventually decays. But the other two isotopes of carbon (like most natural isotopes) are non-radioactive. You can know when radioisotopes decay by looking at there half life. Radiation affects humans as it may causes them radiation sickness but radiation also has some uses. Uses of radiation: 1. Check for leaks in pipes (industry) This is done by adding a radioisotope to the oil or gas. At a leak, the radiation is detected using an instrument. Radioisotopes used in this way are called tracers. 2. N cancer treatment (Medical) Radioisotopes can cause cancer but yet also can cure it. Using radiotherapy the radioisotope will decay and give out rays that can kill cancer cells. These rays will be aimed exactly at the cancer cells. 3. To find the age of old remains A tiny percentage of a living thing contains carbon-14 atoms. When living thing dies it no longer takes in new carbon atoms. But existing carbon-14 atom decay over time – we can measure the faint radiation from them. How electrons are arranged The electrons in an atom circle fast around the nucleus, at different levels from it.

These energy levels are caller electron shells. The further the shell is from the nucleus, the higher the energy level. Each shell can hold a limited number of electrons. First shell can hold up to 2 electrons Second shell can hold up to 8 electrons The third shell can also hold up to 8 electrons Electronic configuration means the arrangement of electrons in an atom. Argon has the electronic configuration : 2,8,8 Magnesium has the electronic configuration : 2,8,2 Important points: ; The shells fill in order, from lowest energy level to highest energy level

All the elements in a group have the same number of electrons in their outer shells. These are called Valence electrons. ; The group number is the same number of outer shell electrons ; The period number shows how many shells there are. ; If an element posses a full outer shell, the element become enervative Unit 3: Atoms combining Most elements form compounds because they want a full outer shell and to achieve that they must react with other atoms. For example, sodium has Just one electron in its outer shell.

It can obtain a full outer shell by losing this electron to anther atoms and by that it becomes a sodium ion. Now because sodium lost a electron… It now has 10 electrons but 11 protons… So it has a 1 positive charge. An ion is a charged particle. It is charged because it has an unequal number of protons and electrons. The ionic bond Sodium and chlorine react together; sodium gives its electron to chlorine. Now both elements have a full outer shell, but with a charge. Now they are ions. Sodium now has 10 electrons but 11 protons so it has a positive charge.

Chlorine now has 18 electrons but 17 protons so it has a negative charge. The two ions have opposite charges, so they attract each other. The force of attraction between them is strong. It is called an ionic bond. When sodium reacts with chlorine, billions and billions of sodium and chlorine ions form and they attract each other. But the ions don’t stay in pairs. They cluster together so that each ion is surrounded by 6 ions of opposite charges. The pattern grows until a giant structure of ions is formed. The overall charge of the structure is O since 1 positive charge and 1 negative charge neutralize each other.

The ionic bonding is only between metals and non-metals. Important notes: Hydrogen and the metals form positive ions Non-metals form negative ions, and their names end in -did ; Group 4 and 5 do to usually form ions because they would have to lose or gain several electrons and that takes too much energy ; Group O elements do not form ions; they already have full outer shells ; Some of the transition metals form more than one ion. Some ions can be formed from groups of Joined atoms. These are called compound ions. Properties of ionic compound 1.

Ionic compounds have high melting and boiling points. This is because ionic bonds are very strong, so it takes a lot of heat energy to break up the lattice. 2. Ionic compounds are usually soluble in water. The water molecules can attract the ions away from the lattice. The ions can then move freely, surrounded by water molecules. 3. Ionic compounds can conduct electricity when they are melted or dissolved. When melted the lattice breaks up and the ions are free to move. Since they are charged, this means they can conduct electricity.

The solutions of ionic compounds conduct electricity too because they are also free to move. The covalent bond Giving and losing an electron is not the only way to gain full outer shells since atoms can also share electrons. Covalent bonding is for non-metals only since only non-metals need to gain electrons. A molecule is a group of atoms held together by covalent bonds. When a pair of electrons is shared, it is called a single covalent bond, or Just single bond. When 2 pairs of electrons are shared, it is called a double covalent bond, or Just double bond.

When 3 pairs of electrons are shared, it is called a triple covalent bond, or Just triple Covalent compounds A covalent compound is when atoms of different elements share electrons with each other. The molecules in a covalent compound isn’t flat because each electron repel each other and try to get as far apart from each other. Molecular substances Most molecular substances are gases or liquids at room temperature. Molecular lids are held in a lattice but the forces between the molecules are weak. All molecular solids have similar structure.

The molecules are held in regular pattern in a lattice. So the solids are crystalline. When you cool down a molecular liquid or gas the molecules lose energy so they start moving slowly and at the freezing point, they form a lattice (a good example would be ice) Properties of covalent bonding 1. Covalent compounds have low melting and boiling point This is because the forces between the molecules are weak. 2. They do not conduct electricity This is because molecules are not charged, so they cannot conduct, even when melted

The global OLL and gas Industry also Involves the exploration and production of commodity and energy trading, pipeline monitoring and renewable energy. Petroleum is proved to be one of the most valuable commodities in the world today and a vital factor in the sustenance of industrial civilization. Crude oil production accounts for a significant amount of the world’s oil consumption, approximately 53% In the Middle East, 32% In Europe and Asia, 44% In South and Central America, 41% in Africa and 40% in North America.

Developed countries represent the largest consumers of oil globally. Station is a fully Integrated OLL and gas company operating In Industry segments such as the production and refining of petroleum, natural gas, and petrochemicals. Crude oil is the largest segment of the global oil and gas market, accounting for 62. 9% of the markets total volume. The natural gas segment accounts for the remaining 37. 1% of the market. Classically accounts for 35. 8% of the global 011 and gas market value, while the Americas accounts for a further 31. % of the global market, Europe accounts for 24. 8% while the middle east accounts for 7. 9% of the global market. Where geographic segmentation Is concerned the axis of the OLL market Is shifting from the trade between the Middle East exporters and US and European importers to one that links Asian developing markets to Middle East, which no longer has sufficient oil to support these markets’ growing needs. Oil production In the US was the largest in the world in 2012 3. 1. 42. 1. Market structure, size, growth and cyclical As indicated above, the global oil and gas industry comprises two streams, which are ‘upstream – made up of petroleum exploration, production and extraction Including activities such as signing of leases, placing produced liquids and gas into pipelines, midstream – comprising of processing and transporting of produced liquids and gas from the well site to a downstream facility such as a refinery, downstream facilities deal with refining and processing of crude OLL and gas products, as well as their distribution and marketing.

Some companies operate in the industry as fully integrated companies (I. E. Having both upstream and downstream interests) while others concentrate on a particular sector, such as exploration and production (E) or refilling and marketing. The global oil and gas industry exhibited a volatile performance over the past five years (2008-2013), largely driven by the global economic slowdown and subsequent recovery. Although tensions in the Middle East and increasing difficulty In the extraction process threaten to hinder growth over the next five years, however greater economic activity in emerging markets will keep demand buoyant. IL and gas exports account for more than of the value of global exports and provide more than 25% GAP in Russia, Central Asia and members of the organization of the Petroleum Exporting Countries (OPEC). Just over 10% of the value of the world’s stock markets is invested in the oil and gas industry. The global oil and gas industry after a significant decline in 2009 has returned to dynamic growth in terms of market consumption, statistics show oil and gas supplies 57% of global commercial energy consumption.

What Moves the Oil and Gas Price? Why are oil prices and gas prices so dramatically increased in the last view years? Oil and gas price will maintain the current level or rise in the next years because of the world economy, an increased demand on oil and its production costs, the gas demand, and the investment in developing alternative energy sources. How long will the oil reserves last?

It is currently estimated that the oil reserves in the United States will last for 20 to 30 years, but this may or may not be accurate For example, since the first oil price shocks in the seventies, a many actions have been taken in order to reduce the consumption of oil and to reduce energy The reality is, that the world oil demand is forecasted to grow in 2009. “World oil demand is forecast to grow by 0. 9 Millions of Barrels per Day (mb/d) in 2009, averaging 87. 71 mb/d which is 0. 1 mb/d lower than in the current year. ” (OPEC, Monthly oil market report, July 2008 p. ). This report indicates that we expect a slow down in the years after 2009. Assumptions for this oil demand forecasts are; the Worlds Gross Domestic Product (GDP) grow will slow down compared to 2008, we expect normal weather and the energy-price as well as the demand of elasticity will strengthen worldwide. The higher oils and gas prices will reduce this demand by utilization of nuclear power plants, adding biofuel and moving towards use of smaller and economical vehicles. The industrial oils usage is balanced with the economic growth. The oil market report stated:

Slowing demand for gasoline particularly in the US, combined with an easing in the distillate markets and costly crude have exerted pressure on refining economics across the world. The continuation of these trends may encourage refiners to cut throughputs or begin seasonal maintenance earlier than usual, which would trim crude demand. This could lead to further crude stock-builds in the coming months, putting pressure on crude prices in the latter part of the year. These perceptions may change if supply disruptions occur either in OPEC (Organization of the Petroleum Exploring Countries) or non-OPEC producers over the next months.

The main wild card for the product market in the near future would be possible refinery outages due to a potential active hurricane season in the US Gulf Coast. (OPEC, Monthly oil market report, July 2008 p. 3) In Europe, for example, the oil consumption per unit of gross domestic product since around 30 to 40 percent and this is true both for households as well as for the industry. In the world’s largest economy, the U. S. , the savings were far less clear. The remaining oils reserves have to be produced on higher costs and we see also an increase in transportation as well.

Therefore the oils and gas prices will maintain or rise in the next years. In addition political turbulences and crisis will have dramatic impacts in the next 3 years (short –term). If we look at the value chain of oils and gas, than we are able to identify additional price rises like tax, transport costs and the focus on fuel deviates combined with research and development costs. But what makes the price of oil and why have the prices rose so dramatically? In the seventies and eighties were often the OPEC and its pricing policy for increases blamed.

Meanwhile stress economists and participants in the commodity markets, the finite nature of the geological resources and unequal distribution of deposits: To store in the U. S. , Canada and Mexico together only five percent of total world supply of oil. What is the role of futures markets? Many economists also stress that with increased oil prices also an additional supply in the markets because so far to costly production is at once profitable. So now substitutes such as the oil sand in Canada dismantled what the expiration date for the global resources to move back.

For the oil companies to fall with the costly reduction of such occurrences, however, is still very high profit margins. As well as If we factor out the effects of inflation, the current oil prices are still slightly below the peak from the seventies. The scarcity of oil offering but, together with the increased global demand, certainly play their part to the recent price increases on world markets. Only recently climbed the price of a barrel of crude oil to over 100 U. S. dollars, an increase to 120 dollars per barrel no longer seems excluded.

The price of oil to the U. S. gas stations since 2004 is even more than double. Semmler W. (2006) Professor of Economics and Research Fellow at the Bernard Schwartz Center for Economic Policy Analysis (SCEPA) of the New School in New York and Professor at the Center for Empirical Macroeconomics (CEM) at the University of Bielefeld stated, that at present, but the effect is another mechanism, with the functioning of modern financial markets has to do, the rise in oil prices: trade with oil derivates in the futures markets has increased in recent years gained importance.

In these markets is already the demand of tomorrow traded. For example, traders anticipate what China is the future for oil to pay could be. The prices for derivatives in turn impact on the real prices. Of course you can also offer temporary disruption of the price rise and a lot more than most other products. Cyclones, geopolitical crises, political unrest and strikes, influence the barrel price in the short term often dramatically. Economists say that the elasticity of demand of energy consumption is relatively low and therefore minor changes in the offer price rise.

Thus, not only the real shortage of oil, risings demand from growth regions such as China and India for consideration, the price boosted. The financial market bubble in the paper barrels has contributed its part. The total assets in the futures markets to invest are in the years 2000 to 2006 from 40 billion to 140 billion respectively. The trend was exacerbated by the fact that loans due to low interest rates have been cheap. Tilts the economy now? So far, the rising oil prices do not yet have big slump in the economic growth effect.

But this might be happen in the next future. The energy consumption is relatively low, therefore only a small increase in terms of offering, but a high increase of price. Equally important is, that the American economic growth is already weakening, in the last quarter annualized; it amounted to only 2. 5 percent. The U. S. central bank chief is out warnings that the interest rate could be increased further. The purchasing power of middle-income people in the United States in recent years barely risen. At the same time increased the debt of the households.

Real estate prices are already so shrinks the creditworthiness of many households. Additionally you should have a look at the latest news in order to build your own picture about the upcoming issues with the oil and gas price. The Economic Times reported: SINGAPORE: World oil prices rebounded in Asian trade Wednesday, after the OPEC oil group announced it had agreed to cut real output by 520,000 barrels a day, dealers said. In morning trade, New York’s main contract, light sweet crude for October delivery was up 84 cents to 104. 10 dollars a barrel while Brent North Sea crude rose 63 cents to 100. 7 (The Economic Times, Oil prices rebound after OPEC output cut. Sep 10, 2008) The Financial Times reported: In Europe, angry farmers and truck drivers blocked roads and struggling budget airlines grounded their aircraft. In Asia, citizens protested as governments from India to Taiwan cut the generous fuel subsidies they could no longer afford and China’s growth engine began to show signs of needing less oil as the Olympic Games came to a close. In the past two months oil markets have begun to reflect such changes and prices fell to as low as $105 a barrel last week. Hoyos C. , Opec ponders when to cut oil output in effort to boost price. Sep 10, 2008) In summary, if a sharp rise in oil and gas prices and further interest rate increases together it could, given the unstable economic situation in the U. S. in fact an economic crisis initiate. References Hoyos C. (September 8, 2008). Opec ponders when to cut oil output in effort to boost price. Retrieved September 12, 2008, Financial Times, from Web site http://www. ft. com/cms/s/0/c7d09570-7d3c-11dd-8d59-000077b07658. html OPEC. (2008).

The Organization of the Petroleum Exporting Countries. Retrieved August 10, 2008, from http://www. opec. org/aboutus/history/history. htm The Economic Times (September 10, 2008). Oil prices rebound after OPEC output cut. Retrieved September 12, 2008 from Web site http://economictimes. indiatimes. com/%20News/%20International_Business/%20Oil_prices_rebound_after_OPEC_output_cut/articleshow/%203465594. cms Semmler, W. (2006). Asset Prices, Booms and Recessions: Financial Economics from a Dynamic Perspective. Berlin and Heidelberg: Springer-Verlag GmbH & Co.

KG. Sullivan, B. (June 19, 2008). Real Impact of Gas Prices on Economy. Retrieved August 10, 2008, Fox Business from Web site: http://briansullivan. blogs. foxbusiness. com/2008/06/19/real-impact-of-gas-pric es-on-economy. htm US Energy Information Administration, (2007). World Proved Reserves of Oil and Natural Gas. Retrieved August 10, 2008, from http://www. eia. doe. gov/emeu/international/reserves. html Williams, James L. (May 2008). Crude Oil Prices. Retrieved August 10, 2008, WTRG Economics, from Web site: http://www. wtrg. com/prices. htm

Properties of Chemical Reactions Ms. Whitty, Science 10 Fiona Adams, November 1st, 2012 Introduction Chemical reactions are a part of our daily lives, from rusting metal to making bread to leaves changing colour in the fall. A chemical reaction is the process that occurs when two or more substances combine to produce a chemical change. When a chemical reaction takes place, the change is indicated by one or more qualitative properties. The colour or odor could change, gas could be produced, a precipitate – a solid substance in a solution – could be formed, or energy could be absorbed or released.

The substances initially involved in a chemical reaction are called reactants. When chemical reactions occur, the end result is called a product. Products usually have different properties than reactants; bonds between atoms will be changed during the reaction, switch the atoms’ arrangement in different compounds. A compound is a chemical substance that consists of two or more different chemically bonded elements. In this experiment, several different compounds are being worked with – potassium iodide, lead (II) nitrate, acetic acid and sodium bicarbonate.

The purpose of this experiment is to determine whether or not a reaction has taken place using qualitative and quantitative analysis. Procedure Part 1 – Qualitative observations of both potassium iodide and lead (II) nitrate were recorded in a table. Then, the equipment and chemicals needed were gathered – potassium iodide and lead (II) nitrate, a graduated cylinder, Erlenmeyer flask, small test tube, rubber stopper, and small scale. Using the graduated cylinder, 10 mL of potassium iodide solution was measured and poured into the Erlenmeyer flask.

Next, the lead (II) nitrate solution was poured into the small test tube until it was approximately half full. The test tube was placed inside the Erlenmeyer flask, and sealed with a rubber stopper – the solutions were not mixed. The mass of flask, stopper and contents were determined by being placed and weighed on a small scale. The mass determined was then recorded in another table. The Erlenmeyer flask was tipped so the previously separate solutions were allowed to mix, and the new mixture was again weighed and recorded in the second table.

Changes in appearance from the original solutions were recorded in the first table. Lastly, leftover materials were disposed of. Part 2 – Qualitative observations of both acetic acid and sodium bicarbonate were recorded in a third table. Equipment and chemicals were gathered – acetic acid and sodium bicarbonate, a small scale, two plastic “weigh boats”, scoopula, and graduated cylinder. The first weigh boat was placed on the scale and the scale was “zeroed”. One scoop of sodium bicarbonate was poured into the weigh boat with the scoopula, and the results were recorded in a fourth table.

Next, the second weigh boat was placed on the scale and zeroed. Using the graduated cylinder, 15 mL of acetic acid was measured and poured into the weigh boat on the scale. The mass of the acetic acid was recorded in the fourth table. The sodium bicarbonate, measured previously, was poured into the weigh boat of acetic acid, and qualitative observations of that were recorded in the third table. When the reaction was complete, the mass of the products shown on the scale was recorded in the fourth table. Lastly, leftover materials were disposed of. Results

Qualitative Observations Part 1 – Before the reaction took place, both the potassium iodide and lead (II) nitrate had similar characteristics – they were both in a liquid state, as well as being clear and colorless. After the reaction, the qualitative observations of the new substance showed several differences. It was yellow in color, and a grainy precipitate had formed. The substance remained in a liquid state. (Table 2) Quantitative Observations from Part 1 – Mass of Reactants and Apparatus (g)| 140. 26| Mass of Products and Apparatus (g)| 140. 26| Qualitative Observations Part 2 –

Before the reaction took place, the acetic acid and sodium bicarbonate each had different qualitative characteristics. The acetic acid was clear, colorless and in a liquid state. The sodium bicarbonate, however, was a white powder, in a solid state. The reaction caused the new substance to bubble and foam, producing a gas. (Table 4) Quantitative Observations from Part 2 – Mass of Sodium Bicarbonate (g)| 1. 01| Mass of Acetic Acid (g)| 14. 29| Mass of Products (g)| 14. 88| Analysis Part 1: The chemical reaction that took place was evidenced by several qualitative observations.

The colour of the two original substances was clear, and when combined the colour changed to yellow – a change of colour is clear evidence of a chemical reaction. The word equation for this reaction would be – potassium iodide + lead (II) nitrate Potassium nitrate and lead (II) iodide. In the form of a balanced equation, this reaction would be – 2KI + Pb(NO3)2 2KNO3 + PbI2. Weighing both the reactants and the product showed that the mass of the reactants, with the apparatus, was 140. 26 grams. The mass of the product, with the apparatus, was also 140. 6 grams – the product of this reaction had the same mass as the reactants. These results were expected, based on the Law of Conservation of Mass. The Law of Conservation of Mass is neither created nor destroyed in a chemical reaction. The application of the Law of Conservation of Mass means that the mass of products in a chemical reaction will equal the mass of the reactants, and this is consistent with the results of the first experiment. Part 2 Several qualitative observations determined that a chemical reaction took place – the product bubbled, and a gas was produced.

The chemical equation for this reaction is CH3COOH + NaHCO3 NaCH3COO + H2O + CO2. Put into a word equation, the equation would be acetic acid + sodium bicarbonate Sodium acetate + water + carbon dioxide, carbon dioxide being a gas. Because a gas is present on the product side of the equation but not on the reactant side, the gas has been produced, which is evidence of a chemical reaction. Weighing the reactants and products showed that the combined mass of the reactants was 15. 30 grams. The combined mass of the products was 14. 8 grams, weighing slightly less than the reactants. This result was expected, because it is consistent with the Law of Conservation of Mass. Although the product weighed on the scale showed a slightly lower mass, this was because the carbon dioxide was a gas, and was not accounted for on the scale. To achieve better results and gain an accurate measurement of the products’ combined mass, it would be necessary to capture the gas and weigh it as well. Part 3: Extension For the chemical reaction AgNO3 + NaCl NaNO3 + AgCl, the total molecular mass of the reactants would be 228. grams – silver nitrate (AgNO3) would have a mass of 169. 9 grams, and sodium chloride (NaCl) would have a mass of 58. 5 grams. Based on the experiments performed in the lab, and the Law of Conservation of Mass, it is expected that the mass of the products would be 228. 4 grams as well. This prediction can be proved by finding the molecular mass of the reactions products – multiply the mass number of each atom by the number of said atom, and add the amounts to determine the total mass of sodium nitrate and silver chloride, the products. Conclusion

Using qualitative and quantitative analysis, it was determined that reactions took place in each portion of the lab – the first between potassium iodide and lead (II) nitrate; the second between sodium bicarbonate and acetic acid. In each section, the reactions were evidenced by several qualitative observations. When potassium iodide and lead (II) nitrate were combined, a change of colour occurred in the reactant and a precipitate was formed. This is evidence of a chemical change. When acetic acid and sodium bicarbonate were combined, a gas was produced; also evidence of a chemical reaction.

In the experiments, the Law of Conservation of Mass was discovered. The quantitative evidence in each section proved this law. In the first experiment, the mass of the products was equal to the mass of the reaction, indicating that matter was not created or destroyed in the reaction. The results of the second reaction showed a decrease in the mass of the product – however, this was only because the gas formed in the reaction could not be weighed. Application Much of the ease of our current lifestyle is due to the availability of fresh air, pure water and access to resources – all of which are almost entirely taken from the environment.

When fossil fuels like coal and oil are mined and utilize, the result is a huge negative impact on the many aspects of the environment, and as a direct consequence, our lifestyles. Coal and oil have to be extracted from deep under the earth, transported, and burned. At each stage of this process, greenhouse gases – i. e. , carbon dioxide – are produced. Burning is especially bad for the environment; when burned, fossil fuels like coal and oil release mass amounts of carbon, which then combines with oxygen to form carbon dioxide. References University of Washington.

Chemical Reactions – an Introduction. http://depts. washington. edu/chemcrs/bulkdisk/chem110A_aut01/notes_Week_5. pdf (accessed Oct. 30, 2012). Science Daily. Science Reference – Chemical Compound. http://www. sciencedaily. com/articles/c/chemical_compound. htm (accessed Oct. 30, 2012). American University. Oil Production and Environmental Damage. http://www1. american. edu/ted/projects/tedcross/xoilpr15. htm (accessed Oct. 30, 2012). Chem Professor. Reactants and Products. http://www. chemprofessor. com/outline7b. htm (accessed Oct. 30, 2012).

Running head:  EMPLOYMENT LAW

“Baum v. Helget Gas Products Inc.”

Employment Law: Breach of Contract

_________________________________________________

Name

Name of Institution

Date

James Allen noted that if one works joyfully and peacefully with the right thoughts along with the right efforts, then one will gain the right results (Joel, 2001).  The connotation may sound perfect for every individual who dreams of being employed, but as for Baum, a professional who got fired due to contractual issues—the connotation does not apply without the presence of a definite agreement from both the employer and the employee.

            Laws that define the rights of employees and the sanctions that await employers that cross along the borders of these laws have been consistently spurred by union groups and activists.  In the case of Baum, he made it clear before he applied for HGP—a company—that he has a set of notes and specifications on the extent of his employment if he will be hired to work for them (“Baum v. Helget Gas Products, Inc. 440 F.3d 1019,” 2006). The agreement has been in a form of notes, which he critically outlined during his meeting with the president of the company. It stated that the contract of his profession would come along in three years given the salary and the job description that has been tackled in the meeting. In return, the president agreed with these specifications hence failed to sign the written agreement.  It was only through the supervisor of the company that Baum’s conditions were realized into paper.

            After less than a year with the company, Baum was fired by the president of the company as it contends that the employee failed to meet his expectations. As an outcome of this miscommunication—between Baum, the supervisor and the president—Baum the issue was brought into court and Baum lost in the trial.  With high hopes, Baum request for an appeal to the decision. He argued that it is his right to sue the company for Breach of Contract—given that there was a written agreement to serve as a basis for his disbelief and right for a just a fair trial.

            The law states that in the grounds of employment-at-will, the employer can fire an employee for no cause whatsoever, for a good cause or otherwise.  Even though the details for this law have long been forsaken by employees who do not have written contracts, still, employees can fight for their rights when a clear basis for such challenge is pursued. Public-policy exception, implied-contract exception and covenant-of-good-faith exception are among the rights that an employee can fight for in his or her job (Joel, 2001). The issue with Baum as the court defines is the unclear agreement with no definite terms that has transcribed between them. Thus in the light of the fact that there was a “written agreement” between both parties, Baum sees that he still has a shot on this case on the higher  court.

            In this regard, the court of Missouri considers the presence of the “written agreement” and must further analyze Baum and HGP’s case. The following issues are raised: the extent of the written agreement and the specifications that were agreed upon by both parties, the clarity of the agreement with regard to the duration of work or the contract, the grounds for firing the employee and if these have not violated the rights of an employee.

            The case still needs to be critically analyzed and a lot of factors are yet to be considered.  The employer may have a high chance on winning the case as to the level of legality of the contract. But the supervisor—who plays a big role in the scenario—also needs to be addressed. The court may also consider Baum’s part, as to how he has worked for the company and the legality of the ‘written agreement’ in terms of employment rights. It may also be possible the he has not been oriented by the company or either the company took advantage of the applicant’s innocence when it comes to contracts. The verdict on this case lies on the jury on hard evidences.

References

Baum v. Helget Gas Products, Inc. 440 F.3d 1019 (8th Cir. 2006).

Joel, L. G. I. (2001). Every Employee’s Guide to the Law (Rev Upd Su ed.). New York, NY: Pantheon.

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Manufacturing account, the term I use to describe business organizations engaged in the manufacture of goods for sale. These company maintain a manufacturing account. 2. Cost Method: Expenses are the cost of unsold products and are reported as assets.

These expenses include wages, electricity in offices outside of the factory (sales and marketing, general administrative offices) are reported immediately as expenses in the accounting period that they are used cost outside of the factory do not become part o the product cost. Under the accrual method of accounting, period cost such as selling, general and administrative expenses are reported in the income statement in the accounting period in which they are used up or explore. Variances from purchase are recorded at that time the raw materials are purchased and re – classified into raw materials inventory,

 Oil and Gas Account

The term is used to describe the books of account of companies involved in the exploration an development of crude oil and natural gas.

• Cost Method Accounting for oil and gas operations follow one of two methods of financial accounting.
• Full Cost Method: All property acquisition exploration and development cost, even dry hole cost are capitalized as oil and gas properties.

These cost represent fixed asset, amortized on a country – by country basis using a unit of production method based on volume produced and emaining proved reserves. Acquisition and development activities are capitalized expenses irrespective of whether or not the activities resulted in the discovery of reserve. b. The successful effort (SE) method: allows a company to capitalize only those expenses associated with successful locating new oil and natural gas reserves. automotive, electrical, agricultural, medical and aromatic industries. Stocks are recorded as current assets and are classified into . Raw materials and consumables . Work in Progress . Finished goods and goods awaiting sale . Prepayment for stock in transit The Financial Accounting Standard Board issued it concept statement No 6 Element of financial statements which defines terms as expenses, loses, revenues, assets e. t. c

Accounting Policies Goodwill is not subject to amortization instead the companies must conduct periodic impairment testing. The Net unauthorized capitalized costs are also amortized on unit of production method whereby property acquisition cost are amortized over proved reserves and property development cost are amortized over proved developed reserves.

The Net Unamortized capitalized cost of oil and gas properties less related deffered income taxes may not exceed a ceiling consisting primarily of a computed present value of projected future cash flows, after income taxes , from the proved reserves. Amortization is computed by lease or property) or field. Accounting standard disclose for the petroleum downstream activities engaged in a. Refining and petrochemical . Marketing and Distribution . Liquefied Natural Gas Accounting Policies are captioned rather than as notes in the financial statements. ork in process inventory, finished goods inventory, and cost of good sold. Profit margins set are Standardized cost and represented graphically as break even point analysis.  Accounting Policies a. Disclosure requirement for balance sheet:- Goodwill are reported in the balance sheet as deffered charges and are long term asset. Accounting policies prominently disclosed as note to individual items in the financial statement of conventional manufacturing accounting. Disclosure requirement refers to the minimum amount of information which should be presented on financial statement.

The disclosure requirement for balance sheet and profit and lost account is regulated by the second schedule of the company And Allied Matters Act in Nigeria (CAMA) 1990 while for the others part of the financial statement, it is regulated by the statement of accounting standard issued by the Nigerian Accounting Standard Board. They act under Section 335 sub-section 1 provides: For unsuccessful or (dry hole) results, the associated operating cost are immediately changed against revenue for that period. Acquisition and Mineral Right

Prospecting cost associated with pre licensing are incurred in the period prior to the acquisition of legal right to explore for oil and gas in a particular location, such cost include the acquisition of speculative seismic data and expenditures on the subsequent geological and geophysical analysis of the data. Other licensing faces are oil exploration license, oil mining lease license. Oil prospecting license (OPL). In the course of acquiring the right to explore, develop and produce oil or natural gas, expenses relating to either purchase or lease to the right to extract the oil and gas from a property not owned by the company.

Acquisition costs also includes any lease bonus payment to the property owner along with legal expenses, and title search, broker and recording cost. Under both SE and FE accounting methods acquisition cost are capitalized “The financial statement of a company prepared under section 334 of this Decree shall comply with the requirement of schedule 2 to the Decree (so far as applicable) with respect to their form and content, and with the accounting standards laid down in the statement of accounting standards, issued from time to time by the Nigerian Accounting Standard Board.

Provided such accounting standards do not conflict with the provision of this Decree or Schedule 2 to this Decree”.   The manufacturing process result in the continuous flow of intermediate product which serve as industrial input for the production of wide varieity of end product in building, textile, packaging, automotive, electrical, agricultural, medical and aromatic industries. Stocks are recorded as current assets and are classified into.

Raw materials and consumables. Work in Progress . Finished goods and goods awaiting sale iv. Prepayment for stock in transit The Financial Accounting Standard Board issued it concept statement of Exploration Costs: Typical of exploration costs are changes relating to the collection and analysis of geo-physical and Seismic data involved in the initial examination of a targeted area and later used in the decision of whether to drill at that location.

Other cost involved those associated with drilling a well, which are further considered as being intangible or tangible. Intangible cost in general are those incurred to ready the site prior to the installation of the drilling equipment whereas tangible drilling cost are those incurred to install and operate that equipment. Treatment: All intangible cost will be charged to the income statement as part of the periods operating expenses for a company following the successful method .

All tangible drilling cost associated with the successful discovery of new reserves will be capitalized while those incurred in an unsuccessful effort are also added to the operating expenses for that period. Capitalized means being added to the balance sheet as a long term assets.

Development cost: Involved in the preparation of discovered reserves for production such as those incurred in the construction or Disclosure Requirement for Value Added Statement Value Added simply refers to the difference between input value and output value. S. 35 (4) of the CAMA 1990 requires that “ the value added statement shall report the wealth created by the company during the year and its distribution among various interest groups such as the employees, the government, creditors, proprietors and the company”, while emphasizing on the importance of the statement as apart of the financial statement, SAS 2 pointed out that the statement will enable companies to ensure the public that they do not exist for the length of their owners only but rather for the society at large. Possible uses to which the statement could be put include:

• Predicting managerial efficiency
• Indicating the company’s wage paying ability
• Evaluating the relative rewards of “shareholders” and other claimants against the company. the construction or improvement of roads to access the well site, with additional drilling or well completion work, an with installing other needed infrastructure to extract (e. g. pumps), gather (pipelines and store tanks) the oil or natural gas reserves both ST and FC allow for the capitalization of all development costs

Production cost: Ensured costs in extracting oil or natural gas from the reserves are considered production costs. Typical of these cost are wages for workers and electricity for operating well pumps. Production cost are considered part of periodic operating expenses and are charged directly to the income statement under both accounting methods. Full cost accounting provides more meaningful financial statement. The primary asset of an oil company are the underground oil and gas reserves but not the individual well drill (expenses) in producing the oil. Its been further argued that the amortization of full cost over time produces more meaning income statement through improved matching of cost is to be released revenue.

No 6 Element of financial statements which defines terms as expenses, loses, revenues, assets e. t. c Disclosure Requirement for Profit and Loss Account The Profit and Lost Account is an account which report the revenue and expenses of an enterprise for a given accounting period. The objective of the profit and loss account as stated under S. 335 (2) of CAMA 1990 is to give a true and fair view of the profit and loss account of the company for the financial year. The minimum information are disclosed in the profit an loss account are disclosed in schedule 2 paragraph 13 of CAMA 1990.

Disclosure Requirement For Fund/Cash Flow Statement Statement of Accounting Standard (SAS) 2 defined a funds flow statement as a statement which provides information on the derivation and utilization of funds during the period covered by the financial; a statement. A funds flow statement show the movement in net current assets of a company Companies are required by law under S. 335(3) of CAMA 1990 to prepare and publish such statements and to give a detailed information on the various sources of funds on its disposition during the accounting period covered. 4.

In the oil and Gas companies are refining which is simply the breaking down of the hydrocarbon mixture of crude oil into useful petroleum products. This is done through distillation cracking, reforming and extraction process these operations can be subdivided into . Crude oil acquisition. Crude oil storage. Processing . Blending . Finished products stages Oil and gas companies are affected by periodic changes for depreciation depletion and amortization (DD &A) of costs relating to expenditures for the acquisition and development of new oil and natural gas reserves.

They include the depreciation of certain long – lived operating equipment, the depletion of costs relating to the acquisition of property or properly mineral rights, and other amortization of tangible non – drilling cost incurred with developing the reserves. The periodic depreciation, depletion and amortization expense charged to the income statement is determined by the unit of production method in which the percent of total production for the

Note to the account: does not become necessary if the balance sheet profit and lost account provides sufficient disclose in the accounts to give a true and fair view of the company’s state of affairs and the profit and loss position. This is however contained in S. 335  of the CAMA 1990 which states as follows: “if the balance sheet or profit and loss account drawn up in accordance with these requirements would not provide sufficient information to comply with subsection of this section, any necessary additional information shall be provided in that balance sheet or profit and loss account or in a note to the accounts”.

Total production for the period to total proven reserves are the beginning of the period is applied to the gross total of cost capitalized on the Balance Sheet. Depletion is the means of expending the cost incurred in acquiring and developing oil and gas using unit of production method.