B2 – Upper Intermediate
Oil prices increased amid concerns about geopolitical tensions and possible supply disruptions. Higher oil prices can raise transportation and production costs, potentially contributing to inflation and affecting stock markets.
Read the article to know more about the effects of rising oil prices.
Vocabulary Questions:
- What does “to grapple with” mean? “On Wednesday, oil prices settled lower after the International Energy Agency agreed to accelerate the release of oil stocks and prioritize diesel supplies as governments grapple with record fuel prices and war-related supply disruptions.” Use it in a sentence.
Give a synonym or a similar expression. - What does “to curtail” mean? “On Wednesday, Shell and Chevron said they were curtailing Gulf offshore operations, while BP BP.L said it has removed all personnel and shut production at its Na Kika and Thunder Horse platforms.” Use it in a sentence.
Give a synonym or a similar expression. - What does “to shut in” mean? “US Gulf of Mexico oil and gas producers have shut in about 1.3 million barrels per day, or 62.9%, of current oil production as of Thursday, according to the US Marine Minerals Administration.” Use it in a sentence. Give a synonym or a similar expression.
Discussion Questions:
- . What are the main factors that can cause oil prices to increase in the global market?
- How do rising oil prices affect the cost of transportation, food, and other basic goods?
- Why can geopolitical conflicts and tensions cause uncertainty in global financial markets?
- What measures can governments and individuals take to reduce the negative effects of rising oil prices?
- Do you think the world can eventually reduce its dependence on oil? What challenges might prevent this transition?