Barrels Of Oil Equivalent Per Day (BOE/D)

Published Aug 16, 2023

Definition of Barrels Of Oil Equivalent Per Day (BOE/D)

Barrels of oil equivalent per day (BOE/D) is a unit of measure used to compare different types of energy sources. It is defined as the amount of energy produced by burning one barrel of crude oil. That means it is a measure of energy production that is independent of the type of energy source.

Example

To illustrate this, let’s look at a power plant that produces electricity from both coal and natural gas. The power plant produces 10,000 barrels of oil equivalent per day. That means it produces the same amount of energy as if it were burning 10,000 barrels of crude oil. However, the actual energy production is split between coal and natural gas. For example, the power plant may be producing 5,000 barrels of oil equivalent per day from coal and 5,000 barrels of oil equivalent per day from natural gas.

Why Barrels Of Oil Equivalent Per Day (BOE/D) Matters

Barrels of oil equivalent per day (BOE/D) is an important measure for energy producers and consumers alike. It allows them to compare different types of energy sources on a common basis. That means they can compare the energy production of different sources without having to worry about the type of energy source. This makes it easier to compare the efficiency of different energy sources and to make decisions about which sources to use. In addition, it also allows energy producers to compare their own production with that of their competitors.