Yes, a barrel of oil brought up by fracking costs around $62 (Canadian oil sands cost $74) per barrel(according to NPR below).  Though that is total cost, marginal cost of pumping after you drill and frack the well is around $35.<p>Oil demand tends to be fairly inelastic. Almost all of oil pricing is supply driven.  OPEC decides on a target price and produces to meet that price.  The current price has happened because Saudi usually stops producing to keep prices stable and high, and for now they just haven&#x27;t slowed down at all.  Either they need money badly enough that they will take any profit at all or they are using oil prices as a weapon.<p><a href="http:&#x2F;&#x2F;www.npr.org&#x2F;2014&#x2F;11&#x2F;04&#x2F;361204786&#x2F;falling-oil-prices-make-fracking-less-lucrative" rel="nofollow">http:&#x2F;&#x2F;www.npr.org&#x2F;2014&#x2F;11&#x2F;04&#x2F;361204786&#x2F;falling-oil-prices-m...</a>