Most Canadian oil companies have budgeted based on a break-even point of $38-40 per barrel. Once it falls below this level, they cannot sell the petrol for less, or they would be losing money...the retail margins are already very tight.
Stock dividends are untouchable for oil companies, so they make sure that they pay dividends to their shareholders...several of my mutual funds (RRSP's) have oil stocks, so I'm glad I can always count on them
