Friday 28 October 2016

Winners and losers emerge from the oil price slump

Winners and losers emerge from the oil price slump:

"Opec’s decision to push for production cuts last month has led many to declare the US shale oil industry as the biggest winner from a two-year price war.

The wildcatters of the US shale patch successfully cut costs and consolidated operations to weather the storm of $40 oil, leaving behind a leaner more resilient industry that should benefit as prices recover.

Opec members have come under severe financial duress, including the cartel’s largest producer and de facto leader, Saudi Arabia. Riyadh has conceded that a higher price is necessary, with the market downturn far more severe and longer lasting than anticipated."



'via Blog this'

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