Opec could gain from aggressive increase in output | The National

Opec could gain from aggressive increase in output | The National:

"Generals are said always to be preparing to fight the last war.

Opec, led by Saudi Arabia, is now re-fighting the campaign of 1986, with some signs of success. But does an entirely new battlefield demand a complete change of strategy – and, if so, what would that be?

As several recent publications – by Columbia University, Citigroup and a provocative new book by Roberto Aguilera and Marian Radetkzi – suggest, the new oil world is not a continuation of the last but something entirely different. The advent of North American shale means that oil production is essentially unlimited at a price of US$60 to $80 per barrel – and possibly less, as technology advances in this still-infant industry."



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