• 3 minutes Trump vs. MbS
  • 11 minutes Can the World Survive without Saudi Oil?
  • 19 minutes Saudis Threaten Retaliation If Sanctions are Imposed
  • 1 hour WTI @ $75.75, headed for $64 - 67
  • 1 hour EU to Splash Billions on Battery Factories
  • 3 hours US top CEO's are spending their own money on the midterm elections
  • 32 mins The Dirt on Clean Electric Cars
  • 11 hours Petrol versus EV
  • 5 hours OPEC Is Struggling To Deliver On Increased Output Pledge
  • 21 mins Satellite Moons to Replace Streetlamps?!
  • 3 hours The Balkans Are Coming Apart at the Seams Again
  • 8 hours 10 Incredible Facts about U.S. LNG
  • 1 hour Uber IPO Proposals Value Company at $120 Billion
  • 17 hours E-mopeds
  • 3 hours A $2 Trillion Saudi Aramco IPO Keeps Getting Less Realistic
  • 7 hours U.N. About Climate Change: World Must Take 'Unprecedented' Steps To Avert Worst Effects
  • 1 day These are the world’s most competitive economies: US No. 1
Alt Text

Barclays: $70 More Likely Than $100

While there have been plenty…

Alt Text

This Merger Creates A New Oilfield Services Giant

Two of the leading offshore…

Martin Tillier

Martin Tillier

More Info

Trending Discussions

Halliburton Is Bullish On Their Future & You Should Be Too

If sensational headlines are to be believed, the recent drop in oil prices signals the end of the U.S. shale boom. The reality, however, is likely to be more about a shift in focus than it is about a collapse. Yes, some shale oil is fairly costly to extract and some wells were only drilled because WTI at over $100 made them seem like a reasonable proposition, but the vast majority of producers and plays can survive with oil at these levels. According to IEA Executive Director Maria van der Hoeven in an interview with Reuters recently “…some 98 percent of crude oil…from the U.S. has a breakeven price of below $80 and 82 percent have a breakeven price of $60 or lower.”

It is likely then that even if prices stay low, or even fall further, what we will see will be a shift of resources to the lower cost plays rather than a dramatic reduction in capacity or actual production. That is especially so given that, despite recent wobbles; global demand for energy is still increasing and will continue to do so for the foreseeable future. Obviously lower prices hit the margins of producers, so investors are rightly wary of throwing money at E&P companies until some stabilization is achieved. If production is continuing, however, but with the geographical emphasis being shifted, there is one group that would benefit from that; oilfield service companies.

Those companies have seen their stock fall as oil prices have collapsed but if production is…

To read the full article

Please sign up and become a premium OilPrice.com member to gain access to read the full article.

RegisterLogin

Trending Discussions





Oilprice - The No. 1 Source for Oil & Energy News