Shale Oil Pioneers Say the Boom is Ending
OPEC has plenty to worry about. They have learned that getting the oil price back up towards 80 is going to put steroids into shale. Plus shale is way more reactive which means that OPEC players have not even gotten their pants on while the shale boys are already puncturing the ground. This means that there is no price upside for them anymore as shale will cut those short peaks off quicker than they can order a falafel. BUT – and this is important – they still can’t seem to balance their budgets with USD 50 oil. They need way above that. This territory is off-limits to them now so it’s questionable what their future prospects are. An oil-export-economy that can’t seem to balance the books through oil anymore has only two ways to go: reform or down the drain. So many changes …
