Commodity Trade Mantra

Posts Tagged ‘Oil and Gas Investment’

A Massive Spike In Crude Oil Prices Seems Inevitable - IEA

3 years of drastic cuts to upstream spending due to the meltdown in oil prices could result in a shortage of oil supply in a few years, according to the IEA. Global oil and gas investment dropped by a quarter in 2015 & by an additional 26% last year. The pipeline of new projects is too small, while oil demand continues to grow, eventually overtaking supply & leading to a sharp spike in oil prices.

Oil Prices can Spike on $1 Trillion In Spending Cuts

An oil supply deficit may be hard to fathom given two years of surplus and rock bottom oil prices, but with the financials of so many oil companies badly damaged, upstream investment could come up short in the not-too-distant future, even if oil prices continue to rise this year. The small increase in the US oil rig count over the past few weeks is not nearly enough to reverse the decline.

follow us

markets snapshot


Market Quotes are powered by Investing.com

live commodity prices


Commodities are powered by Investing.com India

our latest tweets

follow us on facebook