US$60 is the new US$50 for oil drillers in US waiting for rebound

New York

EARLIER this year, oil and natural gas companies facing the worst slump in a generation said they would need crude to reach US$50 a barrel before resuming drilling. Last week, despite higher prices and lower costs, the industry raised the bar, signalling it will take US$60 or better before meaningful production can resume.

"The industry doesn't want to ramp things up until they are fairly confident prices will hold up," said Bri…