Opec faces a new energy world, and it better realise that
WEAK oil prices were inevitable once the largest and most profligate petroleum user found a way to extract crude from its stubborn rocks. Consequently, a capacity glut by the end of the decade was also forecast to a world worrying about looming supply shortages.
The current market situation would have been far worse if traditional producers such as Libya were not afflicted. And how far south prices will head is still being debated after months of fall.
The slide became starker as the global economy that tanked seven years ago has struggled to recover, affecting oil demand. Geopolitical tensions over Iran's controversial nuclear programme have lost some bite. Washington and Teheran have reduced acrimony, and the West has resumed nuclear talks.
KEYWORDS IN THIS ARTICLE
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Columns
‘Competition for talent’ a poor excuse to keep key executives’ pay under wraps
OCBC should put its properties into a Reit and distribute the trust’s units to shareholders
Why a stronger US dollar is dangerous
An overstimulated US economy is asking for trouble
Too many property agents? Cap commissions on home sales
Time to study broadening of private market access