If the oil price is zero or negative what is the point of drilling for more? All those reserves effectively are valueless. Cashflow dries up and @majors@ go bust. Who'da thought a virus could do that?
minus $40,...so the UK government are going to be paying me to drive now? You know a ponzi-scheme when the usa_fascists are pumping TRILLIONS into thieir own economy. By way of the corporations again stealing vast sums from good American citizens. Evil has to have light shone upon it for it too be extinguished. The americunts are not a fiscally sound nation if all these TRILLIONS don't actually get added to the national debt,...which still stands at only 23T
Bit more reading and this is done on futures price, so it's only May to be this low, apparently June and beyond are $50 higher minimum. Still shit but better than it seems.
It’s not great. First section in O&G to get whacked is drilling. The process side of the business is generally kept running. Commissioning is usually put on hold. Generally speaking. All stuff that has budgeted and passed, usually goes ahead. We’ll all be impacted but it can be 18 months or so after the price drama. Keep calm and carry on
The Chinese and their lust for world domination 1 ‘accidently’ released contagion every few years each strain more communicable and deadly than the one before. Having seen how easily crippled countries are, those in Beijing pulling strings will have seen how powerless and divided the old order are in crisis. Next step for them would be to have both the virus and the cure on standby. Just saying....
That "contango", difference between spot and forward relates to physical supply now rather than future delivery in July. That contango could disappear if the global economy does not go back to work and more unused supply has to find storage. Then the real trouble starts as the industry has to begin a shut-down.
