₦airaland Forum

giantstrides:
It's harder to get shale oil, it's quite diff from the conventional means of getting oil, Right now only US companies have that tech.

www.technologyreview.com/news/412912/a-cheaper-way-to-draw-oil-from-shale/

Thanks for the info

[quote author=ifyan post=31232520][/quote]All over the world, even russia and china have oil shale deposits in large quantities but their tech makes it very expensive for drilling it so china simply prefers buying, even USA just discovered a way of drilling their shale oil more cheaply than before, that's what I meant by exporting that tech to other countries. Imagine if they do tht, russia won't be able to use it's Gas to threaten europe anymore because there will be massive increase in oil supply globally. Its been said that. USA has three times more than saudi's oil as their shale oil reserves, now they are producing their own oil, imagine if china starts producing their oil too? USA and China are highest oil users in the world. Russia was considering cutting supply to europe over the sanctions imposed on them, they can do that because china needs oil and will buy it from them, what if china start producing their oil, what now happens? They are forced to sell back to the west and by that time other countries wld be producing their oil through oil shale tech ( even UK has shale oil deposit ) .
Low price of oil doesn't affect USA much, they created the surplus themselves and they know wht they are doing. Its just another political weapon from them

Diezani was advocating for a cut in supply in order to create demand which was the main tactic always used by OPEC to stabilize prices. I doubt it would have worked like the strategy the Saudis are using to beat the shale producers.

Yeah, she was speaking based on the usual model of Demand-Supply factor of price control. However, the Saudis thought out of the box- a deviation from the normal. That is what puts and keeps you ahead in life.

ifyan:
An Italian CEO of an oil firm said that after the oil crisis, that a barrel of oil will rise up to $200 for the losses

Which will then make shale production once again profitable.. it's a revolving cycle.

ROSSIKE:
Which will then make shale production once again profitable.. it's a revolving cycle.

Almost everything for this life is revolving sir.