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With the US having the largest oil reserves in the world and half of that being shale [1], I doubt we are going to see an implosion. Besides, Big Oil Companies
by Fjolsvith 8y ago
With the US having the largest oil reserves in the world and half of that being shale [1], I doubt we are going to see an implosion. Besides, Big Oil Companies are getting into the game with their massive war chests [2], so while the little companies are going under, the big ones will take over and keep the crude flowing.
1. https://money.cnn.com/2016/07/05/investing/us-untapped-oil/index.html https://money.cnn.com/2016/07/05/investing/us-untapped-oil/i...
2. https://www.investors.com/news/oil-companies-target-oil-pipeline-capacity-us-shale-oil-surge/ https://www.investors.com/news/oil-companies-target-oil-pipe...
- nate_meurer 8y agoThe only way to avoid an implosion is to find a way to make shale oil profitable. Given that no one's been able to do that, after a couple decades of trying, I'm deeply skeptical that the big boys will do any better. I think they're desperate, after cutting a trillion dollars in capex on conventional exploration since the crash. Meanwhile, shale is sitting on massive a debt bubble that won't be payed off with modest profitability. They need to make big profits to dig out of that.