Oil & gas

Just how low can the oil price go? What was unthinkable even a few months ago is now becoming distinctly probable, even likely.

As analysts dissect the ramifications for the oil industry of $40 dollar barrel, oil traders are now thinking that the price of crude will halve that to a staggering $20 a barrel. Prices have not been that low for twenty years.

Just a few weeks ago, traders believed that the oil price would bottom out at around $40 a barrel, but two weeks into January and we have reached that level already.

If the price of oil drops to $20 per barrel there will be carnage in the upstream unconventional oil industry in North America. This is looking increasingly likely.

OPEC Wants to "Crush US Shale"