Shale Oil debacle

[Gerard Remy + 10]

          The Shale Industry I believe is on a slippery slope

• It has not been able to generate much profitability for investors because the technology applied does not make operations feasible at lower prices.
• When the prices are high, the rig count increases creating an oil surplus which drives down prices so it goes back to square one.
• The cycle as described above has worn out investors so it is now harder to attract capital for the majority smaller operations.
• OPEC is aware of these dilemmas especially with the previous point and has decided to chance cutting production without fear of losing market share.
• Sanctions on Iraq and Venezuela are working in OPEC's favor.

Edited April 11, 2019 by Gerard Remy
grammar error