All content in this website is sourced legitimately

Article Details
Page No:  1
Breakeven price moves down-I: Shale oil goes down fastest
Apr 03:   One of the reasons why oil prices are not going up is also because the breakeven cost of oil and gas projects across all categories has come down sharply over the last three years.
8Crude produced from conventional South American blocks, most offshore blocks, as well as shale and tar sands were all above the $60/bbl mark three years ago.
8Three years down the line, the latest marginal supply curve data shows marginal shale oil production at significantly lower than the $ 60 mark. This explains why with the rise in prices, US shale oil rig count and production have started rising again.
8Bulk of offshore production is now well below the $60 mark with only a small segment above this level
8So near about 100% of global capacity is now near the $ 60 mark
8The breakeven of tar sands is now about $ 75-77, lower than what it was three years ago
8The only expensive production is now, and clearly unviable at current rates, is marginal out from expensive offshore assets, Gas to Liquids, CTL and bio fuels
Click on Reports for more
 Details

**********************************

<< Back  |  Top
 
The content in this website is authentic and all information is sourced legitimately. The news we produce is collated through journalistic effort that is legal and legitimate. We carry no information that violates Indian law or is a breach of confidentiality in any form or manner.
Copyright 2017 www.indianpetroplus.com. All rights reserved