That is nonsense. Do you really believe a significant drop in oil prices does not result result in less drilling? Do you think it is coincidence that are active drilling rigs in the US is down by half?
Less drilling leads to a reduced cost of drilling...which ultimately lead to more drilling...
Depends upon what the drilling is for. If it is simple exploration, then yes, it will be reduced. But to create producing wells, then they stay the same.
Do you think it is coincidence that are active drilling rigs in the US is down by half?
This is where shale comes into play. Our oil production from shale has increased significantly due to the administrations hostile action against rigs. Saudi even increased their production to try and kill US shale production.
The drop in drilling rigs means only the rigs that were marginal are no longer active.....a lot of marginal rigs are being fracked instead of drilling new wells. Your constant ringing of hands over the plight of the oil companies leads one to believe you are closer than you let on. The price of oil is still higher than it should be. Oil is abundant and easier than ever to access. The true price should be around the $25-30 range.