Why would oilcos reinvest profits for new production? They are facing being levered out of the market altogether by a government that promises to shut them down in a few short years.
I read there are a lot of wells that were drilled but not completed and those are the ones mainly going into production now.
Why would oilcos reinvest profits for new production? They are facing being levered out of the market altogether by a government that promises to shut them down in a few short years.
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You have it exactly.
With Biden as President the regulatory future is, at best, uncertain. Why spend big bucks on equipment that can be idled by the wave of a hand in Washington DC.
ESG and SRI are severely curtailing capital for Fossil Fuels. “Progressives “ consider these as under rated Climate Change Solutions.