Doesn’t make any difference because all the OPEC members cheat on their agreements already. They always do. This agreement to increase production by 1 million BBL/day will wind up being closer to 5-10 million BBL/day.
“Doesn’t make any difference because all the OPEC members cheat on their agreements already. They always do. This agreement to increase production by 1 million BBL/day will wind up being closer to 5-10 million BBL/day.”
Would you like to make a wager on that. The truth is they do not have much more spare capacity. Look for $80 oil by the end of the year.
While the shale boom has given temporary relief from high prices probably the bigger factor was the depressed world economy of the past few years.
The shale boom is overblown as those wells have a very fast depletion rates. I say this as someone with actual experience as I have royalty interests in some of the wells. They come on with very high production rates but quickly deplete to much much lower in about a year.