Oil & Gas price outlook

Hi all

Given the doom and gloom talk happening with oil & gas stocks I have done some reading up on the O&G price outlook.  From my reading of the current price war between OPEC and US drillers IMO both are in vulnerable positions if the price drops below $80 US per barrel.  Almost 40% of US tight oil production would be uneconomical at these prices, according to the latest report by Energy & Capital.  In addition to this, OPEC countries cannot produce oil at the cheap prices they used to.  Although demand for oil imports in the US is expected to reduce, Energy & Capital believe that world energy demands will increase by nearly 60% in the next 25 years.

With at least 50 years of production behind us already and world population and energy needs increasing at alarming rates perhaps the days of sustained cheap production of energy are over, despite the current standoff?

All this is IMO only.

Best wishes all.

Regards,

Chilloutman