{"id":2735,"date":"2014-12-10T12:08:31","date_gmt":"2014-12-10T17:08:31","guid":{"rendered":"http:\/\/olduvai.ca\/?p=2735"},"modified":"2014-12-10T12:08:31","modified_gmt":"2014-12-10T17:08:31","slug":"bank-of-america-sees-50-oil-as-opec-dies-telegraph","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=2735","title":{"rendered":"Bank of America sees $50 oil as Opec dies – Telegraph"},"content":{"rendered":"

Bank of America sees $50 oil as Opec dies – Telegraph<\/a>.<\/p>\n

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The Opec oil cartel no longer exists in any meaningful sense and crude prices will slump to $50 a barrel over the coming months as market forces shake out the weakest producers, Bank of America has warned.<\/p>\n<\/div>\n

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Revolutionary changes sweeping the world\u2019s energy industry will drive down the price of liquefied natural gas (LNG), creating a \u201cmulti-year\u201d glut and a much cheaper source of gas for Europe.<\/p>\n<\/div>\n

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Francisco Blanch, the bank\u2019s commodity chief, said Opec is \u201ceffectively dissolved\u201d after it failed to stabilize prices at its last meeting. \u201cThe consequences are profound and long-lasting,\u201c he said.<\/p>\n<\/div>\n

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The free market will now set the global cost of oil, leading to a new era of wild price swings and disorderly trading that benefits only the Mid-East petro-states with deepest pockets such as Saudi Arabia. If so, the weaker peripheral members such as Venezuela and Nigeria are being thrown to the wolves.<\/p>\n<\/div>\n

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The bank said in its year-end report that at least 15pc of US shale producers are losing money at current prices, and more than half will be under water if US crude falls below $55. The high-cost producers in the Permian basin will be the first to \u201cfeel the pain\u201d and may soon have to cut back on production.<\/p>\n

<\/p>\n

…click on the above link to read the rest of the article…<\/span><\/p>\n

<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Bank of America sees $50 oil as Opec dies – Telegraph. The Opec oil cartel no longer exists in any meaningful sense and crude prices will slump to $50 a barrel over the coming months as market forces shake out the weakest producers, Bank of America has warned. Revolutionary changes sweeping the world\u2019s energy industry […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[3],"tags":[588,592,1775,600],"class_list":["post-2735","post","type-post","status-publish","format-standard","hentry","category-energy-2","tag-oil","tag-oil-price","tag-oil-price-collapse","tag-opec"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/2735","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=2735"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/2735\/revisions"}],"predecessor-version":[{"id":2736,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/2735\/revisions\/2736"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=2735"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=2735"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=2735"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}