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No New Projects for World’s Largest Oil and Gas Groups

According to information from business publications, the world’s largest oil and gas groups have decided not to pursue any new projects to preserve dividend payouts.

This decision from the oil giants is a correct one. They have given preference to shareholder interest and capitalization to investment expenditure. In periods of low oil prices, companies usually lower investment. In 2 or 3 years’ time this will lead to a supply deficit and a rise in prices. Consequently, oil reaching $100 per barrel is something that we can expect by 2018.

It’s worth mentioning that the market is expecting this level to be reached only by 2020. However, it’s not worth sitting and waiting for a resumption of oil prices to their former heights.

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