By December 13, 2018 0 Comments Read More →

Oil Tanker Owners Find Solace in Shale as OPEC Readies Cuts

America’s shale boom could be about to spare the world’s oil tanker owners from a typical OPEC ravaging.

The producer group and allies decided on Dec. 7 to restrict output from the start of next year by about 1.2 million barrels a day, adding to deeper cuts two years earlier. Under normal circumstances, that would be a dire turn of events for owners who see cargoes cut almost overnight. But shipping analysts are predicting that, this time, the rise of U.S. shale may well shield shippers.

“OPEC+ is reducing their output as U.S. is increasing theirs, hence the overall limited effect for tanker volumes,” said Frode Morkedal, managing director of equity research at Clarksons Platou, an investment banking unit of the world’s biggest shipbroker.

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Posted in: Daily News

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The Louisiana Oil & Gas Association (known before 2006 as LIOGA) was organized in 1992 to represent the Independent and service sectors of the oil and gas industry in Louisiana; this representation includes exploration, production and oilfield services. Our primary goal is to provide our industry with a working environment that will enhance the industry. LOGA services its membership by creating incentives for Louisiana’s oil & gas industry, warding off tax increases, changing existing burdensome regulations, and educating the public and government of the importance of the oil and gas industry in the state of Louisiana.

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