Falling Oil Price Crisis Continues
Global oil and gas exploration projects worth more than $150B are likely to be put on hold next year as plunging oil prices render them uneconomic, shows data from Oslo-based research firm Rystad Energy.
With rising costs of production and analysts forecasting oil to average $82.50 a barrel next year, around one third of the spending on a total of 800 oil and gas projects worth $500B, is unlikely to be approved.
The drastic plunge in oil prices has hit energy company earnings and are expected to lower both on revenue growth and plans for future capital expenditures.
