UAE Oil Minister: We Expect No Significant U.S. Shale Output Growth Anytime Soon

Suhail Al-Mazrouei UAE’s Oil Minister Suhail al-Mazrouei said in a TV interview he did not expect any “significant growth” in shale oil output anytime soon, despite higher oil prices resulting from last week’s OPEC agreement to cut production by 1.2 million bpd. The official added that he expected oil price increases from now on to happen on a “more rational basis,” without elaborating. Mazrouei’s words beg the question of who the minister is trying to convince – OPEC or the market, since weekly rig count reports from Baker Hughes reveal that shale oil operators have been adding drilling rigs consistently over the past few months. The latest report , for the week to November 25, said that the total oil rig count reached 477, marking the 25th weekly increase in 27 weeks. The figure was lower than the same week in 2015, but still indicated that the shale patch […]

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