Oil demand continues to be strong and the oil market is “eating very quickly” through OPEC’s spare capacity, so we are going into a “very, very tight oil market,” Michele Della Vigna, head of energy industry research at Goldman Sachs, told the Bloomberg Surveillance show on Monday. There is no doubt that we are heading to slowing supply growth, according to Goldman’s expert. Venezuela’s oil production continues to decline, the heat on Iran could remove up to 1 million bpd off the market depending on how some countries like China react, Libya remains in a constant state of unpredictability, and U.S. supply growth is constrained by infrastructure—taken all together, Vigna sees those factors as “a substantial risk to supply.” Amid this expectation for a tight oil market, Big Oil firms are now back to being the ‘oligopolies’ of mega projects, a position they last held in the 1990s. No […]