Excerpt GEAB 89 : The Oil Industry Crisis!

• Excerpt GEAB 89 : The oil industry crisis! 
  by http://www.leap2020.eu/ 
  The current fall in oil prices squarely caused by this strategy of despair is in the process of smashing the oil/gas industry. The Ukrainian crisis, far from allowing the West to get its hands on Russia, is in the process of forcing it to rethink its dependence on Europe as a customer for its gas (71).      
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  All these radical changes in oil geopolitics are both the cause and consequence of a crisis that is often ignored: that of the oil industry. One thought it had been saved thanks to shale oil; it will lose because of shale oil.
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  Now, many businesses are in fact fleeing shale oil extraction: whether due to poor profitability, as in Texas (72), in the US Northeast (73), or again in Poland (74); because of protests against its extraction in England (75) and in Romania (76); or because of sanctions against Russia (77) … There are countless victims. Oil at $80 a barrel is beginning to spread panic and an article has already announced the first signs of a drilling slowdown (78). The biggest companies are themselves obliged to sell many assets to bail themselves out (79); their production has fallen drastically whilst the investment needed is increasingly significant (compare the chart below); all the oil businesses are increasingly indebted (80); oil operations (shale in particular) suddenly risks being no longer profitable if the price of a barrel settles below $80 long-term, funding is increasingly difficult in these times of economic scarcity, etc.      
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  2015 : major risk in the oil markets 
  The oil industry is in bad shape stop the global systemic crisis, touching the country at the heart of the system – the US –, clearly affects the main ingredient of their domination over the last 40 years: the petrodollar. Therefore, it’s hardly surprising that instability is hitting the oil economy head on.
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