Opec Set to Gain Global Market Share in Setback to US Shale Oil
By The Independent
Published on September 12, 2015
Oil output from non-Opec countries will shrink by its largest margin since the collapse of the Soviet Union next year, marking a victory for the Saudi-led squeeze on US shale oil producers.
The International Energy Agency (IEA), the Paris-based energy policy group, said producers outside the 12-member bloc will be forced to slash output by 500,000 barrels a day in 2016 to 57.7 million barrels – the biggest cut in 24 years.
Opec members, led by Saudi Arabia, have resisted calls to cut production despite a glut of supply in the market as they bid to defend their market share.
Saudi Arabia’s oil ministry, led by the influential Ali al-Naimi, has ramped up flows to more than 10 million barrels a day over the past six months, losing billions of dollars a month due to lower prices but strangling less efficient US competitors.
Read the article “Opec Set to Gain Global Market Share in Setback to US Shale Oil” on independent.co.uk.
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