Date: April 03, 2020, 05:15:48 PM
When Elephants Fight: Why There is Major Trouble Ahead for Nigeria's Economy : Politics : Nigerialog.com - Nigeria's Premier Online Forum
Russia is unlikely to blink, said Matthew Schmidt, associate professor of national security and political science at the University of New Haven, in a phone interview. Moscow appears intent on attempting to push out North American shale producers who can’t profitably pump at current prices, he said.
Goldman Sachs analysts on Sunday said a price war could push crude prices toward $20 a barrel, especially as the economic slowdown caused by the coronavirus outbreak slows global demand. Those price levels “will start creating acute financial stress and declining production from shale as well as other high-cost producers,” Goldman warned...Fitzmaurice said Russia’s salvo “is likely to lead to significant downward revisions to U.S. production growth in 2020 and 2021 as producers go into ‘maintenance’ mode and further reduce capital expenditures and drilling budgets in an effort to survive a period of sustained oil prices,” he said.