Great macro. Oil investors should love the push to "Green"Reduced capex = reduced supply = increased price
That is the great equation of 2021-2023 if not longer. Maybe through 2031?
"One thing that can hardly be disputed is that lower spending on exploration would inevitably lead to lower production. This is what we have seen: the pandemic forced virtually everyone in the oil industry to slash their spending plans. This is what normally happens during the trough phase of an industry cycle.
Related: Oil Prices Fall As The Fed Changes Its TuneWhat doesn't normally happen in a usual cycle is long-term planning for smaller output. Yet this is the response of Big Oil to the push to go green. Most supermajors are planning changes that would effectively reduce their production of oil and gas. InShell's(0.22%)case, it has been literally ordered by a Dutch court to shrink its production of oil and gas."
Reference: https://oilprice.com/Energy/Oil-Prices/Decade-Of-Chaos-Could-Send-Oil-To-130-Per-Barrel.html