RE:RE:brent oil through 67 u.s.It seems that WTI is forming a base around $60 with occasional spikes over $61.
With NG production under curtailment by many biggies; and hedging by VET, VET should be able to pay their dividend like they did when oil was at $26.
In case of any weakness in commodity prices, they have the option of further cutting the growth CapX like everybody else.
International supply and demand is moving towards a balance. With OPEC and OPEC+ cuts, trade deal getting through and expected increase in demand from India and China, the supply glut will be taken care of. NG demand is also going to rise from Asia. Not to mention ongoing conversion from coal to NG.
It does not take long before over-supply turns in to shortage.
Well informed shorts will cover before above scenario plays out. But they would like to take out their last pound of flesh. We may see fall in SP around 30 Jan which the shorts will try to aggravate. Strong willed will BUY such dips.
It is always a good idea to have some dry powder for such opportunities.