RE:RE:Still no OPEC+ deal but expect higher fake cutsAgreed mnztr. And after the dust settles the quality energy companies that survive will offer excellent investment opportunities.
VET is not one of these quality energy companies that survives, at least not in its present form. Shareholders will get slaughtered even more than they have already as VET management did not protect its balance sheet by forgetting that the #1 goal of every business is to stay in business.
JMHO. GLTA.
mnztr wrote:
Yes higher prices WILL result in a bit more pumping, but what the price war has damaged in the longer term, is the ability to raise captial to increase capacity. Until world oil demand actually increases and the glut starts shrinking, no one is going to invest any more development (excluding projects already underway) a good example of this is Teck not being able to raise the funds to develop Frontier. Projects in advanced stage of development will complete, in early stage will be paused and drilling will become much more selective. Pipeline dev will continue because these are 30 year time horizon projects.