Important *Aramco remains cautious with CAPEXIt has been said many times the current volatility is discouraging supply. My feeling is if you could guarentee $85 oil for 5 years there would be far more capex than the current enivonrment of swings between $80-120. While the SPR has delayed the crunch the real story is supply imo and lack of CAPEX which will remain soft due to the current uncertainty. This will just create an even bigger problem in the medium to long-term.
As I say 2023 will be very interesting.
"Saudi Aramco plans to spend at the lower end of its capex allocation of $40-50 billion for 2022"
"Reasons for spending at the lower end of the $40-50bn range - final investment decisions on several external investments could materialise this year or next. Investors seemed curious as to why in spite of record profit and demand for energy, Aramco remained cautious"
