Investments made while the price was at $100 are starting to bear fruit: but now more crude is just adding to the glut
In the North Sea, a 15-year slump in oil production will almost certainly be halted this year. The turnaround after so many years is but one of a myriad of reasons that the global price of Brent blend crude fell last week to $46 per barrel, from highs of above $65 in the spring – a fall seen on stock markets around the world as a signal to sell.
The UK produced about 850,000 barrels a day last year – less than 1% of the world’s total and down from nearly 2.1m a decade earlier. But a surge in investment – mainly before June 2014, when the global price of oil stood at a heady $115 – has, for now, borne fruit: provisional figures have shown a 3% increase in output from the UK continental shelf in the first six months of the year.
Source: The Guardian Circular Economy RSS