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"Exxon Mobil Plans To Invest $1.5B In A Deepwater Oil Field In Nigeria" -Bloomberg
Will Asia welcome the "oil price dividend"?
International oil prices have dropped by $12 per barrel since the beginning of 2025. Morgan Stanley believes that if this decline continues, the Crude Oil Product burden in Asia will decrease from the current 3.1% to 2.3%. For every $10 per barrel drop in oil prices, the overall current account balance in Asia is expected to improve GDP by 0.4 percentage points.
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Earnings Scheduled For May 6, 2025
Saudi Arabia is waging a price war, and two major US Shale Oil giants have announced cuts in capital expenditures. Has the production of Shale Oil in the USA reached its peak?
The major USA shale oil companies Diamondback Energy and Coterra Energy have both stated that they will reduce their capital budgets for 2025 and decrease the number of drilling rigs. Diamondback Energy CEO Travis Stice warned: "Due to the reduction in drilling rigs, the USA onshore oil production is likely to have peaked and will begin to decline this quarter."
Diamondback Cuts Production, Capex Plans; Says U.S. Onshore Output Likely Peaked