Unpreparedness: Capacity Lull Lays Seeds For End Decade Shortfall

摘要

Opec spare capacity has become a forgotten component of the oil market. In fact, Opec capacity in general is getting very little attention. Rather, the current oil market is focused on the battle between "cheap Mideast oil" and shale, deepwater, Arctic and other "high cost" primarily non-Opec supplies. But low oil prices are also working to restrain Opec capacity additions at least in the upstream. By the end of the decade some of the foregone capacity additions may be needed to meet higher global demand.