OPEC Wants to “Crush US Shale,” Is $20/barrel possible?

opec cc

They want to crush the Russians and the Iranians (who are actually part of OPEC) too.

And you thought the $40/barrel target was crazy.

(From Oil Change International)

As analysts dissect the ramifications for the oil industry of $40 dollar barrel, oil traders are now thinking that the price of crude will halve that to a staggering $20 a barrel. Prices have not been that low for twenty years.

Just a few weeks ago, traders believed that the oil price would bottom out at around $40 a barrel, but two weeks into January and we have reached that level already.

If the price of oil drops to $20 per barrel there will be carnage in the upstream unconventional oil industry in North America. This is looking increasingly likely.

Click here for the article.