Despite a shift towards a higher-for-now oil price environment in 2018, driven by a faster-than-expected rebalancing of global crude inventories, the era of low-cost shale transformation is set to continue.
Stronger than Expected" Oil Demand
Oil demand has been stronger than expected, driven by the "3 Rs," says Jeff Currie. This includes a reflation in commodity prices, re-leveraging, and a re-convergence of global growth. The surge in demand has contributed to the shift towards a higher-for-now oil price environment.