BRENT CRUDE PRICES HAVE SLUMPED SINCE PEAKING AT $115 IN JUNE
By John Donovan
The news media is waking up to the potential seismic impact on big oil from falling oil prices. Our headline – “Big oil is exposed to falling prices who can survive?” – is taken from an article by John Ficenec published today by the Telegraph, which poses the question:
Which FTSE 100 oil stocks to hold Shell v BP?
It mentions a prediction by Goldman Sachs “that the price for Brent Crude, will fall as low as $80 per barrel in the second quarter of next year.”
The article points out that according to analysis from Bloomberg “Of the two oil majors, Shell is slightly more exposed to a fall in the oil price as about 30pc of its future projects requires a price above $95 per barrel, compared to 20pc for BP.”