150 Billion Reasons Why Low Oil Prices Are Not Good For The Global Economy
by Tyler Durden
ZeroHedge.com
12/05/2014
While the clear narrative forced upon the investing (and consuming) public is that lower oil prices are great for the economy – which is utter crap (as we have explained here and here) – the fact of the matter both primary and secondary effects are extremely significant… and already occurring. As Reuters reports, global oil and gas exploration projects worth more than $150 billion are likely to be put on hold next year as plunging oil prices render them uneconomic as the cost of production has risen sharply given the rising cost of raw materials and the need for expensive new technology to reach the oil. As one analyst notes, “at $70 a barrel, half of the overall volumes are at risk.”
The Rest…HERE
