A Pandemic, a Price War, and the Future of America’s Oil Industry

Travel and business slowdowns across the world, in response to the novel coronavirus (COVID-19) pandemic, have caused a sharp decrease in global oil demand and the lowest oil prices in 17 years.  On March 5, members of the Organization of the Petroleum Exporting Countries attempted to reach a deal that would extend the current 1.5 million barrels per day (MB/D) production cut in an effort to shore up prices. The talks failed, however, when Russian and Saudi energy ministers were unable to reach an agreement. Russian officials subsequently announced significant increases in their production levels, with Saudi ministers following suit… [more]