What’s next for global oil markets? That’s the $400 billion question that Stratfor Vice President of Global Analysis Reva Goujon took on when she addressed hundreds of industry insiders at Thompson & Knight's recent Oil and Gas Lunch Series in Dallas, Texas.
Goujon focused on the geopolitical trends that led to the global oversupply of oil and subsequent price war. That included the massive spike in U.S. oil production from shale and the Saudi Arabian price war that followed. Along the way, things grew even more complicated with Iran’s economic rehabilitation, Russia’s energy strategy, European fragmentation and both demographic and political pressures that are forcing Saudi Arabia to adopt a new wave of major social and economic reforms.
So where are we headed? “We’re starting to see the correction now,” Goujon told the crowd, but noted that any recovery will come steadily rather than in leaps and bounds. Still, Goujon noted that demand growth is still out there in the world – if you know where to look.