The oil crash seems to be the worst in 45 years. The world’s main oil players are adding projects worth $ 200 billion on ice, thousands are losing their jobs and the stock market values of billions wiped out.
According to investment bank Morgan Stanley the oil crash to be the worst in 45 years. The news agency Finwire.
Oil prices have fallen about 20 percent since June. The reason for the decline is that the oil cartel OPEC decided not to cut supply despite the fact that the supply of oil is greater than usual and the global market demand was weaker than expected. The US has the highest production in 40 years, and both Iraq and Saudi Arabia supply is at record levels. Moreover, even teach Iran to enter the market in the near future.
The price drop has among other things affected the valuation of energy shares in the United States and thus offset more than $ 100 billion in market capitalization, said Finwire.
The declines have also been the world’s main oil players to put projects worth $ 200 billion on ice, according to Financial Times. The country hardest hit is Canada, where the planned mining of the entire 5.6 billion barrels have been stopped.
In the North Sea, the fall in prices meant that about 5500 job opportunity disappeared, writes Finwire. BP, Shell and France’s Total have reduced staff numbers.
READ MORE: The final cost of the oil disaster – 158 billion
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