The Energy Market Impacts of Low Oil Prices: How Low? How Long?
The CSIS Energy and National Security Program hosted Rusty Braziel, President & Principal Energy Markets Consultant for RBN Energy, Jim Burkhard, Vice President and Head of Global Oil Market Research and Energy Scenarios at IHS, and David Knapp, Senior Editor at Energy Intelligence Group, to discuss the energy market impacts of low oil prices.
For the past several years, oil prices have remained in a predictably stable price "band" of around $100/barrel - in spite of an unprecedented spate of global disruptions and new geopolitical unrest. A combination of lackluster oil demand growth, an unprecedented supply surge courtesy of U.S. tight oil production, and other market factors has led to a rapid decline in global oil prices. While it is likely too early to answer the critical questions about how low prices will go, how long they will stay there, and whether this recent price collapse will lead to a new oil price band or an era of greater price volatility, it is a good time to start assessing some of the key variables to watch. This session is an opportunity explore the various oil market dynamics at play and assess the potential implications and outlooks for the future. Sarah Ladislaw, Director and Senior Fellow with the CSIS Energy and National Security Program, moderated.