The global oil market could be out of balance for years, and it will never be the same because of U.S. shale production, the International Energy Agency said Tuesday.
“A partial rebound in oil prices over the last month following a 60 percent crash since June suggests market participants are seeing light at the end of the tunnel and growing confident that spending cuts by oil companies will lead to a market recovery,” the IEA said in its February oil market report
“Yet supplies so far remain abundant, and it will take time for investment cuts to make more than a relatively small dent on production,” the IEA said, noting that timing the recovery in oil prices was a key issue.
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