Can The Permian Push Prices Down To $40?

Two analyst firms have revised upwards their production growth
forecasts for the Permian, expecting oil output there to be 300,000
bpd higher by the end of this year. The firms are none other than
Wood Mackenzie, whose analysts expect 300,000 bpd more in Permian
output by end-2017—a 200,000-bpd increase to its year-end
forecast—and Rystad, which sees the cumulative increase for
June-December at 300,000 bpd. That’s the kind of consensus market
players like to see, especially when it comes a couple of days
after reports that investors…

Two analyst firms have revised upwards their production growth
forecasts for the Permian, expecting oil output there to be 300,000
bpd higher by the end of this year. The firms are none other than
Wood Mackenzie, whose analysts expect 300,000 bpd more in Permian
output by end-2017—a 200,000-bpd increase to its year-end
forecast—and Rystad, which sees the cumulative increase for
June-December at 300,000 bpd. That’s the kind of consensus market
players like to see, especially when it comes a couple of days
after reports that investors…