Quote:
Originally Posted by Lubicon
The bigger losers are arguably the service companies, they are going to take the brunt of any slowdown in activity.
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I suppose with a cut in production you don’t need sustaining wells. However this at least should improve cash flows for companies non integrated companies so that would provide some support.
Do you see this curtailment causing a further slowdown in activity? I thought it would be pretty neutral given the cuts to 2019 drilling programs we already have seen.
The initial market reaction was pretty huge with January Diff futures under $20 US, a $9 jump. It will be interesting to see where it settles as I suspect there is a lot of speculation going on right now.
https://www.bnnbloomberg.ca/alberta-...ince-1.1176933