Saudi Arabia, with its flagship policy of dumping oil, of course, creates problems for the US oil shale industry - by AMarkets materials.
But there is a silver lining. American oil producers radically revised the concept of extraction of raw materials, which gave impetus to the dynamic development of industry innovation.At the same time Saudi Arabia in the fight for market share carries heavy losses. The budget bursting at the seams. The new standard, where oil is trading at $ 50-60 does not fit the country, whose economy is almost entirely focused on the export of raw materials. And the question is, how long will last the Kingdom. And how long will hold the remaining OPEC members. Arabia developed a strong program of development of its economy until 2030. However, no innovations and attempts to diversify the country will not help get rid of the oil revenues, even in the long term. The more that external circumstances have changed dramatically over the past 5 years and continue to change. There are new technologies that help to extract oil that was previously unavailable. Toughen legislation on emissions of harmful substances into the atmosphere. For OPEC is bad news.
The beneficiaries of cheap oil at the moment, Iran. After the removal of sanctions, Iran has returned its share and plans to increase it. Russia under the pressure of current sanctions and the need to diversify its oil contracts to actively enter into new business in the Asian region. Thus, the structure of the oil market is gradually changing. OPEC countries certainly do not benefit from these changes.