Crude-Oil Price Collapse Leads to Cutbacks in Capital Spending, but Efficiency Gains Should Keep Production Levels High

SUGAR LAND--January 14, 2015--Written by John Egan for Industrial Info Resources (Sugar Land, Texas)--The dramatic decline in crude-oil prices is forcing a number of Oil & Gas companies to trim their capital budgets. Oilfield service providers are scaling back their 2015 plans as rigs are idled. Energy bankers are bracing for a big hit to one of their most active industry segments. Oil-producing states are bracing for a sharp shortfall in royalties and severance taxes. A prolonged period of low oil and gas prices may threaten the economics of some proposed pipeline and infrastructure projects. Within this article: Overview of the impact of falling oil prices.