The Budget speech included several references to the energy industry. The finance minister said, "The uncertainty around crude oil has implications. It is expected that increase, if any, in oil prices would get tempered by quick response from producers of shale having a sobering impact on prices.”
Shale can put a ceiling on prices. But it takes about four months at least before a shale operation starts production and another three-four months before it can be shut down. This means that shale operations are rolled only if prices are reckoned to stay at profitable levels for a sufficient period of
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