Fedun: the world can’t survive with the oil price of $30

L. Fedun thinks that from the point of view of technologies the world will  not be able to exist at the oil price of $30/barrel.

According to him, the prime cost of the majority of oil brands in the world exceeds $30/barrel, e.g. the lower cost is not economically reasonable. He said that OPEC decided to protect its markets from the US shale oil but failed as the prices have significantly fallen below the comfortable for exporters rate.

The next meeting of OPEC will be held in Q2. The decision to reduce quotas might be made there, Fedun thinks. It will happen if OPEC is sure that it has protected its markets. The decision of OPEC will immediately significantly increase oil prices. In the shale oil market about 20-30 companies might remain by that time, Fedun said.