Oil producers aren’t betting on the rally.
Russian President Vladimir Putin has called for a meeting with top managers of Russia’s leading oil producers.
US shale oil producers have reduced the fat from their 2015 budgets after a 50% drop in crude prices. Shale companies including Devon Energy Corp, Continental Resources and Marathon Oil released their preliminary 2016 plans for spending. The cuts come after between 30% and 40% reductions earlier this year. Lower costs and improved productivity would allow them to hold shale oil production largely flat.
Halliburton Co., the world’s largest fracking services provider, said it had a third-quarter loss as the volatile North American oil market continued to tumble. The company reported a loss of $54 million, or 6 cents a share, compared with net income of $1.2 billion, or $1.41, a year earlier, the Houston-based company said in a statement Monday on Businesswire. Excluding certain items, the per-share result was 4 cents more than the 27-cent average of 34 analysts’ estimates compiled by Bloomberg. Sales dropped 36 percent to $5.6 billion. "It was a challenging period," Luke Lemoine, an analyst at Capital One Southcoast in New Orleans who rates the shares the equivalent of a buy and owns none, said in a phone interview before the results were released. "Most people at the beginning of the quarter were expecting things to level off. Well, they continued to more or less crash."