Shale oil ‘unlikely to hurt Saudi exports’

The entry of shale oil into world markets is not likely to pose any major challenge to conventional oil exporters such as Saudi Arabia in the Gulf in the near future, according to fossil fuel researchers and analysts.

Analysts argue that factors such as the cost of the production, environment threats and alternative markets will ensure there is continued demand for conventional oil even if the US market is saturated with shale oil. Asharq Al-Awsat discussed the issue with three prominent experts in the oil market and economy.

Turki Al-Hoqail, an economic analyst based in Washington DC, said the shale oil revolution in the US has the potential to change the map of global oil trade in the long term because it would ensure that the US achieves self sufficiency in its oil demand and reduce imports.

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