The oil industry is at a multiyear peak in terms of profitability.
But since a 2014 global oil glut, investment has translated into a steep drop off in new discoveries.
The years of underinvestment could have set the scene for a supply crunch.
The oil industry is more profitable than at any time in years, yet the industry could fail to supply enough oil to meet global demand in just a few years’ time.
A series of second quarter earnings reports over the past two weeks has revealed surging profits across the oil industry, with some companies posting earnings that are double or triple from a year earlier. But even though they are flush with cash, the industry has not returned to the profligate spending levels that were common prior to the 2014 market downturn
Read more: feedproxy.google.com