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US light tight oil: Is it really a demand problem rather than a supply one?
Author(s) -
Graham Roddy,
Merino Garcia Pedro Antonio
Publication year - 2020
Publication title -
opec energy review
Language(s) - English
Resource type - Journals
eISSN - 1753-0237
pISSN - 1753-0229
DOI - 10.1111/opec.12176
Subject(s) - oil refinery , production (economics) , refinery , oil shale , economics , tight oil , shale oil , supply and demand , shale oil extraction , conversation , petroleum engineering , natural resource economics , business , waste management , engineering , macroeconomics , linguistics , philosophy
Abstract Production of Light Tight Oil (LTO), also known as “Shale Oil”, has grown quickly over the last decade. The discussion regarding LTO has always been about supply and the ability of LTO producers to continue to grow production over the coming years. Little has been written regarding the demand for LTO and whether refineries can process this extra light oil. This analysis attempts to start a conversation to determine how much light crude oil the global refinery system can absorb and how much LTO can grow before there is oversupply.