Oil markets facing in both directions ahead of next Opec meeting

Speculation surrounding international oil companies (IOCs) focuses on further consolidation following Royal Dutch Shell’s takeover of BG, and the implementation of scaled-back exploration and development programmes. According to ExxonMobil chief executive Rex Tillerson, the industry needs to “settle in” for lower prices “for at least a couple of years”. However, there are signs of firming in the oil price that suggest internal forecasts by Saudi decision-makers that Brent could end 2015 in a $65-75/bbl price band could prove closer to the mark than seemed possible as in January, when the marker crude hit record lows.