Strong Cycle for Oil Services Sector to Continue, Analyst Says

The oil services and drilling industry is experiencing sustained strong fundamentals, which are expected to last another 2-3 years, said a Merrill Lynch & Co. research report released June 29.

Analyst Mark Urness said he expects that the current upcycle will prove to be the longest in duration since 1976-81.

“Global oil demand remains strong, and incremental oil productive capacity has proven elusive, keeping oil markets in balance and supporting continued strength in the demand for oil field services,” Urness said.
Oil & Gas Journal