Decline in light oil forces rethink

LIGHT oil production is already in decline, except in the reserve-rich Middle East, forcing consumer nations to utilise unconventional resources such as heavy oil, sour crudes and natural gas liquids.

Geological constraints, although not the only reason, seem to have affected production levels in most of the main basins outside Opec, providing little comfort to those who hope a supply crunch can be averted.


Analysts at Barclays believe that mature basins outside Opec will be the biggest cause of a supply crunch: