OPEC, for some quiet moments..

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If Moody’s Investors Service is right, the world’s largest oil companies will experience a contraction of 20% in their cash flows in 2015. The conclusion is based expectations of continued revenue declines and negative free cash flow for the rest of this year. Despite cuts to capital spending and other cost-cutting, Moody’s still expects the industry to face a negative free cash flow position of nearly $80 billion in 2015, compared with $26 billion in 2014. The ratings agency’s outlook for the global integrated oil and gas industry remains negative into next year.

Big Oil Faces 20% Drop in 2015 Cash Flows - ExxonMobil Corp (NYSE:XOM) - 24/7 Wall St.

Oil rose in New York as West Texas Intermediate crude narrowed its discount to Brent to the least in eight months amid increasing North Sea deliveries and falling stockpiles at the largest US storage hub. The spread between WTI and Brent shrank to US$1.55 (RM6.60), the least since Jan 22. Crude stockpiles at Cushing, Oklahoma, delivery point for WTI traded in New York, fell one million barrels last week in a Bloomberg forecast.

Oil climbs as WTI-Brent spread narrowest in 8 months | Money | Malay Mail Online

After a credit-fueled energy boom and a punishing downturn, U.S. shale drillers now spend the vast majority of their operating cash flow paying off the debt they took out to expand their drilling. The U.S. Energy Information Administration says in the second quarter, 83 percent of domestic oil companies’ operating cash flow went to paying off debt balances as their cash piles shrink because of cheap crude.

Shale drillers spending most of their cash paying off high debt - Fuel Fix

OPEC trimmed estimates for supplies from outside the group in 2016 as the slump in prices takes its toll on the U.S. shale-oil industry. The Organization of Petroleum Exporting Countries cut 2016 estimates for non-OPEC output by 110,000 bpd, its Vienna-based secretariat said Monday in its monthly market report. Still, the group sees non-OPEC supply expanding slightly next year, while the International Energy Agency on Friday predicted a contraction of 500,000 bpd, the biggest since 1992. Saudi Arabia told OPEC it curbed output in August to a six-month low.

OPEC trims 2016 estimates for rival supplies as U.S. oil suffers