3%

IN­VEST­MENT IN OIL TO PICK UP

Finweek English Edition - - THE WEEK -

Lead­ing oil ex­plo­ration and pro­duc­tion com­pa­nies will in­crease their global cap­i­tal spend­ing by 3% in 2017 to $450bn, end­ing two years of steep de­clines, ac­cord­ing to fore­casts by Wood Macken­zie. The ex­pected ramp-up in spend­ing comes as a re­cov­ery in crude prices has im­proved con­fi­dence in the sec­tor, ft.com re­ported. Brent crude has been trad­ing at about $55 a bar­rel, dou­ble the lows hit early in 2016, af­ter Opec and non-Opec mem­bers agreed in De­cem­ber on their first pro­duc­tion cut in a decade. “We’ve bot­tomed out but I don’t think we’re off to the races,” Iain Arm­strong, an­a­lyst at Brewin Dol­phin, told ft.com.

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