Ecuador’s oil troubles worse than other oil exporting countries (opinion)

Posted on February 15, 2016 • Filed under: Economy, Ecuador, Oil

Steve St. Angelo, SRSRocco/ There’s an ongoing catastrophe taking place in Ecuador. Not only has a significant part of the Amazon been polluted by toxic waste oil left behind from the wonderful folks at Texaco when the company started drilling for oil in Ecuador back in the 1970’s, but the low oil price has totally gutted the oil industry…Ecuador was receiving as little as $30 a barrel back in August 2015 when that article was written. However, today its likely getting a price closer to $20 for a barrel of oil. If Ecuador was in serious trouble last year due to low oil prices, the situation today is nothing short of a catastrophe for it’s oil industry and economy.

The Collapse Of Ecuador’s Drilling Rig Industry

While the drilling rig count in the U.S. and world has fallen considerably over the past 18 months, nothing can compare to the collapse that has taken place in Ecuador. When oil was trading over $100 in August 2014, Ecuador had 27 drilling rigs working in the country. Today… they have one:


While Ecuador’s oil troubles are worse than other oil exporting countries, due to shortsighted government energy policies, I believe it will be blueprint that will spread throughout the world. Why? Because, I don’t believe oil prices will recover for quite some time. Matter-a-fact, I think we are going to see the price of oil to reach the $20’s before a bottom is made. Read Article

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