Aberdeen: teetering between its high-carbon past and a green future. Aberdeen is one of the few cities in the world where your taxi driver is almost guaranteed to know the global market price for oil. It is the second week of March in the capital of the North Sea oil and gas industry and Aberdonians have witnessed one of the sharpest oil price slumps in a generation. The Granite City is still one week away from a market collapse even deeper than the 2016 price crash. “This is a real worry so soon after the last downturn,” one taxi driver says. “It doesn’t take long for people to lose their jobs if the oil price is under $35 [£28] a barrel. Within three or four months of low oil prices contract workers can be out of work. It’s always quicker than you’d think.” A week later oil is trading at about $25 a barrel, wiping billions from the market value of UK oil companies, and an industry report warns that the North Sea oil and gas industry is in a “paper-thin” position. Oil companies are expected to axe their spending plans to weather the latest market rout, which threatens to halve the revenue from the barrels of oil they produce this year.
Guardian 29th March 2020 read more »