How Oil Companies Responded To The Lowered Prices In Oil

Companies that offer boiler repair services are highly sought after today especially that the cold season is fast approaching. Residential and commercial places could not really survive comfortably through the winter season without being equipped with functional and efficient boiler systems. These boilers are reported to not only give you warmth or heat and hot water when needed but it also saves energy spending in homes and commercial establishments equipped with these equipments.

When the market price for oil prices is rocked, everything in the economy is disturbed. Different manufactured goods including boilers and the way people perceive a commodity and their trust in the market is shaken. Last year, the price of oil has dropped significantly. Oil rich nations experienced the worst toll while oil importing nations are enjoying the twist of tide. Although this might be a good news to countries that do not have their own oil fields, a continuous imbalance in the international market will affect everyone in the chain.

Shell lay off
It has been reported that the giant company, Shell will slash at least 6,500 jobs in order to cut its spending cost. They are now planning to sell some of their assets. This is of course in response to the global downward spiral in price of oil. Though the company took a huge hit, it still continues to thrive and is now desperately seeking measures to make ends meet and keep its head above the water.
Shell’s profit in its oil and gas industry has significantly dropped by about 37 percent. The company also disclosed to the public that it will be increasing its asset disposal to about 50 billion dollars from the year 2014 to 2018.

The chief executive officer of the company said in a statement that the company has to be resilient in a world where the prices in oil remain considerably low for some time now. He also said that they have to be alert and should be ready with a new game plan when oil prices will recover. Its rivals also have announced reductions in their capital investments.

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