Global Markets

Oil price drop may boost gas in long run

The latest drop in oil prices is making gas more competitive against fuels such as coal, and COP21 may give it a further boost The latest drop in oil prices is making gas more competitive against fuels such as coal, and COP21 may give it a further boost.
By Peter Stewart 16 December 2015 0 24332
Kuwait oilfield. The latest drop in oil prices is making gas more competitive against fuels such as coal, and COP21 may give it a further boost. (PA)

Oil prices plunged to six-year lows within a week of the recent OPEC meeting, which failed to address the global glut of crude triggered by Saudi Arabia’s decision to abandon its swing producer role a year ago. 

A number of OPEC members had made vague comments before the meeting, held in Vienna on 4 December, which some optimistic pundits took as being hints that the group might take action to boost prices. But the reality was bleaker than even the pessimists had expected – the final...