Bruce Campbell | Enid News & Eagle
In the midst of what could be the biggest crisis ever in the oil industry, coronavirus COVID-19 is playing a starring role.
Earlier this year, energy companies in Oklahoma already were feeling the impact of a worldwide price war between Saudi Arabia and Russia. The price for a barrel of oil dropped from $66 in January to around $20 in March, before rallying Friday to around $25.
With travel virtually being shut down due to the COVID-19 worldwide pandemic, Mike Cantrell, chairman of Postwood Oil in Ada, estimates production is decreasing some 2 million barrels a day.
“This is unchartered territory,’’ Cantrell said. “I’m 69 years old and I’ve been through five oil and gas depressions, but I’ve never been in this territory before. This is a double whammy no one has seen before. Nobody can make money at $25 a barrel.’’