[adventured]

That isn't going to happen. Fracking isn't going away, it's a technology. The Saudis are openly acknowledging their misjudgement of the situation at this point. The fracking technology shift is permanent, so long as regulations don't stop it. And it's going to spread across the globe with a little bit of time. What has been done in Texas, can be done in Mexico, for example.

If Pioneer or Apache implode, then Exxon will scoop them up at a big discount, and when oil rises back to $50+ or higher, Exxon starts the production back up. These wells are incredibly inexpensive now, they know where the oil is, and they're producing three times more oil per well than they were a few years ago.

Texas oil is now down to $10 to $20 / barrel cost wise, and the Bakken is down to closer to $40. The Saudis need $100 oil to balance their budget, they're currently vaporizing their reserves to play this game of chicken. Estimates are those reserves will be exhausted by the end of the decade if oil doesn't return to $80+.