Companies with flexible financing may choose US deepwater project investment opportunities over US shale in the near-term, according to a recent report. U.S. shale projects may be vulnerable to short-term investment cuts in relation to deepwater projects, according to a Dec. 9 report by petroleum investment advisor Gaffney, Cline & Associates (GCA). Oil and gas companies are facing reduced cash flow in 2015 due to the recent decline in oil prices to a five-year low. That dip has been blamed on reduced demand and global oversupply, with much of the oil production oversupply coming from U.S. unconventional production. As a result, companies will be scaling back or reprioritizing their spending. However, recent analysis by GCA indicates shale activity will most likely suffer investment cuts first due to low oil prices, leaving the deepwater Gulf of Mexico and other deepwater plays relatively more protected. Strong offshore Gulf of Mexico projects […]