LONDON (Reuters) - Oil markets are beginning to recover but the scale of global oversupply means prices may only rise slowly, the chief executive of Royal Dutch Shell Plc (L:RDSa) said on Tuesday.
"We see the first signs of recovery in oil prices," Ben van Beurden told an oil industry conference in London
"American shale so far has been much more resilient financially and technically than many expected," he said. "With shale oil being more resilient than we thought it will take some time for prices to recover."
He said many U.S. oil producers would struggle to refinance while prices remained low, leading to lower output in the future: "Producers are now looking for new cash to survive and they will probably struggle to get it."