The Impact of Oil Price Fluctuations on Investment in the Shale Oil Sector

The global energy landscape is changing rapidly, and the main driver of these changes in the twenty-first century was the shale oil that occurred in the United States of America. However, its environmental and economic consequences are still not known in detail. The impressive increase in shale oil production has led to a profound change in the world energy markets, as oil prices have pushed lower, especially after 2014. This study highlights the effects of fluctuations in world oil prices on shale oil investment through our analysis of oil prices, long-term and short-term debt, costs, and liquidity flowing. The study found that political events in the Middle East have accelerated the shale oil industry's growth. The fall in oil price is one of the new challenges facing the fossil energy market in the United States and is pushing investors to hesitate to enter the industry.