Meanwhile, on the supply side, the IEA calculates that non-OPEC supply growth will average 1.2 million barrels per day next year, or in line with expansions in 2013 and 2014.

Additionally, Goldman Sachs’s head of European energy research Michele della Vigna believes that shale oil will play a significantly larger roll in the oil industry. Specifically, the analyst argues that oil investments and projects that cost more than $80 to $85 per barrel to break even could be delayed or canceled, or about $700 billion worth of capital spending on pipelines may no longer be needed, due to the shale revolution, reports Andrew Peaple for the Wall Street Journal.

Consequently, della Vigna contends the additional shale oil output could meet demand growth in the coming years and potentially weigh on the oil services companies that profit from helping oil companies with large projects. The Market Vectors Unconventional Oil & Gas ETF (NYSEArca: FRAK), which tracks unconventional oil shale and oil sands companies, has increased 18.2% year-to-date. Meanwhile, the iShares U.S. Oil Equipment & Services ETF (NYSEArca: IEZ) has gained 17.2% so far this year. [Oil Surges, but Energy ETF Still Attractively Valued]

For more information on the oil industry, visit our energy category.

Max Chen contributed to this article.

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