West Africa Could Lead The World's Next Production Boom

During the early 1970s, Saudi Arabia cut production as a reminder that it held the cards to the world’s petroleum resources. What the swing country did not count on was the slew of development and production that would subsequently take place in the North Sea. As a result, a new oil supply was born far away from the Middle East.

Fast forward to today: With oil saturating the market again, Saudi Arabia has kept its spigots on this time to try and prove once again its place on top of the hydrocarbon pyramid. Despite its effort to slow production – primarily from shale in the United States – there is still room for surprise in the oil marketplace.

The small offshore oilfields of West Africa, if exploited properly, could become the next big economical play even as oil prices hover around $60 a barrel, said Keith Millheim, a director at Atlantis Offshore, an offshore technology company focused on well testing, production and drilling. And, all it takes is one adventurous company to get the ball rolling.

Cheap Oil Is 'Bad' for the Economy

It's been about a year since oil prices started their historic drop, falling from above $100 a barrel to a bottom of about $45 in March. After creeping back to around $60, prices are shaky again amid news of a nuclear deal with Iran and record Saudi production.

And low oil prices are good for growth, right?