Predicating the future has never been an easy task and it has gotten no easier today. Charlatans with crystal balls are in ample supply however, especially when it comes to the lifeblood of the region. Last year when the price of oil was at around $150 a barrel, Merrill Lynch was predicting that the price would reach anywhere between $180 to $200 a barrel. Last December their figure was around $25 per barrel. According to Business Monitor International (BMI) and OPEC, the 2009 average for oil prices will level out at around $50 a barrel. All of this ‘shooting in the dark’ leaves private equity (PE) firms — and everyone else for that matter — at a loss with regard to how much cash flow will be generated in the region in the near future. Therefore, ignoring the predictions is probably the best way to go about handling the
