All articles tagged with #us shale
US shale oil executives warn President Trump that his efforts to boost Venezuelan oil production and lower crude prices threaten American producers, potentially leading to a decline in US shale output and profits, especially for smaller companies, amid a broader market glut and geopolitical tensions.
US shale industry leaders are criticizing the perceived chaos and instability in the energy policies of the Trump administration, highlighting concerns over the impact on the oil sector.
Chevron has shifted from aggressive growth in U.S. shale to focusing on profitability and efficiency, leveraging scale and technology to turn shale into a cash-generating asset, while expanding internationally through acquisitions like Hess and offshore projects in Guyana, aiming to stabilize U.S. production and prioritize shareholder returns.
Oil markets are experiencing volatility due to escalating tensions between Israel and Iran, with uncertainties surrounding US intervention under President Trump. Brent crude fluctuated between $70.56 and $79.04 per barrel, influenced more by geopolitical developments than traditional factors like OPEC+ or Chinese imports. Meanwhile, Iran is discounting its oil to boost exports, and other global oil activities include Chevron's divestment plans, Kazakhstan's OPEC+ stance, and Canada's LNG projects. The conflict has also led to operational disruptions in Israel and increased geopolitical tensions in oil exploration and production worldwide.
Mitsubishi Corp is in negotiations to acquire Aethon Energy's US shale production and pipeline assets for approximately $8 billion, which would expand its natural gas operations along the US Gulf coast, though no deal has been finalized yet.
The US shale industry is undergoing a significant transformation with a $200 billion wave of dealmaking, reshaping the energy landscape.
Higher-than-expected US inflation data have capped this week’s pricing upside as the Middle East continues to boil amidst several failed mediation attempts to bring about a ceasefire in the Israel-Palestine conflict. US CPI at 0.3% in January and 3.1% year-on-year does not bode well for interest rate hikes anytime soon and a potential crude inventory increase could start pushing crude prices lower, with Brent so far moving sideways at $82 per barrel. OPEC cuts its oil supply forecast, while Saudi Arabia emphasizes its energy transition efforts. US shale production is expected to recover in March, and various major energy deals and developments are taking place globally.
A US shale magnate is attempting to attract Generation Z to the oil and gas industry by promoting the sector's job opportunities. As the industry faces challenges in recruiting younger workers, the magnate is emphasizing the potential for high-paying jobs and career growth in the energy sector, despite concerns about environmental impact and the shift towards renewable energy sources.
Saudi Arabia may reverse its strategy of curbing oil production to boost prices and instead wage a "market share war" against the US by flooding the oil market with supply, according to energy expert Paul Sankey. The goal would be to bankrupt the US shale industry by making it unprofitable to drill oil. This tactic was previously used by Saudi Arabia in 2014 and 2020. The current setup, with weakening demand and lack of support from OPEC, is similar to previous episodes. If Saudi Arabia follows through with additional supplies, it could potentially lead to a flood of oil and lower crude prices.
Saudi Arabia may shift its strategy and wage a "market share war" against the US by flooding oil markets with supply, according to energy expert Paul Sankey. This would involve reversing production cuts and targeting the US shale industry, particularly the Permian Basin. The goal would be to bankrupt the US industry by making it unprofitable to drill oil. The current setup, with weakening demand and lack of support from OPEC, resembles previous episodes where Saudi Arabia used this tactic to regain control over oil prices.
US shale oil and gas producers are reducing production and cutting back on spending after a drop in commodity prices due to the COVID-19 pandemic. The industry has been hit hard by the decrease in demand and oversupply, leading to a decrease in revenue and profits. Many companies are now focusing on reducing debt and improving cash flow, rather than expanding production.