M&A Boom May Not Lead To Drilling Spree In US Shale

M&A Boom May Not Lead To Drilling Spree In US Shale

The last two energy crises that threatened hundreds of energy companies with bankruptcy have rewritten the oil and gas M&A playbook. Previously, oil and gas companies made numerous aggressive tactical or cyclical acquisitions in the wake of a price crash after many distressed assets became available on the cheap. However, the 2020 oil price crash … Read more

Has US Oil Supply Peaked Again? Energy Experts Disagree

Has US Oil Supply Peaked Again?  Energy Experts Disagree

A week ago, the Energy Information Administration (EIA) released its latest Short Term Energy Outlook (STEO) wherein it revised its 2022 and 2023 oil production outlook. The EIA revised 2022 US crude oil supply higher by 80 thousand barrels per day (kb/d) to 11.828 million barrels per day (mb/d) and crude oil supply growth for … Read more

Why Overly Confident US Drillers Ditched Their Hedges

Why Overly Confident US Drillers Ditched Their Hedges

Hedging is a popular trading strategy frequently used by oil and gas producers, airlines and other heavy consumers of energy commodities to protect themselves against market fluctuations. During times of falling crude prices, oil producers normally use a short hedge to lock in oil prices if they believe prices are likely to go even lower … Read more

Haliburton: The Era Of Exponential Growth In US Oil And Gas Is Over

Haliburton: The Era Of Exponential Growth In US Oil And Gas Is Over

The era of “exponential” growth in the US oil and gas industry is over as most shale firms are returning cash to investors instead of going into debt to drill more, according to Halliburton, the world’s largest fracking services provider. “We’ll see growing investment, but quite frankly, nothing even close to what we saw from … Read more

Shareholder Returns May Jump Across Energy Sector As Debt Levels Plunge

Shareholder Returns May Jump Across Energy Sector As Debt Levels Plunge

During the last energy boom, American drillers binged on mountains of readily available debt as they capitalized on investors and financiers willing to gamble on the premise that fracking operations could be significantly cheaper and more efficient than conventional drills. Predictably, the bubble finally burst, leaving many like deer in the headlights after saddling themselves … Read more

US Shale Won’t Fill Gap If OPEC+ Cuts Oil Production

US Shale Won’t Fill Gap If OPEC+ Cuts Oil Production

The US shale industry won’t step in to fill the gap left by an OPEC+ crude oil production cut, energy executives told Reuters on Tuesday. OPEC+ is set to review on Wednesday its production plans for November—and the industry consensus is that OPEC+ could consider slashing its output by anywhere from 500,000 bpd to more … Read more