US operators are unlikely to rapidly raise output
Caution reigns in US shale
Even amid climbing oil prices and strong market backwardation, most US shale independents show little scope or intent to raise output in the short term
“We are not going to change our growth rate, whether oil is at $100/bl or $150/bl”, says Scott Sheffield, CEO of Texan independent Pioneer Natural Resources. Similarly, Houston-based independent Marathon Oil forecasts flat production in 2022 and admitted it is “not allocating any production growth capital in 2022”. Mike Henderson, executive vice-president of operations at Marathon, adds “I want to make clear that, should commodity prices continue to surprise to the upside, we will remain disciplined and have no plans to allocate production growth capital.” Some firms are even warning of production declines despite WTI breaching $90/bl in February and rapidly heading towards $130/bl in March.
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Eni’s director for global gas and LNG portfolio, Cristian Signoretto, discusses how demand will respond to rising LNG supply, and how the company is expanding its own gas and LNG operations through disciplined, capital-efficient investments
9 March 2026
Petroleum Economist analysis sees increases in output from Saudi Arabia, Venezuela and Kazakhstan among others before region’s murky descent
9 March 2026
Energy sanctions are becoming an increasingly prominent tool of US foreign policy, with the country’s growth in oil and gas production allowing it to impose pressure on rivals without jeopardising its own energy security or that of its allies, argues Matthew McManus, a visiting fellow at the National Center for Energy Analytics
6 March 2026
The March 2026 issue of Petroleum Economist is out now!
