US shale starts 2023 in ‘realistic’ mood
First-quarter shale results show ongoing restraint amid signs of cost deflation
The first-quarter earnings season has highlighted signs of improved capital spending in the US, while certain tight oil producers have flagged up signs of cost deflation in oilfield services and equipment. Meanwhile, lower gas prices have caused producers in gas-rich basins to scale back operations, while oil prices—which have also declined since 2022—remain strong enough to support activity. Consultancy Wood Mackenzie notes in a report rounding up results among 42 US independents that WTI prices averaged $76/bl in the first quarter of 2023. This is “much closer to a ‘mid-cycle’ level than last year’s average of $96/bl”, it says. “Mid-cycle is not a hard and fast number, but that is generall

Also in this section
23 May 2025
LNG projects need the certainty of long-term contracts, but Henry-Hub–linked deals put buyers at significant risk
22 May 2025
Industry says compliance is near-impossible and have called for more clarity to prevent cargoes being redirected
22 May 2025
The next energy crisis could come from the severing of the link between oil and gas prices, with potentially severe economic consequences
22 May 2025
With contract awards looming on the Kuwait-Saudi backed Dorra field, the long-stalled gas project appears finally to be gaining traction—despite Iranian objections