US tight oil turning over a new leaf?
A shale sector that emphasised returns over production growth would be a win from both shareholders and oil markets
Returns, returns, returns. Shale executives echoed each other on the latest round of quarterly calls with investors, promising wary shareholders and analysts that they're ready to start putting returns over production growth. This isn't the first time investors have heard the refrain, though. As the oil price recovered from its early 2016 lows, shale companies made a similar pledge. The days of spending beyond their means to chase loss-making output growth, executives told investors, were over. Then the animal spirits took hold again. The shale industry has spent about 50% more than it has brought in this year, while production quickly ramped up. Only a few companies have squeaked out profit

Also in this section
7 July 2025
The end of Grangemouth and Lindsey oil refineries marks a worrying trend across Europe amid cost and transition pressures
3 July 2025
The July/August 2025 issue of Petroleum Economist is out now!
2 July 2025
The global energy community will converge in Dubai on 10 December for a landmark event dedicated to shaping the future of natural gas across the region
30 June 2025
Government is sending out the right policy signals to support increased domestic gas development, but policy takes time to implement and even longer to yield results