The oil price jump is driving a return to activity in the Permian
US majors target Permian cash cow
Lower 48 production in the Texas and New Mexico shale play is poised to generate a mountain of cash over the next half-decade
Oil and gas production from the Permian basin will drive a wall of free cash flow (FCF) over the next few years for the US majors and superindie ConocoPhillips, the companies are forecasting. “We can grow production from 600,000bl/d to 1mn bl/d,” says Pierre Breber, Chevron CEO. “If you think of the biggest growth that we have going forward, clearly it is in the Permian.” Chevron says the latest commodity price swing generated record quarterly FCF for the business in Q3 2021, higher than the strongest quarters in 2008 and 2011, when oil prices were well above $100/bl. The company is guiding more than $25bn in FCF over the next five years, driven by strong projected Permian performance. Che
Also in this section
2 April 2026
Alongside a rapid continued build-out of renewables, China’s latest five-year plan stresses the value of domestic hydrocarbon production for energy security and calls for increased Russian gas imports
2 April 2026
The government is taking important steps to revive domestic production, lift investment and benefit from the geopolitical crisis even if more needs to be done in the longer term
1 April 2026
Golden Pass’s startup offers QatarEnergy a timely boost but may also force a difficult choice between honouring disrupted contracts and capitalising on soaring spot LNG prices
1 April 2026
It is not a case of if or when, but the length and magnitude of economic damage from elevated oil prices
