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.
Also in this section
6 February 2026
The long close relationship between key supplier Qatar and pivotal buyer Japan becomes even deeper following new landmark deal
6 February 2026
Partnerships across the LNG value chain have evolved over time, growing in both complexity and importance, according to panellists at LNG2026
6 February 2026
Nigeria's mega-refinery is still trying to solve many challenges, all while its owner talks up expansion
5 February 2026
While broadly supportive of EU efforts to tackle methane emissions, representatives of the gas industry warn it could deter supply contracting if timelines and compliance requirements are not made more pragmatic
