U.S. Shale Majors Cut Spending Despite Higher Oil Prices

IndustryCommodity

โดย Oilprice.com·

Summary · why it matters

U.S. shale oil majors are trimming spending plans despite higher international oil prices, choosing to reduce debt and boost shareholder returns instead of expanding production. Bloomberg reported that Chevron and ConocoPhillips cut spending by 10% in the first half of the year, while Occidental slashed Permian operations spending by as much as a fifth, with APA Corp., HighPeak Energy, and Matador also spending less. The International Energy Agency expects a global oil market deficit of 1.8 million barrels daily, yet U.S. crude production growth has slowed to 2.5 million barrels daily between 2020 and May 2026, compared with over 4 million barrels daily from December 2016 to January 2020. The Energy Information Administration forecasts 2025 average daily production of 13.8 million barrels, a modest 200,000-barrel-per-day increase from a year ago, despite a physical supply squeeze and continued Middle East tensions. Analysts note a structural shift toward fiscal discipline and shareholder returns, with well productivity declines also limiting output growth.