Productivity in America’s shale oil industry is set to continue its trend lower next year. This includes the Permian, the largest oil producing basin in the US.
The forecast from the EIA comes as Scott Sheffield, chief executive of Texas-based Pioneer Natural Resources — the biggest shale oil operator — has warned that using the windfall profits from recent high prices would go against efforts by the Shale industry to win back investors.
This will impact global oil productivity and prices, keeping prices volatile, as outlined in our analysis “Oil is back, which is good news for the energy transition.“