- Continental Resources (CLR +6.2%) is among today's biggest gainers among oil and gas producers after Q2 results included a capex cut paired with a production guidance increase for the full year.
- CEO Harold Hamm said in today's earnings conference call that CLR will take "absolutely do new debt" and forgo some growth opportunities as it curtails spending and funds future wells only from cash flow.
- Hamm also said he sees WTI crude oil regaining price "dominance" over Brent after trading at a slight discount to the global benchmark for years; if that dynamic were to flip, it would be a boon for CLR and its peers.
- "In the meantime, we believe that the long-term oil supply cannot be sustained at $50 WTI. There simply won't be adequate capital investment long term at this price to adequately supply market demand growth," according to Hamm.
- Now read: Shale Oil: A Trend That Is Redefining The Cost Of Supply
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