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Former EOG CEO Papa questions forecasts of soaring U.S. oil production

Published 03/05/2018, 10:34 AM
© Reuters.  Former EOG CEO Papa questions forecasts of soaring U.S. oil production
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  • U.S. oil production will not keep growing as fast as the market seems to think, as most of the best drilling locations in North Dakota and south Texas already have been tapped, Mark Papa, former CEO of EOG Rersources (EOG -0.4%) and current Chairman and CEO of Centennial Resource Development (CDEV -1.3%), tells WSJ.
  • While he stops short of saying the industry is headed for trouble, Papa believes shale is not an all-powerful disrupter of oil and gas markets as has been portrayed, and strongly takes issue with the consensus that U.S. production will swamp global supplies and perpetuate lower prices.
  • Continental Resources (CLR +0.4%) CEO Harold Hamm, another shale pioneer, also has questioned the optimistic forecasts for U.S. shale production.
  • The International Energy Agency just today proclaimed "the U.S. is set to put its stamp on global energy markets for he next five years," overtaking Russia to become the world’s largest oil producer by 2023 and accounting for most of the global growth in petroleum supplies.
  • ETFs: USO, OIL, UWT, UCO, DWT, SCO, BNO, DBO, DTO, USL, DNO, OLO, SZO, OLEM, WTIU, OILK, OILX, WTID, USOI, USOU, USOD, UBRT, DBRT, OILD, OILU, USAI
  • Now read: The Coming FCF Giant Known As EOG Resources


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