Related Articles
Report
Forward article link
Share PDF with colleagues

Promising future for US shale

The tide is turning, slowly, for America’s beleaguered shale industry

The modest oil-price recovery has brought a shift in perspective in America's tight oil industry. The doom and gloom from early 2016 has given way to a cautious optimism that, for shale drillers, the worst is over. Rigs that were laid up for months due to a lack of work are slowly being fired up again. Output from the major shale plays is down a whopping 0.7m barrels a day, or 15%, from the peak in March 2015, to 3.93m b/d. But it is likely at or near the bottom, barring another steep drop in crude prices. As recently as May, every day brought news of a new bankruptcy. And yet the sector has backed away from the brink after five straight months of $40-plus crude prices. After cutting budget

Also in this section
Is Russia edging towards the Opec exit?
21 May 2018
Russian output remains much higher than the level it agreed to in December 2016 and producers have big expansion plans
Oil goes into the red zone
21 May 2018
The market is primed for another price rally. The industry needs to update its outlook
Opec ushers in the next market cycle
11 May 2018
Opec and partners have cleared the glut—but will keep cutting. The strategy will support prices, but recreate the conditions that brought about the last bust