and marking the first time in a decade that drillers spent more on share buybacks and dividends than on capital projects. billion windfall in 2022 thanks to a combination of global supply disruptions such as Russia’s war in Ukraine and intensifying Wall Street pressure to prioritize returns over finding untapped crude reserves. After all, why bother if progressives hope to put an end to evil internal combustion engines once and for all.
In other words, if BIden wants to rage at someone, he may as well target the anger at himself : if he hadn't explicitly spelled out the end of the US energy industry, some may have been much more willing to invest in the future. The way it stands now, however... “The companies have to respond to what the investment community is telling them to do otherwise they're not going to be in charge very long.”
This may pose a problem in a matter of months as Chinese demand accelerates and global fuel consumption hits an all-time high. according to data compiled by Bloomberg. A similar trend is evident among the majors, with Exxon Mobil Corp. and Chevron aggressively ramping buybacks while restraining capital spending to less than pre-Covid levels.
US oil production is expected to grow just 5% this year to 12.5 million barrels a day, according to the Energy Information Administration. Next year, the expansion is expected to slow to just 1.3%, the agency says. While the US is adding more supply than most of the rest of the world,