Despite reducing its full-year capital expenditure guidance by $200 million and cutting domestic operating costs by $150 million in Q1 2025, Oxy continues to maintain — and even expand — its drilling footprint in the Permian Basin.
Occidental (NYSE: OXY) and ADNOC’s investment company, XRG, are teaming up to evaluate a $500 million joint venture for a Direct Air Capture (DAC) facility in South Texas. The project aims to capture 500,000 tonnes of CO2 per year, advancing DAC as a scalable solution for emissions reduction.
Urban Oil & Gas Group, LLC, a Plano, Texas-based energy investment firm, has recently secured a renewed pipeline operation permit from the Railroad Commission of Texas. This permit, effective until July 31, 2025, authorizes the company to operate 65.54 miles of natural gas gathering pipelines across Jim Wells, Kleberg, and Nueces counties.
U.S. oil and gas executives aren’t just reacting to the market—they’re actively redefining it. In Q1 2025 earnings calls, top influencers like Darren Woods (ExxonMobil), Ryan Lance (ConocoPhillips), and Vicki Hollub (Oxy) revealed how operators are navigating volatility, driving efficiencies, and expanding into new, high-margin markets.
Volatility in commodity markets isn’t just a headline—it shows up in real-world decisions, drilling schedules, and permitting activity. A clear example of this came in Diamondback Energy’s Q1 2025 earnings report, where the company signaled a pivot in response to recent price swings
As AI-driven data centers rapidly proliferate, the oil and gas industry is seizing a new opportunity—not just as energy suppliers, but as key enablers of power-hungry digital infrastructure. From West Texas to global LNG markets, top U.S. operators are embracing strategic partnerships, low-carbon innovation, and diversified energy solutions to meet rising demand from hyperscalers and industrial tech players. The Permian Basin may soon become ground zero for the convergence of hydrocarbons and high-performance computing.
In today’s volatile energy landscape, shale operators are leaning into a familiar playbook—one forged through cycles of boom, bust, and adaptation. With WTI prices hovering around $60, executives across the U.S. oil patch are recalibrating operations and capital plans while reaffirming confidence in their long-cycle strategies built on cost discipline and optionality.
Even with oil prices hovering around $40 per barrel, U.S. shale producers are thriving. How? The answer lies in strategic acquisitions, portfolio optimization, and relentless capital discipline.
In today’s lower-for-longer oil price environment, U.S. shale operators must be relentless in their pursuit of cost efficiency. The ability to deliver production with a breakeven price of $40 or less isn’t just desirable—it’s essential. That level of performance is only possible through structural cost reductions across drilling, fracing, facility development, and production operations.
U.S. production can remain globally competitive thanks to low-cost inventory—but only if operators avoid cutting too deep or delaying activity.
Without that, even the Permian will face premature decline.
