Shale Oil's Slower Investment Sparks New Tension with White House

The rate at which U.S. shale producers put cash from operations into drilling for oil and gas fell to a record low last quarter, data from consultancy Rystad Energy showed.

Liz Hampton, Reuters

As the Biden administration and allies scramble to deliver more oil to market through stockpile releases, shale producers are tapping the brakes on reinvestment, according to new data, a sign of the widening split between U.S. oil companies and Washington.

That restraint has become the latest friction point between oil producers and the White House. On Nov. 23, President Joe Biden launched coordinated oil stockpile releases with China, India, Japan and South Korea after efforts to cajole OPEC and U.S. producers to speed up production failed.

Already have an account? Log In

Sign up for FREE access to view this article now!

Unlock Free Access