US Shale Producers Fear Drilling Binge by ‘Bad Actors’

U.S. shale producers, suddenly enjoying a rare period of profitability thanks to rising oil prices, are starting to worry that “bad actors” in the sector will spoil the rally with another drilling binge.

Less than a year after the oil crash forced the heavily indebted industry to slash spending and production, cash flows have turned positive. It comes as operators pledge to prioritize margins oversupply growth and investors over rigs.

But with the U.S. oil benchmark now trading at $53/bbl, most shale operators can turn a profit. Resisting the urge to start producing more crude may prove difficult, say some executives.