Shale producer Pioneer Natural Resources Co. said on Nov. 20 it would reinstate full salaries of its CEO and other executives in 2021, after cutting them earlier this year as the COVID-19 pandemic crushed oil prices.
Pioneer had cut CEO Scott Sheffield’s annual base salary by 20% in May, a month after U.S. oil prices fell below $0 per barrel for the first time ever due to a slump in demand caused by the health crisis and a supply glut.
Oil prices have since recovered and were trading around $42 per barrel on Nov. 20, though recent restrictions have cast a shadow on demand recovery.
Rival Parsley Energy, which Pioneer agreed to buy in October, slashed executive pay by 50% in March.
Pioneer said in May it expects to save $100 million annually through job cuts and a new organizational structure.
Nearly half of the increase in global electricity demand will have to be met by burning fossil fuels, notably coal, says the IEA adding it expects particularly strong demand in the Asia Pacific region, primarily China and India.
Bureau of Energy Resources' Frank Fannon discussed the U.S. perspective of the shifting global oil and gas market dynamics at the ADIPEC.
Following the deal, oil prices will continue rallying throughout the month of June, averaging at around $43/bbl for Brent and $30/bbl for WTI, analyst says.