XTO Energy chairman and CEO Bob Simpson thinks we are entering a protracted bull cycle for oil and gas. Speaking at the annual Howard Weil energy conference in April, he said: "It is possible to have an extended cycle of 10 or 15 years and we think we're in the 6th year, maybe. U.S. gas production will struggle. There is still too big a discount on gas prices relative to oil, so if you really think oil prices will be extended, then you ought to take a position in gas. "Today the oil consumption going on in the world outweighs the rhetoric. Where's the next 20 million barrels a day going to come from? You just can't see it. I believe oil is going to stay very strong and within that, the company has quadrupled its oil and liquids production--although we are still primarily a natural gas company. "The future is the brightest it's ever been. Our strategy is the same, but the staff is mature. It's not about exploiting the specific asset, it's about exploiting the knowledge we have and these shale plays are perfect for that. These plays need XTO."
Recommended Reading
Belcher: Bright Future Ahead in Powering US Data Centers
2025-05-12 - Steps are being taken at the federal level to ensure sufficient power generation to fulfill the energy demands of data centers in the U.S.
NRG Stock Soars on $12B NatGas Power Plant Fleet Acquisition
2025-05-12 - The $12 billion deal positions NRG to capitalize on a power-hungry future driven by data centers and grid strain.
Report: LNG Canada Could Start Export Sales in June
2025-05-12 - The export facility is designed to have a 14 million tonnes per year capacity, and is under construction at Kitimat, British Columbia, on the Canadian west coast.
What's Affecting Oil Prices This Week? (May 12, 2025)
2025-05-12 - U.S. officials said on May 11 that a deal had been made to reduce the U.S. trade deficit with China. While all the details may not be established, oil prices will get another boost from this “deal”.
Whitecap, Veren Create Top Canadian E&P Post $10.4B Merger
2025-05-12 - The combined company will operate under the Whitecap Resources name and is selling non-strategic assets in Saskatchewan and Kaybob as Whitecap and Veren integrate.