{"id":41609,"date":"2018-12-13T10:08:34","date_gmt":"2018-12-13T15:08:34","guid":{"rendered":"https:\/\/olduvai.ca\/?p=41609"},"modified":"2018-12-13T10:08:34","modified_gmt":"2018-12-13T15:08:34","slug":"big-oil-doubles-down-on-shale-despite-price-drop","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=41609","title":{"rendered":"Big Oil Doubles Down On Shale Despite Price Drop"},"content":{"rendered":"<h3><a href=\"https:\/\/oilprice.com\/Energy\/Energy-General\/Big-Oil-Doubles-Down-On-Shale-Despite-Price-Drop.html\">Big Oil Doubles Down On Shale Despite Price Drop<\/a><\/h3>\n<div class=\"articleImageContainer\"><picture><source srcset=\"https:\/\/d32r1sh890xpii.cloudfront.net\/article\/420x175\/ad1f1b3c6c7031e4a90fe5b625fcbf21.jpg\" media=\"(max-width: 480px)\" \/><img decoding=\"async\" class=\"singleArticle__articleImage\" title=\"big oil shale\" src=\"https:\/\/d32r1sh890xpii.cloudfront.net\/article\/718x300\/ad1f1b3c6c7031e4a90fe5b625fcbf21.jpg\" alt=\"big oil shale\" \/><\/picture><\/div>\n<div id=\"article-content\" class=\"wysiwyg clear\">\n<p>It\u2019s the time of the year when oil companies start announcing their budgets for next year and besides a steady albeit guarded optimism, one thing stands out: oil majors are doubling down on their shale endeavors.<\/p>\n<p>Chevron, ConocoPhillips, and Hess Corp all announced their capex plans for next year in the last few days and all three have big plans for U.S. shale. In fact, Conoco\u00a0<a href=\"http:\/\/www.conocophillips.com\/news-media\/story\/conocophillips-announces-2019-capital-budget-and-operating-plan-recent-oil-price-volatility-highlights-investment-appeal-of-company-s-differentiated-value-proposition\/\">said<\/a> it would allocate half of its budget on onshore operations in the United States, while Hess Corp <a href=\"http:\/\/phx.corporate-ir.net\/phoenix.zhtml?c=101801&amp;p=irol-newsArticle&amp;ID=2380083\">said<\/a>\u00a0the bulk of its US$1.89 billion production growth budget, or US$1.425 billion, would be poured into the Bakken play.<\/p>\n<p>Chevron has \u00a0<a href=\"https:\/\/www.chevron.com\/stories\/chevron-announces-20-billion-capital-and-exploratory-budget-for-2019\">earmarked<\/a> US$3.6 billion for expanding its production in the Permian and another US$1.6 billion will be invested in other shale plays in the United States. That makes a total of US$5.2 billion for U.S. shale, which is substantially higher than this year\u2019s budget of US$4.3 billion.<\/p>\n<p>Anadarko, which made its 2019 spending plans public last month, <a href=\"https:\/\/www.ogj.com\/articles\/2018\/11\/anadarko-to-allocate-70-of-2019-capex-to-us-onshore.html\">said<\/a> it planned to allocate more than two-thirds of its 2019 budget to shale operations, with a particular focus on the Delaware Basin in the Permian and the DJ basin in Colorado.<\/p>\n<p>According to <a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2018-12-10\/conoco-sees-u-s-shale-growth-at-25-in-2019-even-as-oil-slides\">Bloomberg<\/a>, shale has become \u201ca safe haven\u201d for Big Oil amid the recent increased volatility in prices. The argument is that shale production costs are much lower than a few years ago and combine with the opportunity for a steady production increase and quicker returns than conventional projects.<\/p>\n<p>The recent assessment of the U.S. Geological Survey of the recoverable reserves in the Wolfcamp basin must have added fuel to Big Oil\u2019s shale enthusiasm.<\/p>\n<p>\u2026click on the above link to read the rest of the article\u2026<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Big Oil Doubles Down On Shale Despite Price Drop It\u2019s the time of the year when oil companies start announcing their budgets for next year and besides a steady albeit guarded optimism, one thing stands out: oil majors are doubling down on their shale endeavors. Chevron, ConocoPhillips, and Hess Corp all announced their capex plans [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[3],"tags":[2688,2661,129,1892,23478,13719,23083,723,827],"class_list":["post-41609","post","type-post","status-publish","format-standard","hentry","category-energy-2","tag-big-oil","tag-capex","tag-chevron","tag-conocophillips","tag-hess-corp","tag-irina-slav","tag-oil-price-com","tag-shale-oil","tag-united-states"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/41609","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=41609"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/41609\/revisions"}],"predecessor-version":[{"id":41610,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/41609\/revisions\/41610"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=41609"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=41609"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=41609"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}