The Shale Industry's "Black Cow" Phase

Shale focused E&P’s have sold off dramatically over the last year. There are a number of reasons for this, but the one we will address in this article concerns shareholder returns, and investors perception that they are not sustainable at current commodity prices. With most of them, this is simply not the case, barring a crash in oil prices below $40.00, and we will cite some examples as we go through this article. In 2022 and in the first half of 2023 shareholders of large E&P’s as increased cash flow from the Ukraine war oil…