Asks if US will ramp up shale production in response to Iran war.
Speaker1
Speaker2
Not immediately. Administration is disingenuous asking for production ramp while talking about lowering prices. Industry needs more government embrace before mentality changes.
Should they ramp up production?
Speaker1
Speaker2
Prefers industry remain disciplined through volatility, advocating capital discipline and return of capital business model.
Would it be risky if conflict is short-lived? Duration is key question.
Speaker1
Speaker2
Too much uncertainty. Shale production takes 6-9 months to come online. Who knows prices then. Most industry will hold pat.
Drilled but uncompleted wells are low. Should industry have built this up?
Speaker1
Speaker2
Drilled uncompleted is unprofitable inventory. Excess has been whittled down, now real-time inventory is healthier for profitability.
With real-time inventory, best way moving forward?
Speaker1
Speaker2
Industry needs to be as profitable as possible, meaning not drilling ahead of uncertain demand environment.
Speaker2
On Devon Cotera deal: Board faces pressure to prove synergies and execute asset sales since they didn't take premium offers.
Speaker2
Commonwealth LNG expects final investment decision first half this year. Current environment shows critical importance of integrated strategy.
Speaker2
Iran conflict shows importance of not just producing molecules but getting price for them, having access to international markets given price volatility.
Speaker2
Key takeaway: Return to relevancy of energy industry. World needs reminding energy is lifeblood of global economy. Nothing works without energy.