- ConocoPhillips (NYSE:COP) expects its shale production to increase 25% next year even as crude oil prices tumble, proving the industry’s resilience in volatile markets, CEO Ryan Lance tells Bloomberg.
- The CEO says COP's wells in the Eagle Ford Shale, Permian Basin and Bakken field generate cash when prices hover ~$50/bbl; the company pumped 313K bbl/day from the three regions combined during Q3, or 25% of the company’s global production.
- Production growth likely "slows down at $50 but I don’t think it stops at $50 and it certainly continues if prices get back to $60," Lance says, adding that skeptics thought shale "wouldn’t last long but it’s here, it’s a huge resource and it’s going to be resilient and long lasting."
- Earlier: ConocoPhillips plans $6.1B capex for 2019, $3B in share buybacks (Dec. 10)