When it comes to whether or not shale drilling in the Permian is actually profitable, Rystad Energy concludes that operator size matters. Say it ain’t so. Some oil and gas analysts doubt whether or not shale drilling is actually profitable. The skepticism comes in part from claims that operators overstate their well production profiles and plain old doubt that operational cash flow from shale wells will never be sufficient enough to cover corporate costs and old debt, Rystad Energy reports. Analysts and investors are using oil and gas companies’ fourth quarter earnings reports to see if they have positive cash flow in the Permian. Rystad notes that Chevron Corp. fared well from its Permian operations in the fourth quarter 2018, while other companies, such as Exxon Mobil Corp. and Anadarko Petroleum Corp. were still in “investment mode.” Net cash for smaller companies focused all or mostly in the Permian […]