Earlier this summer, it seemed that U.S. shale oil growth was beginning to slow. But then production growth picked back up headed into the fall, and is presently at 12.6 million barrels per day (BPD) – equal to its all-time high. But a new market outlook from data provider IHS Markit projects that shale oil growth will slow in 2020, and then flatten in 2021. Raoul LeBlanc, Vice President for North American unconventionals, forecasts the strongest headwinds for the shale industry since the oil price collapse in 2015: “The combination of closed capital markets and weak prices are pulling cash out of the system. Investors are imposing capital discipline on E&P’s by pushing down equity prices and pushing up the cost of capital on debt markets.” IHS Markit projects U.S. shale production growth of 480,000 BPD in 2020 – less than half this year’s rate – and then no […]