North Dakota Oil Operators Tread Water Despite Price Spike

U.S. oil operators in North Dakota are proceeding cautiously as they consider ramping up drilling despite a sharp rise in oil prices, driven by the Iran war. According to Mark Bohrer, assistant director of the Oil and Gas Division at the state's Industrial Commission, most producers are sticking to budgets set at the end of last year, limiting any immediate jump in drilling activity.

The price of U.S. WTI settled up 25 cents at $96.60 on Friday, a 44.1% increase since the war started in late February. Continental Resources, the state's second-largest oil producer, has been planning to add a rig and resume drilling after laying down a rig earlier this year.

Harold Hamm, chief executive of Continental Resources, plans to put drilling crews back to work after a temporary pause announced in January. ConocoPhillips, EOG Resources, and Diamondback Energy are also diverting resources to drill new wells or expand existing ones in the Permian basin.