Shale Giants Eye Global Frontier as US Oil Boom Slows
The US oil industry is shifting its focus back to international exploration after decades of growth in domestic shale production. EOG Resources, one of the pioneers of the shale revolution, is now leading a new wave of frontier exploration in countries like the UAE and Bahrain.
According to Ezra Yacob, EOG's chairman and CEO, 'it's outperforming our expectations right now.' The company has brought several wells online in Abu Dhabi, which has geology comparable to South Texas' Eagle Ford shale.
Despite ongoing conflicts in the region, there is optimism that the Middle East will rebound, with countries like Iran, Venezuela, and Guyana becoming increasingly important players. ExxonMobil and Chevron are also increasing their international capital budgets for projects in the Middle East and Africa.
'International exploration is back in the game,' said Bobby Tudor, founder of Artemis Energy Partners, 'the desire to look outside the core US conventional business has gone up meaningfully.'