Climate Changed
Recharged Shale Boom in 2018 Still Faces Shortage of Frackers
- Undersupply gives diversified companies edge, JP Morgan says
- Post-Harvey refinery boost to slow as fuel stockpiles rise
The Big Risk for U.S. Shale Production
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A recharged U.S. shale boom will grow in 2018, with diversified companies such as Concho Resources Inc. and Devon Energy Corp. gaining an edge in overcoming a lack of completion crews for drillers.
In its outlook for the coming year, JP Morgan Chase & Co. says it expects U.S. shale production to continue rising if West Texas Intermediate crude prices hold steady above $60 a barrel. But even as companies keep drilling, they’ll be hard-pressed to secure enough frack crews, adding "another wrinkle to the already tight labor and supply chain equations," the report said.