Deals
Parsley Energy Boss Says Shale Will Finally Deliver Returns This Year
- CEO sees restraint in oil patch even as crude prices rise
- Company won shareholder approval for Jagged Peak deal
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This is the year when shale drillers are finally going to deliver solid returns to investors that have grown weary of the industry’s decade-long cash burn, the head of explorer Parsley Energy Inc. said.
Why? Because for the first time the producers behind the U.S. shale boom are collectively showing restraint in capital spending at a time when crude prices are rising and struggling oil-service providers are lowering their rates, Parsley Chief Executive Officer Matt Gallagher said in an interview. In the past, explorers would instead have taken advantage of that to drill at full throttle again.