Oil Price Forecast from CEO of PXD - Sept 16

[dan_s]

"We're not adding drilling rigs and I don't see anyone else adding rigs," said Sheffield, who runs one of the biggest oil producers in the US. He added that crude prices could rise above $120 a barrel this winter as supplies tighten.
Read: https://www.zerohedge.com/commodities/u ... out-coming

Shale's inability to rapidly increase crude production is no surprise, regarding Halliburton Co.'s CEO Jeff Miller and Exxon Mobile's Darren Woods's warnings over the summer that markets will remain tight for years due to a lack of production growth.
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All of my forecast/valuation models are based on WTI averaging $90/bbl in Q3, $95/bbl in Q4 and $100/bbl in 2023. Q3 actual price should be very close to $90/bbl because for July and August the average price was ~$92/bbl and we've been in the high $80/bbl so far in Sept.

I won't adjust the price deck used for my models until we get to the end of October, because I think we could see much higher oil and gas prices this winter. Today our inventories of all space heating fuels are lower than they should be this time of year, especially home heating oil.