Monday, August 2


Markets, MI Exclusive, Oil, Oil price, OPEC, Permian Basin, Shale

Big American shale producers are reportedly selling oil at a loss despite soaring crude prices

A pump jack operates in the Permian Basin oil and natural gas production area near Odessa, Texas, in February 2019. Nick Oxford/Reuters Nearly a third of US oil output is being sold at $55 a barrel, according to the Financial Times. Hedging contracts taken out during the depths of the pandemic locked in low oil prices for producers. A brisk recovery and OPEC oil-supply cuts have pushed up crude prices, sinking US producers' hedges. Sign up here for our daily newsletter, 10 Things Before the Opening Bell. Oil prices above $70 have not lifted the fortunes of some US shale producers who have been stuck selling at pandemic-era oil prices, according to a report in the Financial Times.Nearly a third of US oil output is being sold at $55 a barrel, while some especially unlucky producers...