US shale boosts 2020 hedges amid volatility, shut-ins.

摘要

According to Goldman Sachs (GS), during 1Q 2020, US shale independents Concho Resources, Diamondback Energy, Parsley Energy, and Pioneer Natural Resources all increased their hedges to the point where over 85% of their 2020 output is now hedged. Concho added $54.00/bbl hedges for Brent and WTI, covering slighdy over 150K b/d of its output for the rest of 2020. Concho produced 209K b/d in 1Q. US energy investment bank Tudor, Pickering, Holt & Co. (TPH) expects Concho to produce 200K b/d this year. Hess Corp. also has 80% of its 2020 output hedged at $55.00/bbl WTI for 130K b/d and $60.00/bbl Brent for 20K b/d. Apache Corp., which had none of its 2020 production hedged at the end of last year, bought some 2020 hedges in 1Q because "oil prices are getting into range where costs just can't be cut low enough to maintain free cash flow," according to CFO Steve Riney. Riney said it hedged a bulk of its 2Q 2020 output with subsequendy smaller volumes covered in 3Q and 4Q.