Latest / Energy Economics with Fexingo: Oil Prices, Renewables, and the Cost of Power
Why US Oil Production Growth Has Hit a Wall
Lucas and Luna dive into why US oil output growth is stalling despite high prices, examining the Permian Basin's 'infill drilling' exhaustion, the surge in well completion costs, and what this means for global supply. They reference the latest Energy Information Administration data showing US production flat at 13.2 million barrels per day since April 2026, and the recent uptick in the 10-year breakeven inflation rate that signals investors are questioning future supply. Lucas argues that the 'drill, baby, drill' era is over, while Luna notes that the rise in the…
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