Oil Titan Harold Hamm Warns Drilling Might Cease If Oil Costs Stay Low: ‘You Cannot Drill, Child, Drill’ – United States Oil Fund (ARCA:USO)

Harold Hamm, oil magnate and founding father of Continental Assets, issued a stark warning: if oil costs stay at present ranges, drilling in key U.S. shale fields might come to a standstill. 

The Particulars: Talking at CERAWeek in Houston, Hamm emphasised that with oil costs hovering close to $65 per barrel, many fields are already struggling to stay viable. 

“Once you get under the price of provide, you possibly can’t ‘drill, child, drill,'” he instructed Bloomberg, per OilPrice.com.

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Whereas trade leaders have applauded the rollback of Biden-era local weather laws, Trump’s commerce insurance policies—notably his tariff disputes with Canada—are creating uncertainty and additional pressuring crude oil costs. Trump has described the decrease costs as “phenomenal information,” however many within the oil sector are expressing concern. 

“There are plenty of fields which might be attending to the purpose that is actual powerful to maintain that value of provide down,” Hamm instructed Bloomberg Tv. 

“Once you get all the way down to that $50 oil that you simply talked about, then you definitely’re under the purpose the place you are going to ‘drill, child, drill.'”

ConocoPhillips COP CEO Ryan Lance additionally highlighted inflationary pressures and investor nervousness over Trump’s unpredictable commerce insurance policies affecting the trade. 

Scott Sheffield, former CEO of Pioneer Pure Assets, instructed Bloomberg Tv that the worth publicly traded oil drillers have to cowl prices and switch a revenue is between $50 and $55 a barrel. 

The oil trade may very well be at a turning level as low oil costs profit shoppers however pose vital challenges for producers.

The United States Oil Fund LP USO ETF, monitoring the every day value actions of sunshine, candy crude oil, is down greater than 4% in 2025.

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