Billionaire oilman Harold Hamm issued a warning in Houston in the past few days suggesting the U.S. energy industry could literally kill the oil market if it launches another spending binge.
Speaking at CERAWeek, the chairman and founder of Continental Resources Inc.told oil executives U.S. production could go high.
“But it’s going to have to be done in a measured way, or else we kill the market,” he warned.
His words of caution came as oil prices plunged to their lowest level this year and top shale companies announced large increase in spending for 2017. At the same time, the U.S. government said domestic oil output next year will likely be more than the record high of 1970. It’s prompted OPEC ministers to watch shale production closely before deciding in late May whether to extend their cuts into the second half of the year.