US oil titan to cut up to 25% of its workforce — impacting thousands. So what happened to ‘drill baby drill’?

Oil Market Outlook - The report indicates that large OPEC+ inventories and increased production are contributing to a forecast of crude oil prices around $51 per barrel by early 2026 [1] - Predictions suggest that rising natural gas prices and falling oil prices will lead to crude oil trading at its lowest premium to natural gas since 2005 [1] - The U.S. Energy Information Administration warns of a significant decline in Brent crude oil production and prices, projecting a drop from $68 per barrel in August to approximately $50 per barrel early next year [1] Company Layoffs and Financial Performance - ConocoPhillips announced layoffs that will reduce its workforce by 20% to 25% before the end of the year, reflecting broader challenges in the oil industry [4] - Other major oil companies, including BP, Chevron, Halliburton, and SLB, are also experiencing layoffs as earnings decline to their lowest levels since the COVID-19 pandemic [2] - ConocoPhillips reported second-quarter earnings of $1.97 billion, down from $2.33 billion year-over-year, with CEO Ryan Lance attributing this to prioritizing acquisitions over cost management [2][3] Industry Challenges - The oil industry is facing a slowdown in production and demand, with projections indicating this slump may extend into 2026 [5] - Inflation and ongoing tariff wars have negatively impacted oil prices, which were around $80 before the current administration took office [5] - Experts believe that if oil prices fall into the lower $60s or upper $50s per barrel, public independents will need to cut budgets and rigs, potentially leading to job losses and economic impacts in local communities [6][7]