'Right now we are bleeding': Oilfield execs dour in Dallas Fed energy survey

Core Insights - Oil and gas activity in Texas, Louisiana, and New Mexico has slightly declined in Q3, with executives expressing a negative outlook for the industry [1][2] - The decline in activity is attributed to uncertainty around oil prices and dissatisfaction with U.S. government policies, particularly those of President Trump [2][4] - A significant number of exploration and production executives are delaying investment decisions due to heightened uncertainty regarding oil prices and production costs [3][4] Industry Trends - More than one-third of exploration and production executives reported significant delays in investment decisions due to uncertainty in oil pricing [3] - Many producers require oil prices around $65 per barrel to be profitable, while U.S. crude futures have fluctuated between $62 and $70 per barrel in Q3 [4] - Geopolitical tensions in the Middle East and Europe have supported oil prices, but OPEC+ output increases and U.S. tariffs have negatively impacted them [5] Future Outlook - Over three-quarters of executives anticipate that shale oil drilling will become commercially viable in international markets outside the U.S., Canada, and Argentina within the next decade [6] - Companies are increasingly looking abroad for drilling opportunities as domestic resources are being depleted [6][7] - Approximately 43% of exploration and production firms expect a decrease in capital expenditure in Q3 compared to the same period last year, while oilfield service firms expect a 42% decline [7]