There is a 'Big Slug' of Production Growth Coming: Parsley CEO

The video discusses the challenges faced by the oil industry, including underperformance and strategies for improvement. It highlights Parsley Energy's acquisition of Jagged Peak and the evolving playbook for mergers and acquisitions. The future of M&A in the oil sector is explored, with a focus on smaller operators and the need for tangible synergies. The video also analyzes shale growth forecasts, productivity challenges, and the shift towards offshore production growth in regions like Brazil and Guyana.

What is one strategy oil companies are using to improve financial performance?

• Expanding into new markets

• Increasing production regardless of oil prices

• Growing production on the cheap

• Reducing buybacks and dividends

What was the value of Parsley Energy's acquisition of Jagged Peak?

• $1.2 billion

• $3.0 billion

• $2.5 billion

• $1.8 billion

What is the expected free cash flow for Parsley Energy in the short term?

• $300 million

• $100 million

• $400 million

• $200 million

What is a key factor in the evolving playbook for oil companies?

• Avoiding any mergers or acquisitions

• Making accretive deals

• Focusing solely on short-term gains

• Increasing debt levels

What is a potential risk when executing oil industry deals?

• Underestimating oil reserves

• Ignoring environmental regulations

• Focusing on too many markets

• Over-promising results

What is a major challenge in meeting shale growth forecasts?

• Declining well productivity

• Increasing well productivity

• Lack of investment in technology

• Rising oil prices

Which regions are expected to see more production growth in the future?

• Middle East

• North America

• Brazil and Guyana

• Australia