• 4 hours WCS-WTI Spread Narrows As Exports-By-Rail Pick Up
  • 9 hours Norway Grants Record 75 New Offshore Exploration Leases
  • 13 hours China’s Growing Appetite For Renewables
  • 16 hours Chevron To Resume Drilling In Kurdistan
  • 19 hours India Boosts Oil, Gas Resource Estimate Ahead Of Bidding Round
  • 20 hours India’s Reliance Boosts Export Refinery Capacity By 30%
  • 21 hours Nigeria Among Worst Performers In Electricity Supply
  • 1 day ELN Attacks Another Colombian Pipeline As Ceasefire Ceases
  • 1 day Shell Buys 43.8% Stake In Silicon Ranch Solar
  • 2 days Saudis To Award Nuclear Power Contracts In December
  • 2 days Shell Approves Its First North Sea Oil Project In Six Years
  • 2 days China Unlikely To Maintain Record Oil Product Exports
  • 2 days Australia Solar Power Additions Hit Record In 2017
  • 2 days Morocco Prepares $4.6B Gas Project Tender
  • 2 days Iranian Oil Tanker Sinks After Second Explosion
  • 4 days Russia To Discuss Possible Exit From OPEC Deal
  • 4 days Iranian Oil Tanker Drifts Into Japanese Waters As Fires Rage On
  • 5 days Kenya Cuts Share Of Oil Revenues To Local Communities
  • 5 days IEA: $65-70 Oil Could Cause Surge In U.S. Shale Production
  • 5 days Russia’s Lukoil May Sell 20% In Oil Trader Litasco
  • 5 days Falling Chinese Oil Imports Weigh On Prices
  • 5 days Shell Considers Buying Dutch Green Energy Supplier
  • 5 days Wind And Solar Prices Continue To Fall
  • 6 days Residents Flee After Nigeria Gas Company Pipeline Explodes
  • 6 days Venezuela To Pre-Mine Petro For Release In 6-Weeks
  • 6 days Trump Says U.S. “Could Conceivably” Rejoin Paris Climate Accord
  • 6 days Saudis Shortlist New York, London, Hong Kong For Aramco IPO
  • 6 days Rigid EU Rules Makes ICE Move 245 Oil Futures Contracts To U.S.
  • 6 days Norway Reports Record Gas Sales To Europe In 2017
  • 6 days Trump’s Plan Makes 65 Billion BOE Available For Drilling
  • 6 days PetroChina’s Biggest Refinery Doubles Russian Pipeline Oil Intake
  • 7 days NYC Sues Five Oil Majors For Contributing To Climate Change
  • 7 days Saudi Aramco Looks To Secure $6B In Cheap Loans Before IPO
  • 7 days Shell Sells Stake In Iraqi Oil Field To Japan’s Itochu
  • 7 days Iranian Oil Tanker Explodes, Could Continue To Burn For A Month
  • 7 days Florida Gets An Oil Drilling Pass
  • 8 days Oil Prices Rise After API Reports Staggering Crude Oil Draw
  • 8 days Tesla Begins Mass Production Of Solar Shingles
  • 8 days EIA Boosts World Oil Demand Forecast For 2018 By 100,000 Bpd
  • 8 days Businessman Seeks Sale Of $5.2B Stake In Kazakhstan Oil Field
Alt Text

Coastal States Protest Trump’s Offshore Drilling Plan

President Trump’s proposal to open…

Alt Text

The Most Feared Businessman In Russia

No politician or businessman is…

Alt Text

Energy Sector Could Benefit Most From Trump’s Tax Plan

President Trump’s recently signed tax…

Tsvetana Paraskova

Tsvetana Paraskova

Tsvetana is a writer for the U.S.-based Divergente LLC consulting firm with over a decade of experience writing for news outlets such as iNVEZZ and…

More Info

Oil Tycoon Hamm Slams EIA’s Overoptimistic Shale Forecasts

Harold Hamm

As a powerful oil market mover, the EIA needs to have “more sophisticated” forecasts about U.S. shale production, because overly optimistic expectations depress oil prices and disadvantages the U.S. market, shale billionaire and Continental Resources chief executive Harold Hamm said in an interview with Bloomberg published on Thursday.

The EIA is “a very powerful market mover, and so it’s necessary they understand all of these things,” said Hamm who is scheduled to take part in an EIA webinar on crude oil production forecasts later on Thursday.

“EIA is on that world stage with us, as the swing producer in the world, and so it’s going to require better, more sophisticated methods of forecasting -- more so than ever before,” Hamm told Bloomberg.

According to the billionaire oil executive, the EIA needs to hear “meaningful feedback” from the shale producers and oilfield service providers about their production challenges.

“It’s pretty easy to get enamored” by technology, and “some people tend to go too far with it,” Hamm told Bloomberg.

Over the past few months, Hamm has been one of the most vocal critics of EIA’s overly optimistic forecasts for U.S. oil production. Related: Why Saudi Arabia Should Fear U.S. Oil Dominance

On September 14, Hamm told CNBC that he was concerned with EIA’s over-forecasting, and said that as the unbiased authority on supply in America, the Energy Information Administration needs “the same tools that we have in the industry.”

A week later, Hamm said that “EIA over-forecast what U.S. production was going to be this year by about 100 percent,” adding that the EIA had been revising its production estimates down, but by a much more moderate rate than the actual decline in production.

Earlier this year, when OPEC was just two months into the production cut deal, Hamm warned that if the U.S. oil industry embarked on another spending spree, it could “kill” the market. Production could go pretty high, but it should be in “a measured way, or else we kill the market,” Hamm said in early March.

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:




Back to homepage


Leave a comment
  • Raul Vargaz on November 16 2017 said:
    Well the cat's out of the bag, IEA and EIA collude to ripoff the world oil market. Happy Hanukkah Saudi Arabia, Russia and OPEC, you've been played.
  • Bud on November 16 2017 said:
    EIA weekly numbers are a bold face guess. You cannot have the same numbers week after week and have statistical credibility. Clearly they have some formula that says X feet of new pipeline is added per week, weather permitting, and assume it is filled with new inventory. The only people benefitting are the politicians and day traders, whether that trader be a bank with a trillion dollar BS or a smaller specialist.
  • Terry Twitchell on November 16 2017 said:
    More self-serving comments by an oil billionaire trying to drive up prices with rhetoric. Get in line, dude. OPEC and the Russians are way ahead of you with that tact.
  • Barry Frie on November 16 2017 said:
    How about having concerns about the working man and do something about lowering the price of oil and gasoline. Move your money elsewhere. I'm sure you people are smart enough while we only put more money in our pocket by paying less for gas.
  • Mr. Do on November 20 2017 said:
    Come on now, $1.25 for a gallon of gas was a post housing/stock market crash gift. Stop driving to the fast food place every day, eat some vegetables - you will loose weight and get better gas mileage. If you are in a car club maybe you should join the chess club instead.

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News