In a world where everybody wants to produce as much oil as possible even if nobody needs oil and at the same time keep prices high, Parsley Energy took the bold decision to stop new drilling and fracking. Here's what the CEO had to say about that during the conference call:
If the world doesn't need their products, why produce it? Maybe they have contractual obligations.
Most of the debt are due after 2025, therefore, Parsley Energy can afford to lower productions in the coming months or even years.
This is a luxury not available to other oil producers.
We should not expect activity to resume before oil prices stabilizes above $30 a barrel.
Here's the full analysis of Parsley Energy on my research partnership: https://ishfaaqpeerally.teachable.com/courses/662813/lectures/16704040 Link to my YouTube channel: https://www.youtube.com/user/mip130916?sub_confirmation=1 Join my private investing group on Facebook for more: https://www.facebook.com/groups/IshfaaqInvesting/