Overview
- Brent crude has climbed more than 70% this year to above $100 a barrel after the Iran war disrupted Persian Gulf shipping and struck oil infrastructure.
- Energy shares have surged with the move in crude, with the average S&P 500 energy stock up about 40% this year.
- ConocoPhillips needs only mid-$40s oil to fund its capital plan and roughly $10 more to cover its dividend, while EOG reports triple‑digit well returns at $55 oil after cutting drilling and operating costs.
- Occidental sold its OxyChem unit to Berkshire Hathaway for $9.7 billion, which let it pay down debt and target over $1.2 billion in extra free cash flow this year even before the latest price jump.
- Diamondback can sustain output at roughly $30 oil and was guided to generate about $3.1 billion in free cash at $50 and $6.7 billion at $80, while one columnist predicts Occidental and Diamondback could double if the conflict escalates.