EP186: $3 Gas Today, $5 Tomorrow? The Hidden Crisis Lurking in U.S. Shale

Summary:In this episode, we outline a significant downturn in the U.S. shale industry in 2025, marked by low oil and gas prices stemming from oversupply and new trade tariffs. This situation is squeezing producer profits as break-even costs exceed market prices, leading to a production slowdown with reduced drilling and capped wells. A mismatch between shale crude and refinery capacity is also keeping gasoline prices high despite lower crude costs. These factors collectively threaten a future supply crunch and potential price spikes, negatively impacting the U.S. trade deficit and broader economy. This is a public episode. If you'd like to discuss this with other subscribers or get access to bonus episodes, visit geopoliticsunplugged.substack.com/subscribe