Shale Not Paying Off for Shell
This segment is from Tuesday's edition of Digging for Value, where sector analysts Joel South and Taylor Muckerman discuss energy and materials news with host Alison Southwick. The twice-weekly show can be viewed on Tuesdays and Thursdays. It can also be found on Twitter, along with our extended coverage of the energy and materials sectors @TMFEnergy .
In a recent interview in the Financial Times, outgoing Shell CEO Peter Voser discussed his regret on betting big in unconventional shale plays in the United States. While shale oil and gas is transforming the U.S energy landscape, low natural gas prices and difficult-to-scale oil finds have proved difficult for Shell. However, Shell is not alone, ExxonMobil has also felt the pressure of low domestic natural gas prices, especially after buying XTO Energy for $41 billion, making Exxon the largest natural gas producer in America. While Exxon is in for the long haul and eventually the XTO acquisition will pay off, will the same be true for Shell?
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The article Shale Not Paying Off for Shell originally appeared on Fool.com.Joel South and Taylor Muckerman have no position in any stocks mentioned, and neither does The Motley Fool. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.