((Automated translation by Reuters, please see disclaimer https://bit.ly/rtrsauto))
(Adds Exxon comment on shale production in paragraphs 10-11, context) by Ron Bousso and Robert Harvey
LONDON, Nov 26 – U.S. oil and gas producers are unlikely to radically increase production under President-elect Donald Trump as companies remain focused on capital discipline, a top executive said on Tuesday. Exxon Mobil XOM.N.
“We won’t see anyone in ‘drill, baby, drill’ mode,” Liam Mallon, head of Exxon’s upstream division, said at the Energy Intelligence Forum conference in London.
“It is unlikely that we will see a radical change (in production) because the vast majority, if not everyone, is focused on the economic aspects of what they do,” he added. .
“Maintaining discipline, quality and information will naturally limit the rate of growth
Mr. Trump, who takes office on January 20, pledged during the election campaign to boost domestic oil and natural gas production.
Reuters reported on Monday that his transition team was preparing a sweeping energy program that should be implemented in the first days of his presidency.
The United States has become the world’s largest oil producer following a surge in shale oil production, with more than 13 million barrels per day earlier this year. They are also the world’s largest producer of natural gas.
Easing mining licensing procedures could boost production in the short term, Mallon said.
BP Chief Executive Murray Auchincloss said during Monday’s conference that he looked forward to the Trump presidency, saying the Republican leader would help speed up permitting timelines for energy projects.
Exxon completed its $60 billion acquisition of smaller U.S. rival Pioneer Natural Resources earlier this year, cementing its position as the largest shale producer.
Exxon plans to increase oil production in the Permian shale basin to more than 2 million barrels per day, Mr. Mallon said.
“We expect growth beyond 2 million probably for a few years, but not at such a strong rate… certainly through 2030 we expect growth,” he said.
