Caution abounds as US onshore braces for potential WTI price drops

Heading into 2026, the overall sentiment among US onshore E&Ps is more negative than the underlying market fundamentals would suggest, said Geoff Jay, Partner at Daniel Energy Partners. While E&P returns are still robust for most basins at the current mid-$60s WTI pricing range, many operators are preparing to reduce activity on the possibility that crude pricing drops into the $50s, which is putting pricing pressure on the oilfield services sector (OFS). In this video interview with Mr Jay, shot at the 2025 IADC Annual General Meeting in Naples, Florida, on 24 September, he outlined the near-term future for OFS and why the forward curve for oil pricing through 2026 suggests a flat outlook for rig count.