The disciplined capital approach by Lower 48 natural gas and oil producers has collided with sharply higher commodity prices, giving the industry the potential to become debt free and ready to transition to lower carbon, according to Deloitte.

U.S. exploration and production (E&P) companies this year alone could report a total of $1.4 trillion in free cash flow (FCF), the highest level ever, because of soaring gas and oil prices, the consultancy reported. 

“The U.S. shale industry can potentially become debt-free by early 2024 if prices stay strong and discipline prevails,” researchers said in “Striking the Balance: How and Where Will O&G Producers Deploy their Cash?”

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