Oil Execs Raise WTI Price Forecasts Sharply, Survey Shows
According to Rigzone, the Q1 2026 Dallas Fed Energy Survey found executives from 131 oil and gas firms now expect WTI crude to average $74.04 per barrel by end of 2026, up sharply from the $62.41 average forecast in last quarter’s survey. Near-term expectations also rose, with executives projecting $78 per barrel within six months. The average spot price during the survey period was $94.65.
What It Means for Subcontractors
- Higher operator price expectations generally support drilling and completions activity, but the wide forecast range ($50 to $135) signals real uncertainty that could delay capital decisions and contract awards.
- Operators need roughly $43 per barrel on average to cover existing well operating costs, meaning most wells stay active at current prices, which supports steady maintenance and production service work.
- Smaller producers require around $46 per barrel to break even versus $32 for large firms, so subcontractors working with smaller independents face more budget sensitivity if prices soften.
