Prepping For Oil Liftoff: The Permian’s Largest Producer Just Went Full “Zero Hedge”

Prepping For Oil Liftoff: The Permian’s Largest Producer Just Went Full “Zero Hedge”:

The largest oil producer in the Permian has shuttered all of its hedges on the commodity for the year, indicating a vanilla bullish outlook on the price of oil in 2022.

Pioneer Natural Resources said in a filing on Wednesday that removing the hedges would cost $328 million but would leave the company positioned to capitalize off of a continued rise in oil prices. The company also bought back $250 million of its own shares, Yahoo Finance and Bloomberg reported.

RBC Capital Markets analysts Scott Hanold commented: “The hedge monetization strategically positions PXD for further strength in 2022 oil prices.”

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