Shale Production is a Driving Factor in US Oil and Gas Revenue Increase

Shale production may be taking over within the oil and gas industry as a top revenue driver, with the number of US companies citing shale as a driving factor rising by 15% within the past year, according to a recent survey released by both UHY LLP Certified Public Accountants and the Oil & Gas Financial Journal.

In the survey, which analysed results from 178 oil and gas related companies, it was revealed that over half of US oil field service companies and 40% of upstream producers view shale development and production, commonly referred to as “fracking”, as a major contributor to 2014 revenue; so much so that over 40% of US oil producers and equipment providers are intending to spend the greater part of their budgets for 2014 on shale production and development.

Midstream and downstream businesses, such as pipeline operators and refiners, on the other hand, claim that shale accounts for less than 25% of their yearly revenue.