Oil Execs Say $70/Barrel Needed to Boost Production

Occidental and Pioneer leaders warn U.S. output will drop without higher crude prices.

Feb. 24, 2026 at 8:39pm

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Top oil industry executives stated on Tuesday that crude oil prices need to rise and sustain at $70 per barrel in order for the U.S. to grow its oil production. Occidental CEO Vicki Hollub and Pioneer Natural Resources founder Scott Sheffield both cautioned that output would decline if prices fell below $60-$65 per barrel, with Sheffield noting $50 per barrel as the level where Permian Basin investments would start getting cut.

Why it matters

The comments from these prominent oil leaders highlight the industry's need for higher oil prices to spur new investment and drilling activity, which has implications for U.S. energy security, global oil supply, and consumer fuel prices.

The details

Hollub said U.S. oil production can be maintained at current levels in the $60-$65 price range, but $70 oil is required to drive production growth. Sheffield echoed this, warning that Permian Basin output would drop off if crude fell to around $50 per barrel. Both executives cited the need for higher prices to justify increased investment and drilling in U.S. shale plays.

  • The comments were made on Tuesday, February 24, 2026 at an Energy Aspects conference in Washington, D.C.

The players

Vicki Hollub

CEO of U.S. oil producer Occidental.

Scott Sheffield

Founder of Pioneer Natural Resources, which was acquired by Exxon Mobil in 2024.

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What they’re saying

“We are going to need $70 oil to continue to grow.”

— Vicki Hollub, CEO (Energy Aspects conference)

“$70 is the sweet spot.”

— Scott Sheffield, Founder (Energy Aspects conference)

The takeaway

The oil industry's need for higher crude prices to drive new production highlights the ongoing tensions between energy security, environmental concerns, and consumer costs - issues that policymakers and the public will continue to grapple with in the years ahead.