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Diamondback Adds Permian Rigs, Raises Guidance as WTI Holds $99.89 Rally

Diamondback Energy announced immediate addition of 2-3 Permian rigs and five frack crews, raising 2026 CapEx to $3.9B, oil output to 520k+ bpd, and total production to 972k+ boe/d amid a holding oil rally near $99.89/bbl despite a 1.4% monthly dip. This follows the firm's Q1 earnings beat on May 4, reporting adjusted EPS of $4.23 versus $3.30 expected, $72.53/bbl realized prices, and 979k boepd output after 87% YTD crude surge from Iran tensions. Expectations for up to 30 more rigs and rising U.S. rig counts to 547 total signal accelerating supply response.

Category

UK Brent Oil

Sentiment

Bullish

Event

Price movement

Reading time

1 min