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.