Shutting-In May Not Be the Answer for All Oil Producers, Says Kate Richard

The video discusses the company's hedging strategy for 2020 and 2021, focusing on oil prices above $50 with minimal debt. It highlights the need for crude prices to fall to production costs and the volatility in spot prices. The company is curtailing production in Oklahoma and working with partners to delay completions. Operational challenges, such as geological factors and the type of crude produced, complicate shutting down production. The industry needs significant CapEx cuts, and shut-ins are used to manage inventory.

What is the significance of cash cost of production in the context of oil prices?

Discuss the implications of future CapEx cuts on production strategies.