Focusing on giving back to shareholders, American shale oil companies once again revealed that they would not increase production during the election.

On Tuesday, the monthly report released by the U.S. Energy Agency (EIA) showsUs crude oil production in 2023 is expected to be 12.31 million barrels per day, the fifth consecutive downward revision. EIA had previously predicted that crude oil production next year would exceed the record 12.315 million barrels per day in 2019.

The report shows that the growth rate of US shale oil is slowing even though oil prices are hovering around $90 a barrel. If this trend continues, the global market will not be able to obtain enough crude oil to make up for the supply disruptions caused by OPEC production cuts and the conflict between Russia and Ukraine.

The shale oil boom in the United States created an era of relatively low energy costs and made the United States the largest oil and gas producer.

However, the rebound in US shale oil production has been lacklustre after the impact of the COVID-19 epidemic. Tuesday's EIA report showsUs shale oil production now averages 11.83 million b / d, the first increase since June, but is still 10 per cent lower than it was in February 2020.

Shale oil producers say rising costs are one reason for the slow growth. The prices of oil field equipment such as pipelines, steel casings and fracturing sand have risen sharply, putting pressure on producers.

The number of rigs drilling for crude oil in the United States has risen at a slower rate since July, while stocks of previously drilled but uncompleted wells have now been largely used up.

Ryan Lance, chief executive of US oil producer ConocoPhillips, said on his third-quarter earnings call that the current limited supply of labor and equipment "determines the pace of the industry."

On the other hand, shale oil companies have been developing rapidly for a decade.Now their commitment to profits to shareholders has exceeded production, limiting their ability to increase production at all costs.

CEO Ezra Yacob, an EOG resources company, said last week:

Most of these companies are drilling and investing in a more principled way than before the outbreak.

This "more principled" model is naturally good for shareholders, as US oil and gas stocks are at record highs.Companies have spent billions of dollars on share buybacks and dividends to reward shareholders.

Of course, it also heightens tensions between energy businessmen and the White House. Us President Joe Biden has repeatedly called on energy companies to use record profits to increase supply and last week "threatened" to tax exorbitant profits, but they remained unmoved.