We recently published a list of the 12 Best Oil and Gas Dividend Stocks According to Billionaires. In this article, we are going to take a look at where Duke Energy Corporation (NYSE:DUK) stands against other best oil and gas dividend stocks to invest in according to billionaires.
The United States of America is now producing more oil than any country in history. The country’s oil and gas operators produced more than 13.49 million barrels per day (bpd) of crude in December 2024, an all-time high rate of production. Oil production in America has increased by almost 50% over the last decade, and the US Energy Information Administration (EIA) now expects American crude oil production to average 13.59 million bpd in 2025, up from its previous estimate of 13.55 million bpd. But at the same time, the country’s production is at risk of decline due to falling Brent prices, which are expected to average around $74 this year and then fall further to about $66 in 2026.
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Another major problem for the US oil and gas industry is that the country’s largest oil field is flagging and may be nearing peak output. The Permian Basin led the US shale revolution and was responsible for almost half of the country’s overall production in December. However, relentless drilling over the last two decades has exhausted the oilfield’s core, and shale executives now expect oil production growth from the Permian to slow by around 25% to 250,000 to 300,000 bpd this year.
Oil and gas executives are also irked by the tariff policies adopted by the Trump administration, as the constant uncertainty is now threatening their drilling plans. A recently published survey by the Federal Reserve Bank of Dallas has revealed that oil executives are discontent with President Trump’s administration, and nearly a third even said that their business outlook had worsened since the end of 2024. Moreover, the imposition of the 25% tariff on steel and aluminum has already led to an estimated 4% increase in costs for drilling a well.
However, despite all the aforementioned issues and declining margins, the country’s oil and gas companies remain committed to shareholders and have increased their returns to record levels. A report by Janus Henderson has revealed that operators in the energy sector distributed over $49 billion in dividends during the third quarter of 2024, up from $32.2 billion three years ago. However, to maintain such high levels of payout, the industry will need to shift focus to its second major source of revenue – natural gas.
