FANG · 10-Q · 2026Q3 · Full report

Commodity Price and Geopolitical Risk

Diamondback Energy, Inc. · 2026-11-04 · Importance 20 · Surprise 24

Diamondback says oil, natural gas and NGL prices are influenced by geopolitical conflicts, tariffs and trade barriers, economic activity, government policies, weather, and OPEC+ production. It reports that the ongoing Middle East conflict shifted the global crude market between supply-demand surpluses and deficits during 2026, contributing to greater benchmark oil-price volatility than in 2025. For the nine months ended September 30, 2026, average WTI prices were $83.91 per barrel versus $66.65 in 2025, while Henry Hub averaged $3.09 per MMBtu versus $3.48.

Key facts

• Diamondback warned that geopolitical and market conditions, including changes in oil, natural gas and natural gas liquids supply and demand, could affect commodity prices. source
• Diamondback identified significant declines in oil, natural gas, or natural gas liquids prices as a risk that could require recognition of significant impairment charges. source
• The ongoing Middle East conflict contributed to shifts between crude oil supply-demand surpluses and deficits in 2026, material reductions in crude oil and refined products from markets, and greater benchmark crude price volatility than the prior year. source
• WTI averaged $83.91 per Bbl for the nine months ended September 30, 2026, versus $66.65 per Bbl in 2025; Henry Hub averaged $3.09 per MMBtu versus $3.48 per MMBtu. source