Pioneer Natural Resources Company (PXD)

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Pioneer Natural CEO sees Saudi Arabia moving to lift oil prices

Saudi Arabia likely will move to boost oil prices after the recent drop in order to prop its own national finances, Pioneer Natural Resources (PXD +0.3%) President and CEO Tim Dove tells the J.P. Morgan energy conference in New York.

Current oil prices are "not sustainable. It comes in the form of two words: Saudi Arabia. They cannot have a scenario, which is $43 or $44 oil, and sustain their national budgets," the CEO says.

Despite the supply glut, Dove says PXD will continue to drill new wells, "because this very well may be the time where the well costs are as low as they're ever going to be."

Dove also says PXD has hedged most of its 2017 oil production but has not been able to hedge more than roughly a third of is 2018 output since OPEC's meeting last month.