From Yahoo Finance: 2025-03-31 09:26:00

The US is now producing a record 13.49 million barrels of oil per day, but declining prices pose a risk. The Permian Basin, a major oil field, is nearing peak output. Tariff policies and uncertainty under the Trump administration are hindering drilling plans for the oil and gas industry.

Despite challenges, US oil and gas companies are increasing dividend payouts. Warren Buffett recently invested in an oil and gas giant, reflecting confidence in the sector’s dividend potential. Natural gas prices have surged over 114% in the past year due to high demand and fast-depleting inventories.

ConocoPhillips (NYSE:COP) ranks among the top oil and gas dividend stocks. The company had a strong Q4 in 2024, with increased production and revenue. COP generated $20.3 billion in cash from operations and returned $9.1 billion to shareholders, committing to high dividends and buybacks in 2025.

COP is the largest independent exploration and production company globally and aims to sustain dividend growth. The company’s quarterly dividend stands at $0.78 per share after a 34% increase. COP targets returns of $10 billion in 2025, including $6 billion in buybacks. Warren Buffett’s Berkshire Hathaway recently invested in COP, signaling confidence in its payout potential.

Read more: Is ConocoPhillips (COP) the Best Oil and Gas Dividend Stock According to Billionaires?