American oil tycoon accused of trying to conspire with OPEC to inflate prices

Scott Sheffield, the founder and former CEO of Pioneer Natural Resources, has been accused by the Federal Trade Commission (FTC) of attempting to collude with OPEC to manipulate oil prices. Sheffield allegedly engaged in extensive communications with OPEC officials to align oil production in Texas' Permian Basin with OPEC's strategies, aiming to boost profits at the expense of U.S. consumers. Despite retiring in December 2023, his actions have led to restrictions on his involvement with ExxonMobil, which is acquiring Pioneer for $60 billion.

The FTC alleges that Sheffield's efforts to coordinate oil output reductions were anticompetitive, potentially leading to unfair pricing for American consumers. Despite defending his actions as misunderstood, Sheffield and Pioneer are not contesting the FTC's findings and will not prevent the merger with ExxonMobil. Exxon has assured that Sheffield will not join its board, emphasizing that its business practices are inconsistent with the allegations.