DENVER, (Reuters) – Scott Sheffield, chief executive of the U.S. Public Shale firm Pioneer Natural Resources (NYSE:) Co. Thursday’s statement stated that private oil-and gas companies must be “reined into” to prevent excessive methane flaring.

Sheffield claimed in an earnings call, that permian basin methane burning, America’s largest shale area, has declined to below 200 million cubic yards per day. This is a drop from the peak of over 750 million cubic inches per day in the past two year.

Pioneer and other, predominantly publics, have helped to reduce flaring to below 1%. He said that while private operators vent more than 1%, they will eventually be able to bring it down to 0.2%.

He stated that regulation is needed to control the private sector, including the EPA (Environmental Protection Agency), the state, investors and bond investors.

These comments are made at a time when U.S. oil drilling companies have been increasingly focused upon reducing greenhouse gas emission, under pressure from investors, environmentalists, and other stakeholders.

Pioneer claimed it would maintain an oil production growth rate of 5% for the long-term. However, private competitors are increasing at between 15%- 25% which he stated was too high.

Sheffield was bullish about oil prices. These have influenced the company’s decision not to add oil hedges. According to him, oil prices could rise up to $150 per barrel.

The company paid $2.6 billion to settlements of derivative contracts in 2021.