Last checked at 
* Global energy conference kicks off Monday in Houston
* Exxon, Chevron among majors presenting at CERAWeek
* OPEC ministers expected to meet again with shale execs
By David Gaffen and Jennifer Hiller
March 10 (Reuters) - The oil industry converges this week onHouston at CERAWeek, the largest gathering of top energyexecutives in the Americas, with oil majors showing a biggerpresence as the United States has taken the crown as the largestcrude producer in the world.
After a year that saw international crude oil prices surgeto more than $87 a barrel in the fall then tumble, the markethas been calmer of late, even with production limitationsimposed by a combination of OPEC's output cuts and large-scalesanctions placed on Iran and Venezuela by the United States.
U.S. crude output has rocketed to more than 12 millionbarrels a day, surpassing former leaders Russia and SaudiArabia, but that success comes as independent U.S. shalecompanies are reducing drilling under pressure from investorsdemanding improved returns.
Even with prices at relatively stable levels, U.S. sanctionson Iran and Venezuela could disrupt the current calm. It remainsunclear whether the United States will continue to offer someIranian oil buyers purchase waivers, and whether Venezuela'sPresident Nicolas Maduro will face additional sanctions.
Both U.S. Secretary of State Mike Pompeo and EnergySecretary Rick Perry will speak at the conference.
The larger presence of the majors, including U.S. companiesExxon Mobil and Chevron, comes as those firmsare shifting investments to shale in west Texas and New Mexico,and connecting those oil fields to their coastal refineries andchemical plants.
"It's a little bit different than what's been seenhistorically," said Staale Gjervik, president of Exxon's shalebusiness. Its shale deliberations now including asking, "Whatdoes that mean for the folks downstream and on the Gulf Coastand vice versa?" Gjervik said.
Shale wells are cheaper to drill and faster to startproduction, offsetting the majors' past focus on giant fieldswhose payoff can be decades into the future.
In addition to bringing new wells into production, RoyalDutch Shell PLC is building an inventory of shale wellsit can tap on a flexible schedule, said Amir Gerges, head ofShell's Permian operations. "If we find surplus cash at the endof the year, or if oil prices respond quickly in a certain year,we can easily reinvest that for near term cash flow," Gergessaid.
Shale has sent U.S. exports ballooning to more than 3million barrels of crude a day, upending global supply.
"It reflects the rebalancing that has gone on in world oil,"said Daniel Yergin, vice chairman of organizer IHS Markit. "Thisis the first CERAWeek ever where the world's largest producer isthe country where we are holding the conference, which is theUnited States."
Chevron CEO Michael Wirth is scheduled to speak, along withseveral Exxon executives and BP Plc Chief Executive Bob Dudley.
Saudi Arabia is notable for its diminished presence thisyear. Saudi Aramco, the state-run oil company, is holding itsannual board meeting this week, and Saudi officials noted theywere prominently featured at London's recent InternationalPetroleum Week conference.
However, CERAWeek also follow a period where the Kingdom hasfaced more U.S. pressure to keep oil prices low, threats ofantitrust legislation currently moving through Congress, andanger at the killing of journalist Jamal Khashoggi last year.
Saudi Arabia is the leading producer among the Organizationof the Petroleum Exporting Countries, whose Secretary General,Mohammad Barkindo, is attending the conference, along withrepresentatives from the United Arab Emirates. In recent yearsOPEC representatives have held meetings with executives fromU.S. shale companies, in an effort to better understand shaleand as the rhetoric from state-run producers has shifted fromits adversarial approach in the past.
However, shale execs in the past have shied away frompublicity surrounding such get-togethers, including a dinner atone of Houston's fanciest restaurants last year. Those execs arewary of being viewed in collaboration with OPEC, and this year'sconference features fewer presentations from shale companies aswell. OPEC officials have said they do plan on meeting withshale executives at this year's conference.
Both U.S. industry groups and OPEC nations oppose the'NOPEC' legislation, which has passed a House committee and wasintroduced in the Senate, seeing it as a threat to productionthat could cause prices to rise.
"I don't think they can work together," Yergin said. "Butwithout some stabilizing mechanisms in the oil market you'd havea lot more volatility, and if you had a lot more volatilityyou'd have a lot less investment."
(Reporting By Jennifer Hiller in Houston, Ron Bousso in London,Rania El Gamal in Dubai and David Gaffen in New York; Editing byDiane Craft)
