(Bloomberg) -- Diamondback Energy Inc., the largest independent oil and gas producer in the Permian Basin, warned that the US shale industry may be growing to its own detriment again.

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The company is planning to hold its own output growth to 2% next year and said it can be flexible with spending if the oil market is oversupplied in 2025. The problem, though, is how other companies are viewing their ability to grow based on calculations such as lower break-even costs.

“That spreadsheet math is what’s gotten this industry in trouble in the past and feels like we’re getting ourselves in trouble again,” Chief Financial Officer Kaes Van’t Hof told analysts and investors Tuesday on a conference call. “Free cash flow trumps capex at Diamondback these days.”

After last year’s surprising surge in shale production growth, the global oil market is watching US explorers closely for any signs they’re opening the taps again. Rising shale supplies have put OPEC on the defensive, with the cartel and its allies agreeing to delay a December production increase as prices struggle.

During recent third-quarter earnings calls, Matador Resources Co. and ConocoPhillips were among US producers that raised their production guidance for this year. Diamondback also boosted its outlook after closing its deal for Endeavor Energy Resources LP.

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