Posted on 02/02/2025 4:51:04 PM PST by Miami Rebel
Several U.S. oil and gas companies have warned that they will not be looking to increase production unless prices increase significantly. President Donald Trump stated he wanted to “Drill, Baby, Drill”, when it came to oil and gas. However, oil majors are concerned that increasing oil and gas output even further could create a glut and drive prices down, something they want to avoid. On his first day in office, President Trump declared an energy emergency, stating, “The integrity and expansion of our Nation’s energy infrastructure is an immediate and pressing priority for the protection of the United States’ national and economic security.” Trump signed executive orders on his first day in office, including one aiming to “unleash America’s affordable and reliable energy and natural resources”. This effectively ended the Biden administration’s pause on the approval of new LNG exports. It also commenced processes for easing regulations on oil and gas production. Trump also signed an order to lift restrictions on oil, gas, and mineral production in Alaska and announced plans to establish an inter-agency working group to determine and implement measures to expedite oil and gas development. Last year, U.S. oil and gas production rose to record highs. U.S. crude output increased by 260,000 bpd month-on-month, to a record 13.46 million bpd, in October, in line with demand growth, according to the U.S. Energy Information Administration (EIA). In 2024, drilling operations became more efficient, allowing for greater output. However, weaker-than-expected demand growth in several parts of the world contributed to lower oil prices. Many oil and gas companies have shown support for Trump’s executive orders including new exploration projects and production increases. However, several oil executives have said that these new policies will not lead to an immediate boost in output, stating concerns over oil prices.
(Excerpt) Read more at oilprice.com ...
No, but he can remove the regulatory roadblocks that prevent them doing it themselves, then the rest will come naturally.
DRILL, BABY, DRILL!
In 2023, the United States consumed about 7.39 billion barrels of petroleum, or about 20.25 million barrels per day.
Pedal your rabid Trump hating propaganda somewhere else. No one interested in hearing what new lie you manufactured to push today
In 2023, the United States consumed about 7.39 billion barrels of petroleum, or about 20.25 million barrels per day.
To me, that's all the justification we need to to seize Greenland.
Oh got it. You aren’t divested and are panicking that President Trumps moves will drive down your stock value.
“What about all the small independent companies that want in on the action?”
The small independents were the first to get vaporized in the 2015-2016 WTI sell-off. For exaample, LINN Energy (I owned some units, sadly,) Breitburn, SandRidge.
By the way, from 2015 through 2021, Texas alone saw bankruptcies totaling $117,362,830,541 in E&P (exploration and production) company debt.
The idea that ANY bank would loan a meaningful amount to a small indy in today’s environment is a zero probability.
They could sell more to other countries.
Source for your claim that President Trump plans to ask the Saudis to pump more?
Oh but that right, just your usual infantile trash talk because you still pouting DeSantis lost.
Like any rational investor, yes, I follow my holdings.
That said, the point I’m making is that looking beyond short-term volatility, I’m very sanguine about my investments. If you re-read what I wrote, you’ll see that far from panicking I am highly confident that political pronouncements will have minimal impact on industry fundamentals.
Know reserves we can pump for about 50 more years at projected rates of consumption
Shale oil reserves which are harder to drill about 110 years.
It is currently half full and being re-filled. 2.4 million barrels worth are slated to be bought in April and the same again in May
I suspect President Trump will increase the speed of re-filling
I am taking a guess here but I suspect they don’t fill it faster because large oil purchases would drive up oil prices
According to the EIA, the US matched and surpassed its 2019 record oil production levels in 2023, averaging 12.9 million barrels per day, which was higher than the 2019 record of 12.3 million barrels per day
In 2024 the US was averaging 13.2 million barrels per day.
For context:
In 2024, the United States consumed an average of about 20.45 million barrels of petroleum per day.
Sorry, but that’s not the most thoughtful comment ever posted.
It must be happening somewhere else besides East Texas. It has yet to recover here.
When are the prices of tires supposed to come down as well as other products made with petroleum? Methinks the greed is over the top with these folks among others. Have noticed throughout the years that when gasoline prices drop, for instance, prices on other items that utilize petroleum remain more or less the same. Many of these companies refuse to take the hit to their bottom line like the rest of US small timers.
I have of course done this many times.
The bible of oil is the annual World Statistical Report, published for 70 years by BP.
Reserves, production, consumption for each country of the world is presented.
US reserves currently quoted at 68.8 billion barrels.
Production is about 14 million bpd. 14mbpd X 365 is 5 billion barrels/year.
Note that 68.8 number grew sharply since shale got underway when interest rates went to 0% circa 2010. It was declining before then because more was simply not being found. The shale sources were known about, but 0% interest wasn’t available to make it affordable. In 2000 the number was 30 billion barrels. So yes, more will be found, but not as fast as production/consumption/export growth.
Anyway, no, it’s not 100+ yrs. And maybe someone told Trump quietly, just as Rosneft and Lukoil have briefed Putin about who runs out last.
Here is where to get global oil information if you really want accurate specific numbers on this.
https://www.energyinst.org/statistical-review — this is the BP outsource vehicle for publication. When you go here do not click the orange box. Go down a few lines of scroll and on the left is an orange Download the Data. It’s an enormous spreadsheet and it is comprehensive.
**“Empty Stategic Petroleum Reserve” When Biden did just that, it was rightly considered a naked political ploy. Why do it now? To punish US producers?**
Fill it up and give it to Cuba when they dump the Castroites. Give it away as needed. It will take awhile. We really don’t need the SPR anymore as we’re drilling.
**The idea that ANY bank would loan a meaningful amount to a small indy in today’s environment is a zero probability.**
Ya got me there but I don’t believe you.
I don’t believe in state-run industry and I don’t want my tax-paid oil reserves given away for political or geopolitical purposes
Exactly!
That cork soaker, Justin(e) Castreau (aka True-dolt), has done EVERYTHING to DESTROY Alberta’s economy, based on energy, calling it ‘dirty oil’. Suddenly, when the US threatened to put tariffs on this ‘dirty oil’, it became ‘Canadian energy’, to True-dolt! What a sleazy cork soaker!
True-dolt and his band of MFers, er, WEFers, cancelled ‘Energy East’, that would have moved ethical Alberta oil DIRECTLY to ON and QU, so they could STOP buying Venezuelan, and the Middle East. They then cancelled the Northern Gateway pipelines, one going East, one going West, that would send diluted Alberta bitumen to tidewater and the other bringing back NG condensate to AB. Cancelled by True-dolt.
IF they had been built, Canaduh could have sold bitumen to the world AT MARKET RATES. Instead, AB was forced to sell the heavy oil AT A MASSIVE DISCOUNT to THE US.
This whole Fustercluck can be laid SQUARELY at the feet of TRUE-DOLT! May he get EXACTLY what he deserves!
What I can see happening, is the NEXT WEFer, Mark Carbon-Tax Carney, becoming an UNELECTED Prime Minister. I can see him recalling Parliament, voting a money bill supported by his fellow WEFer, ‘Jughead’ Singh, then passing the additional censorship bill, the proroguing Parliament until October 2026. By then, we’ll be in, not just a recession but a full blown DEPRESSION!
With the censorship bill passed, ALL ‘non-approved’ media censored, leaving only the bought and paid for Canadian MSM hiding ANY ideas but the government’s, Carney will offer up UBI (universal basic income), all the while CONTINUING the yariff war that Canaduh CANNOT win.
Of course, that is assuming that Trump does not annex Canaduh as a ‘territory’, like Puerto Rico. It is also assuming that the ChiComs do not go to war over Panama’s decision not to renew their ‘Belt and Road’ contact, to operate several ports beside the Canal.
We live in interesting times!
Ok so Trump fills it up and the next rat POTUS empties it for political purposes. Your tax dollars paid off student loans for political purposes.
Two can play this game.
How empty is the Strategic Petroleum Reserve currently? Let’s fill it if/as prices fall.
What would 10 new nuclear power plants add to our grid capacity? Let’s begin building in expedited National energy emergency fashion. Let’s stop coal plant shutdowns and add natural gas electric plants.
Where could we improve pipeline access and coverage here? Must we depend on Canada to supply oil and natural gas etc to Wisconsin and Michigan? Could we supply them internally?
Could we not log our own trees and mill them into lumber rather than buy Canadian?
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