Analysis by Energy Workforce President Tim Tarpley
Secretary Burgum and Secretary Wright came to Houston last week to talk energy policy at the annual CERA week event in Houston. Secretary Burgum thanked the Oil and Gas Industry for all that they do and made it clear that, under his leadership, he would consider the companies developing resources on federal lands as “customers” and that royalties from production would go towards helping pay down the national debt. Burgum feels that the availability of natural resources in the United States far outweighs the $36 trillion in debt that the country holds if it is used properly.
Secretary Wright echoed many of those same positions, saying, “There is simply no physical way that wind, solar and batteries could replace the myriad of uses of natural gas. I haven’t even mentioned oil or coal yet.” Many of the major oil and gas-producing CEOs were present and welcomed the comments from both Wright and Burgum.
Meanwhile, yesterday, President Trump met with top oil and gas leaders at the first meeting since his inauguration and the creation of the new National Energy Dominance Council. Leading oil and gas executives met with the President. They discussed several topics important to the industry, including the impact tariffs and trade disruptions are having on the industry as a whole.
The group met and talked at length about the price necessary to fully unlock much of the production capacity in the United States. The industry has been hesitant to support overproduction, which could drive prices lower, and reiterated that oil needs to be at around $80 to unlock the potential of US reserves fully. Participants also expressed concerns about the President’s tariff policy and what it could do to demand and raise production costs.
Tim Tarpley, Energy Workforce President, analyzes federal policy for the Energy Workforce & Technology Council. Click here to subscribe to the Energy Workforce newsletter, which highlights sector-specific issues, best practices, activities and more.
