President Trump Champions US Energy Dominance
$USO, $UNG, $SRE
Thursday, The Trump Administration said Thursday it is taking steps to expand Crude Oil drilling in the Arctic and Atlantic oceans as President Donald Trump continues to push for US “energy dominance” in the global market.
The Interior Department is rewriting a 5-year drilling plan established by The Obama Admin, with an eye toward opening areas in the Arctic and Atlantic oceans that now are off-limits to drilling. It’s one of 6 initiatives that the President unveiled Thursday in hopes of generating more energy exports and jobs.
“The Golden Era of American energy is now underway,” President Trump said in a Thursday speech at the Energy Department. “And I’ll go a step further: The Golden Era of America is now underway, believe me. And you are all going to be a part of it in creating this exciting new future.”
US Crude Oil production has boomed in recent years, and exports of Crude Oil and Nat Gas are surging, primarily because of improved drilling techniques such as fracking that have opened up production in previously out-of-reach areas.
President Trump pledged to ramp up production further, withdrawing from the Paris climate change agreement because of the limitations that it could have placed on the burning of fossil fuels.
While President Trump has promised that the initiative will create millions of jobs.
The US Labor Department said there are 655,300 jobs in mining Coal and extracting Crude Oil and Nat Gas, down from a peak of 1.18-M jobs in Y 1981.
As The Trump Administration celebrated “energy week,” and President Trump said more steps are needed to “unleash” domestic reserves and remove government regulations that could prevent the US from achieving global dominance in energy.
President Trump and other officials say they are confident the country can pave the path toward energy dominance by exporting Crude Oil, Nat Gas and Coal to markets around the world, and promoting nuclear energy and renewables such as wind and solar power.
The President said Thursday that his administration has also approved construction of a new Crude Oil pipeline to Mexico.
The State Department said it had issued a permit to NuStar Logistics for the construction and operation of the New Burgos Pipeline, which would have the capacity to deliver 108,000 BPD and would cross the US-Mexico border near Peñitas, Texas.
He said that Sempra Energy signed an agreement to negotiate the sale of Nat Gas to South Korea and that the Energy Department is approving 2 applications to export Nat Gas from a Louisiana terminal. The administration will also perform a complete review of nuclear energy policy and seek to address barriers to financing coal plants overseas, as well as opening up offshore drilling.
President Trump signed an executive order in April to expand Crude Oil drilling in the Arctic and Atlantic oceans, reversing restrictions imposed by President Barack Hussein Obama. President Trump has also pushed to revive US Coal production after years of decline. Coal mining rose by 19% in the 1st 5 months of the year as the price of Nat Gas edged up, according to Energy Department data.
A report released in January by the Energy Information Administration (EIA) said the country is on track to become a net energy exporter by Y 2026, although the White House said Tuesday that net exports could top imports as soon as Y 2020.
Interior Secretary Ryan Zinke said increased offshore drilling could provide more than enough revenue to offset an $11.5-B maintenance backlog in our National Parks.
“There’s a consequence when you put 94 percent of our offshore off limits,” Secretary Zinke said in a speech this week. “There’s a consequence of not harvesting trees. There is a consequence of not using some of our public lands for creation of wealth and jobs.”
Have a terrific weekend.