Trump’s policies create uncertainty for fossil fuel companies

“The lawyers will get a field day with this,” says Hathaway, who is now working as a director of lawyers for a good government, a non -profit legal institution devoted to the gradual call.

It is clear that these new rules are exclusively a gift for extractive industries such as drilling and mining. Solar and wind energy projects – which have attacked the administration again and again, Withdrawing rental contracts For marine winds and request a Construction In projects already ongoing – they are especially absent from the permissible project list to undergo accelerating time -schedules. But it is irony that these requests only contribute to an increasingly unconfirmed environment for fossil fuel producers within the framework of the new Trump administration.

Even before the chaos caused by Liberation Day, Big Oil faced a possible account for the president who helped him. While the rock oil boom in early 2010, the executives’ reward for increasing production, this strategy led to a lot of supply, which led to a decrease in prices for the barrel during the first Trump administration. After prices dropped through the epidemic, investors became more cautious about unrestricted production.

“It is not government regulations that limit the rate of production growth in the United States. It is Wall Street.”

The industry obtained a boost in early 2020 with the energy crisis around the world caused by Russia’s invasion of Ukraine, but investors have lied in prices. Although President Joe Biden’s climate focus, the American oil and gas industry become The largest product of crude oil in the world in 2023, and reached a Score It produced 13.4 million barrels per day in late last year. The challenge, according to the Trump administration, will become a profitable balance with the president’s goal of launching “energy dominance”. Trump stated, after all, that he wanted the oil to decrease to $ 50 a barrel – a very low price so that it could not be profitable for the industry.

Each quarter, the Federal Reserve in Dallas publishes Regional report In the case of the oil and gas industry in Texas, Louisiana and New Mexico, which includes anonymous survey responses from executives. The decorations towards the White House in these comments from the first poll of this year, published in late March, Edited analysts.

One of the unknown executives said: “The main word to describe 2025 so far is” uncertainty “and as a public company, our investors hate uncertainty.” This uncertainty is the result of conflicting messages coming from the new administration.

Another wrote: “” Drilling, the child, the pits “, no less than a myth and the populist crying.”

Trump continued to deliver doubtful gifts to the industry. Thursday, Interior Declare It has changed some policies on drilling abroad in the Gulf of Mexico, which, according to the agency, can increase production in the Gulf by up to 100,000 barrels per day. Meanwhile, the interior is also said to collect a list of fossil fuels deposits on public lands that are planning to open production.