Dallas Federal Reserve Bank Quarterly survey Of the over 130 oil and gas producers based in Texas, Louisiana and Nowy Mexico, conducted in June, suggests that the perspectives of the industry are cynical. Almost half of 38 companies that answered this question Drilling less wells This year than they expected before.
Survey participants can also send comments. One executive director from the explore and production company (E & P) said: “It is hard to imagine how much worse rules and DC rhetoric could be for E&P.” Another director said: “The Liberation Day Chaos and tariff antics harmed the country of the energy industry. “Drill, darling, drill” will not occur with this level of variability. “
About one in three respondents of the survey summed up expectations less than in the case of higher steel import tariffs. And three out of four tariffs raised the costs of drilling and completing novel wells.
“They get more drilling places and receive lower roofs, but also receive those tariffs they don’t want,” said Rapier. “The most important are their profits.”
EXXONMOBIL at the beginning of this month estimated That his profit in quarter and June will be about $ 1.5 billion lower than in the last three months due to weaker oil and gas prices. And in Europe, BishopIN ShellAND Total They issued similar warnings to investors about the hits of their profits.
These warnings appear even when Trump installed friendly faces Regulation of the oil and gas sector, including in the Energy Department, Environmental Protection Agency and the Interior Department, of which the latter manages federal lands and prepares for the auction more oil and gas lease in these lands.
“There is a lot of enthusiasm for the window of the possibility of making investments. But there is also a lot of caution that you want to make sure that in the case of regulatory reforms they will stick,” said Kevin Book, research director at ClearView Energy Partners, which provides analysis for energy companies and investors.
One Huge Pretty Bill Act recently adopted provisions Requirement every year four sales of lease on land and two offshore, reducing the minimum license rate to 12.5 percent from 16.67 percent and restore speculative leasing – when it lands that they do not invite enough offers, they are rented for less money – this was stopped in 2022.
“Proenergetic policy plays a key role in strengthening domestic production,” said the spokesman of the American Petroleum Institute, the best American group of oil and gas industry. “New tax legislation unlocks the possibilities of safe, responsible development in critical pools of resources to provide inexpensive, reliable fuels on which Americans rely.”
Because about half of the federal royalties end in the United States and towns where drilling occurs, “budgets in these oil and gas communities will be strongly affected,” said Rowland-Shea of American Progress. Meanwhile, as she said, drilling in public lands can pollute air, raise the noise level, cause leaks or leaks and limit movement for both people and wild nature.