‘Drill, Baby, Drill’ Or $50 Oil — Trump Can’t Have Both

From the Daily Caller News Foundation

President Donald Trump has often made clear his goal of cutting prices for energy as part of his overall agenda to break the back of chronic inflation left behind by the Biden presidency. When talking about this goal, the president has placed special emphasis on lowering the price of crude oil, given its integral relationship to gas prices at the pump and transportation-related costs which go into the price of food, clothing and other consumer goods.

“A very big thing that I’m very happy with is oil is down,” Trump said in remarks in the Oval Office on Wednesday. “We’re getting that down. When energy comes down, prices are going to be coming down with it. So, in a very short period of time, we’ve done a very good job.”

White House advisor Peter Navarro has been quoted by The New York Times and other media outlets as saying that an average oil price of $50 per barrel would help tame inflation and set the stage for a return to a healthier economy. If that is indeed the goal, this week’s confluence of events, featuring a bigger-than-expected increase in oil production quotas from the OPEC+ oil cartel preceded less than 24 hours earlier by the president’s announced reciprocal tariffs on a wide array of countries went a long way to doing the trick.

Just prior to Trump’s tariff announcement Wednesday afternoon, the price for West Texas Intermediate crude stood at $70/bbl. Less than 48 hours later, the price had fallen below $61, a drop of about 15%. It was the largest 2-day decline in crude prices since 2021. How much of the price decrease is due to the tariffs as opposed to the OPEC+ agreement to pour another 137,000 barrels per day onto the international market is hard to know, but there is no doubt both actions had an impact.

As I’ve noted previously, this action to force lower prices for oil and natural gas lies directly at odds with the concurrent Trump “drill, baby, drill” objective which he sees as a key part of his American Energy Dominance agenda. The White House gave a nod to the oil refining segment in the Wednesday tariff announcement by exempting energy imports, another action at least in part aimed at lowering prices for gasoline and diesel fuel.

But that nod to the downstream segment does little for upstream companies who have seen supply chain muck-ups and Biden-era inflation raise break-even prices above Friday’s levels. The Q1 2025 Energy Survey Report published March 26 by the Dallas Federal Reserve estimates that drillers in the Permian Basin require a $61 oil price just to break even on drilling new shale wells. The needed breakeven price rises higher in other, less prolific basins. CNN quoted independent oil analyst Andy Lipow as saying that many upstream companies require prices closer to Monday’s $71/bbl level for new shale wells. It almost goes without saying that operators will have little incentive to “drill, baby, drill” if they stand to lose money doing it.

In an interview with Fox Business host Stu Varney on Tuesday, Energy Secretary Chris Wright, himself a former oil industry executive, said, “If your state has expensive energy, it’s because of choices made by politicians in those states to virtue signal somehow they’re on some global mission. They’re going to solve climate change by making your utility bills more expensive and your businesses want to relocate out of the states. That’s just nonsense.” He added that Trump was pursuing energy policies based on common sense, saying, “common sense will deliver more investment in our country and lower energy prices.”

No doubt, few executives in the industry would agree that a pursuit of $50 oil prices has anything to do with common sense for their companies. If prices should drop that far and linger there for any length of time, layoffs and idled drilling rigs will become the prevailing topic of the day in oil and gas.

So, while the White House might continue touting its “drill, baby, drill” slogan for the time being, we won’t hear it echoing through the barbecue and Tex-Mex joints in Midland, Texas, for the time being.

David Blackmon is an energy writer and consultant based in Texas. He spent 40 years in the oil and gas business, where he specialized in public policy and communications.

Related Topics:#DailyCaller #DavidBlackmon $50Oil DrillBabyDrill TrumpEnergyPolicy TrumpOilPrices TrumpTariffs USEconomy

Up Next

Tesla Vandals Keep Running Into The Same Problem … Cameras

Don't Miss

Germany launches first permanent foreign troop deployment since WW2

Todayville

Todayville is a digital media and technology company. We profile unique stories and events in our community. Register and promote your community event for free.

Follow Author

One dead, over 60 injured after Iranian missiles pierce Iron Dome

conflict / 2 days ago

Iran nuclear talks were ‘coordinated deception’ between US and Israel: report

Alberta / 2 days ago

Alberta Premier Danielle Smith Discusses Moving Energy Forward at the Global Energy Show in Calgary

Daily Caller

LA Anti-ICE Chaos, Clashes With Police Spreading Around America

Published on June 11, 2025

Todayville

From the Daily Caller News Foundation

By Hudson Crozier

The unrest that has consumed Los Angeles in recent days appears to be spreading elsewhere as numerous rioters outraged at immigration raids were arrested across the country on Tuesday night.

Los Angeles authorities began making “mass arrests” late Tuesday and issued a curfew following days of rioting sparked by Immigration and Customs Enforcement (ICE) arrests of illegal immigrants in the area. Businesses were seen in the process of boarding up their buildings in anticipation of possible looting, the Daily Caller News Foundation reported.

LOS ANGELES: Adidas is boarding up their store that already got looted. Shops next to it have workers cutting wood to finish up as we’re now about 40 minutes out from curfew @DailyCaller pic.twitter.com/Pshx5lixbZ

— Hailey Grace Gomez (@haileyggomez) June 11, 2025

Local media outlets reported that major U.S. cities saw their own versions of Los Angeles’ chaos Tuesday night, with alleged assaults of police officers, fires, rock-throwing and other acts of violence. Protests and resulting arrests had already started to spread beyond Los Angeles as of Monday night.

Seattle

At least two people were arrested after protesters tore down American flags at a federal building in Seattle and burned them on Tuesday night, according to multiple reports. Earlier that day, Department of Homeland Security (DHS) officers were seen on video shoving back Antifa-style militants and firing crowd control munitions after the activists tried to block entrances and exits to the building, which houses an immigration court.

New York City

Eighty-six people were arrested overnight starting on Tuesday evening as protesters marched to a Manhattan immigration court and other locations, local outlet ABC7 reported. Police said people threw bottles at protesters and debris and traffic cones onto the road. Charges included assault, resisting arrest, reckless endangerment and obstructing government administration.

One exchange caught on video showed a woman pleading with protesters to let her drive past them on the road so she could go to work.

Illegal migrants “are having their children taken and their parents,” a traffic-blocking activist told the driver.

Another video posted by Sky News showed a mob trying to force its way past a wall of officers while screaming.

🚨 SPOTTED near the LA Law Library

Photos from @haileyggomez pic.twitter.com/Wr02Zi9b6L

— Daily Caller (@DailyCaller) June 10, 2025

Denver

Protesters began gathering at the Colorado State Capitol building in Denver on Tuesday before moving off in a crowd to block traffic on two streets, Colorado Newsline reported. Police ended up in confrontations with rioters throughout the evening, arresting at least 17 on charges such as obstruction of streets, graffiti, assaulting a peace officer and unlawful throwing of projectiles, according to 9News. Police were reportedly seen throwing smoke bombs and pepper balls to disperse crowds.

Atlanta

Organizers of an anti-ICE rally in Atlanta on Tuesday night had agreed to disperse by 9 p.m., but some protesters remained and set off scuffles with police, a local Fox network reported. Rioters damaged three police squad cars by throwing rocks, police said, and threw fireworks at officers. Police used tear gas to disperse the agitators and arrested at least six.

Crime

LA Mayor Karen Bass Makes New Demands Of Trump At Monday Night Press Conference

Published on June 10, 2025

Todayville Content Team

From the Daily Caller News Foundation

By Mariane Angela

During a Monday night press briefing, Democratic Los Angeles Mayor Karen Bass told the Trump administration to stop the Immigration and Customs Enforcement (ICE) raids in Los Angeles.

President Donald Trump deployed the National Guard to Los Angeles on Saturday after riots erupted following an ICE raid at a Home Depot. During Monday’s press briefing, Bass called for an end to the raids conducted by the Trump administration, claiming that the power to deploy troops or request assistance should lie with state and local officials, not the federal government.

“I would say stop the raids. Stop the raids, period. I would say give the power back to our governor, and if we need the National Guard, we can do it in the normal circumstances, which is the request is made local, and the governor decides, or not to, grant that to our city,” Bass said when asked what she would say to the Trump administration.

Bass reiterated her earlier stance and questioned the need for an additional military presence, given the National Guard’s current role in securing federal buildings.

WATCH:

“We didn’t need the National Guard. Why on earth? What are they going to do? Do you know what the National Guard is doing now? They are guarding two buildings,” Bass said when asked to react to the deployment of Marines.

Bass then called the deployment an unjustified and overreaching action.

“They are guarding the federal building here in downtown, and they’re guarding the federal building in Westwood. That’s what they’re doing. So they need Marines on top of it? I don’t understand that. That’s why I feel like we are part of an experiment that we did not ask to be a part of,” Bass added.

Despite Bass claiming that the National Guard’s deployment was unnecessary, Fox News reporter Bill Melugin shared videos showing ICE agents in one of the vehicles being struck by rocks. Melugin also posted additional footage and photos of the aftermath, including an image of an ICE agent’s injury and a windshield damaged by a rioter’s rock.

Around 1,000 individuals wreaked havoc in Los Angeles Friday night, surrounding a federal building, attacking ICE agents, deflating tires and vandalizing government property, according to the Department of Homeland Security. The unrest caused significant damage and severe traffic disruptions, bringing several key city roads to a complete standstill.

On Saturday night, Trump authorized the deployment of the National Guard to assist local law enforcement and warned Democratic California Gov. Gavin Newsom that the federal government would intervene if local authorities failed to restore order.

In response, California filed a lawsuit against the Trump administration Monday, challenging the deployment of National Guard troops to Los Angeles to address the immigration riots. Attorney General Rob Bonta and Newsom said that federalizing 2,000 California National Guard members without Newsom’s consent exceeded the president’s authority.