Daily Caller
Shale Execs Complain Of ‘Broken’ Prospects In New Survey
From the Daily Caller News Foundation
In his remarks at this week’s U.N. Climate Week conference, President Donald Trump reminded the U.N. general assembly that “we have an expression, ‘drill, baby, drill.’ You know, that’s what we’re doing.”
But according to almost 80% of the dozens of shale oil executives who responded to the third quarter survey of oil and gas companies by the Dallas branch of the Federal Reserve, that’s all about to come to an end thanks in large part to the President’s focus on cutting oil prices as a means of controlling inflation.
“The uncertainty from the administration’s policies has put a damper on all investment in the oilpatch,” one executive said. Another warns that “drilling is going to disappear.”
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One upstream company executive was especially angry at the administration, writing that the business “has been gutted by political hostility and economic ignorance. The previous administration vilified the industry, buried it in regulation and cheered the flight of capital under the environmental, social and governance banner…Now the current administration is finishing the job.”
The confidential format of the Dallas Fed’s quarterly surveys encourages the executives to speak bluntly in their responses, and the airing of such grievances is often the result. Most would no doubt temper their language in a meeting with the President or his senior officials, and other respondents did just that, noting that their industry and companies have been buffeted this year by an array of factors, both domestically and internationally.
“There are a variety of issues affecting our business,” one respondent points out. “First, excess in the global oil market is restraining oil prices near term. Second, there is continued uncertainty from OPEC+ unwinding production cuts. Third, trade and tariff changes and the resulting geopolitical tensions.”
He or she isn’t wrong. While shale drillers and producers have no doubt been frustrated by the constantly shifting tariff situation as the White House works out trade deals with dozens of countries, there are other major market factors well beyond any U.S. president’s control. The uncertainty around tariffs has without question increased industry costs, especially as they relate to tubular goods and other steel and aluminum products that are integral to their operations. But at the same time, there can be little doubt that the monthly machinations of the OPEC+ cartel have created a much larger impact on driving down the price of crude oil and thus, driving down company profits.
As for the geopolitical tensions the responder mentions above, Joe Biden’s four years in office were chock-full of such issues, many of which were left behind for Mr. Trump to deal with and resolve. The simple truth is that there has never been a time during its 166-year history that the U.S. oil and gas industry didn’t have to deal with such complications.
The oil business is an infamously cyclical one, as anyone who has been in it for more than a year understands. I spent more than 40 years in the industry and would need to use fingers on more than one hand to total up the number of boom-and-bust cycles that took place during that span.
The fact is that drilling levels in the United States have been on a steady decline since late 2018 in response to prevailing market factors far more than to the policies of the Biden or Trump administrations. As I pointed out shortly after last November’s election, the maturity of every major shale play meant that there would be no revival of “drill, baby, drill” in a second Trump presidency regardless of the administration’s policy direction. It just was never going to be in the cards.
The grievances and frustrations aired by these executives are entirely understandable: It’s a tough business that is impacted for better or worse by public policies. But pointing the finger of blame at Trump is a simplistic reaction to a highly complex set of circumstances.
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.
Daily Caller
Laura Ingraham’s Viral Clash With Trump Prompts Her To Tell Real Reasons China Sends Students To US
From the Daily Caller News Foundation
On Monday, Ingraham pressed Trump on why a plan to admit 600,000 Chinese nationals into U.S. universities qualifies as a “pro-MAGA” move, challenging him directly after he defended the influx as vital to maintaining Washington’s relationship with Beijing. During a Wednesday broadcast, Ingraham said no modern president has fought harder for American workers than Trump and predicted he will “honor that distinction for the next three years.”
“There was also more consternation over the approach to allowing Chinese and other foreign students to take spots at U.S. universities. A lot of MAGA folks didn’t like that at all. And it’s not, by the way, as some Chinese influencers today said on X, I love this, it’s not that the MAGA folks, certainly not myself, dislike the Chinese people. It’s ridiculous,” Ingraham said.
“What they dislike is the Chinese system that represses Chinese people and uses them as human spies and saboteurs. Remember, when the CCP greenlights hundreds of thousands of their people to come study here, they’re not sending them so they can learn about the wonders of Western civilization, Plato and Socrates, Greek history, become champions of individual freedom and take that message back home. They’re sent here to do whatever is necessary to learn how to push the People’s Republic closer to crushing America, to stealing from us, and for spying on us,” Ingraham added.
Ingraham said that people “understandably perplexed by some of the president’s comments, we cannot forget, what American president has ever been tougher on China than Donald Trump? None.”
Ingraham told viewers that Beijing does not send its students to America to study the Western canon or return home as advocates of individual liberty.
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Ingraham warned that China’s rise didn’t happen overnight, saying that decades of inattentive presidents allowed Beijing to gain the strength Trump now must confront.
“Given China’s growing strength that’s been amassed over decades of presidents who were out to lunch, President Trump inherited the most challenging situation,” Ingraham said. “I don’t think it’s an exaggeration to say this, that any president has faced in the last 50 years. He and his entire team are dedicated to countering the Chinese aggression that’s building.”
Washington and Beijing struck a deal in June clearing the way for Chinese nationals to enroll in American universities, a shift that followed the administration’s June 5 move blocking Harvard from bringing in additional international students. Officials justified the restriction by pointing to security vulnerabilities and rising campus turmoil, including allegations of antisemitic activity, as reasons to tighten the flow of foreign applicants.
Trump acknowledged at the time that admitting large numbers of students from a country controlled by the Chinese Communist Party carries real intelligence concerns, saying in June that the government “must be vigilant” about who enters U.S. classrooms. National security experts told the Daily Caller News Foundation that the policy could create openings for the CCP to exploit America’s higher-education system and potentially endanger U.S. interests.
From the Daily Caller News Foundation
Baton-wielding protesters stormed the COP30 summit in Belem, Brazil, on Tuesday, with video showing some dressed in indigenous outfits, according to multiple reports.
The COP30 summit is the 30th annual meeting of parties to the United Nations’ Framework Convention on Climate Change (UNFCC), an agreement to reach “net-zero” carbon emissions by 2050, according to the conference’s website. Video posted on X and aired by the BBC showed the protesters kicking doors and forcing their way into the building.
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Two security guards were injured in the fracas, with one being taken out in a wheelchair while holding his stomach, Sky News reported.
Past COP summits have seen speakers propose taxes on the meat and dairy industry and “climate finance” initiatives for less-developed countries. The Biden administration signed on to a pledge to start “transitioning away from fossil fuels” at the United Nations COP28 climate summit on Dec. 13, 2023.
Democratic Gov. Gavin Newsom of California attended the summit, where he labeled President Donald Trump “an invasive species” and “a wrecking-ball president” who was “doubling down on stupid.” Newsom also announced an agreement between California and Nigeria, which was declared a “country of particular concern” due to persecution of Christians.
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