Energy
Texas oil and natural gas industry continues to break records
From The Center Square
By
Texas’ oil and natural gas industry broke new production records in May, continuing a trend in recent months and years.
Texas’ production of oil, natural gas, and natural gas liquids (NGLs), refinery activity and exports reached new record highs last month, according to a new analysis published by the Texas Oil & Gas Association (TXOGA).
The industry produced a record-high 5.7 million barrels per day (mb/d) of crude oil in Texas, a record 32.5 billion cubic feet per day (bcf/d) of natural gas marketed production and 3.5 mb/d of NGLs, according to estimates made by TXOGA’s Chief Economist Dean Foreman, Ph.D.
This is after the Texas oil and natural gas industry established new monthly records in March, according to U.S. Energy Information Administration (EIA) and U.S. International Trade Commission data. In March, Texas reported a record-high NGL field production of 3.7 million mb/d – the highest on record in history – more than doubling in-state consumption, according to the data.
Crude oil production topped 5.6 mb/d; natural gas marketed production topped 32.3 bcf/d. Texas refinery activities also reach a record-high net production of 5.5 mb/d.
Texas’ production of oil and natural gas is unparalleled. No other state is producing the volume that Texas is.
This is after Texas’ petroleum products exports exceeded 4 million barrels per day for the first time in history last December.
Since then, the Texas oil and natural gas industry has sustained five consecutive months of exporting petroleum products of more than 4 million barrels per day. In the first quarter of 2024, Texas exported nearly $57 billion worth of petroleum products.
The majority of LNG exports went to European and Asia Pacific countries; the majority of crude oil and hydrocarbon gas liquids were exported to Asia Pacific countries, according to the data.
Foreman said that Texas’ record-setting performance has continued “on the heels of remarkable productivity gains,” with rig productivity in May increasing by more than 20% year-over-year, according to EIA estimates. “As a result, Texas has continued to gain market share amid U.S. oil and natural gas production through the first half of 2024. U.S. energy security increasingly depends on Texas, and Texas has stepped up like none other.”
Projections for June show Texas’ production remains historically strong, holding at 5.7 mb/d of crude oil, 3.6 mb/d of NGLs, and 32.4 bcf/d of natural gas marketed production, according to Foreman’s estimates.
In the first half of 2024, Texas produced an estimated nearly 43% of all domestically produced crude oil and more than 28% of all domestic natural gas marketed production, according to TXOGA estimates.
Thermal and dispatchable sources of energy, primarily natural gas, are generating the majority of electricity Texans use through Texas’ grid managed by the Electric Reliability Council of Texas (ERCOT). During Winter Storm Heather, from Jan. 13-16, thermal and dispatchable sources generated as much as 95% of ERCOT’s electricity.
During another high demand period, from March 21-22, thermal and dispatchable sources, primarily natural gas, generated over 90% of ERCOT’s electricity for nine consecutive hours, averaging 91.8% of the region’s power, according to ERCOT and EIA data.
“These new records are a testament to Texas’ role as a national and global energy leader,” TXOGA President Todd Staples said. “Amidst growing global instability and energy demand that is expected to nearly double by 2050, oil and natural gas continue to serve as the bedrock of our energy mix, providing affordable reliable energy to meet our state, nation, and the world’s needs.”
Business
Oil may be exempt from Trump Tariffs as Trump says oil “has nothing to do with it”
From LifeSiteNews
Trump to impose 25% tariffs on Canada, Mexico this Saturday
U.S. President Donald Trump has confirmed that he will implement 25% tariffs on all imports from Canada and Mexico this Saturday.
During a January 30 interview, Trump announced that, beginning February 1, he will impose 25% tariffs on all imports from Canada and Mexico while Canada’s Parliament remains suspended thanks to an order by Prime Minister Justin Trudeau.
“Number one is the people that have poured into our country so horribly and so much,” Trump told media. “Number two are the drugs, fentanyl, and everything else that have come into the country; and, number three are the massive subsidies that we’re giving to Canada and to Mexico in the form of deficits.”
It’s unclear if Canada’s oil will be exempt from the tariff as Trump told reporters that oil “has nothing to do with it.”
Trump’s tariffs aim to force Canada and Mexico to take serious action against illegal drug smuggling and immigration which occurs at their borders.
Initially, the tariff was to take effect on his first day of office, January 20, but was postponed until February 1, leaving Canadians under two weeks to respond to his demands.
However, because Trudeau prorogued Parliament until March 24, little action has been taken by Canadian politicians to respond to Trump’s threats.
Trudeau, who is slated to resign once a new Liberal leader is selected, has told Canadians that Liberals are considering all options, including retaliatory tariffs.
“We will not hesitate to act,” Trudeau said at a meeting of the Council on Canada-U.S. Relations on January 17. “We will respond and, I will say it again, everything is on the table.”
Conservative Party leader Pierre Poilievre has demanded that Trudeau immediately reconvene Parliament on an “emergency” basis so Canada can deal with the looming tariffs.
“Canada is facing a critical challenge. On February 1st we are facing the risk of unjustified 25% tariffs by our largest trading partner that would have damaging consequences across our country,” wrote Poilievre in a news release Tuesday.
Meanwhile, polls have revealed that 77 percent of Canadians want an immediate election to deal with the tariff threat.
Ontario Premier Doug Ford has done just that, calling a snap election to take place on February 27. The election, according to Ford, allows him to secure a new “four-year” mandate from Ontario voters to respond to Trump’s tariffs.
News that the tariffs are to take effect also come after Trump has repeatedly suggested that he would like to annex Canada and make the country the “51st state” of America.
While Trump’s comments were initially passed over as a joke or trolling, Trump has persistently referred to Canada as the “51st state” and even threatened to use “economic force” to overtake Canada.
Trump claimed that there is a $200 billion trade deficit between Canada and the U.S. regarding spending on “subsidies” and the fact that the U.S. military is there to also “protect Canada.”
Just last week, Trump told the World Economic Forum (WEF), “We love Canada, but they might be better off as part of the United States.” He made the comments to suggest that Canada, as a way of avoiding the tariffs he is threatening, should just up and join the United States.
Trump’s repeated threats have drawn the ire of many Canadians, who boldly tell the president that Canada will remain its own country. Others have warned that the move to annex Canada would bring about the beginning of a one-world government.
Conservative Party of Canada leader Pierre Poilievre, who is likely to become prime minister in the next election, has had choice words for Trump. He has said Canada will “never” become a U.S. “state.”
“We are a great and independent country,” he continued. “We are the best friend to the U.S. We spent billions of dollars and hundreds of lives helping Americans retaliate against Al-Qaeda’s 9/11 attacks. We supply the U.S. with billions of dollars of high-quality and totally reliable energy well below market prices. We buy hundreds of billions of dollars of American goods.”
Daily Caller
Pipelines and Energy Top Priorities for Trump’s Interior Secretary
North Dakota Gov. Doug Burgum speaks to the Republican National Convention, July 17, 2024. (Screen Capture/CSPAN)
From the Daily Caller News Foundation
By Adam Pack
Senate Overwhelmingly Confirms Doug Burgum As Trump’s Interior Secretary
The Senate confirmed former North Dakota Gov. Doug Burgum in a bipartisan fashion to lead President Donald Trump’s Department of Interior Thursday evening.
Senators overwhelmingly approved Burgum’s nomination 79 to 18. Three senators did not vote. Under the prior administration, we went from a nation of energy dominance to a nation of energy dependence.
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America is an energy superpower. We should act like it. @DougBurgum and @ChrisAWright_ are America’s energy all-stars. I strongly support their nominations. pic.twitter.com/3o4xuan31r
— Sen. John Barrasso (@SenJohnBarrasso) January 30, 2025
Senate Republicans endorsed Burgum’s nomination, saying he was committed to reversing the work of his predecessor, former Interior Secretary Deb Haaland, to restrict energy resources. Haaland worked to block oil and gas leasing in development in Alaska.
“Governor Burgum knows that America’s natural resources are our greatest national asset,” Senate Majority Leader John Thune said Wednesday on the Senate floor prior to Burgum’s confirmation vote. “Too often, under the Biden administration, the Interior Department was the tip of the spear in restricting development of America’s resources.”
Burgum promised to prioritize energy abundance during his leadership over the Interior Department.
“The American people clearly placed their confidence in President Trump to achieve Energy Dominance,” Burgum wrote in his opening remarks to the Senate Energy and Natural Resources (ENR) Committee during his confirmation hearing on Jan 16. “Energy Dominance is the foundation of historic American prosperity, affordability for American families, and unrivaled national security.”
“President Trump’s Energy Dominance vision will end wars abroad and make life more affordable for every family by driving down inflation,” Burgum added. “President Trump will achieve these goals while championing clean air, clean water, and our beautiful land.”
Burgum won the support of a majority of Senate Democrats, including Democratic New Mexico Sen. Martin Heinrich who serves as the lead Democrat on the Senate ENR Committee.
“I clearly do not agree with Governor Burgum on every issue,” Heinrich wrote in a statement on Jan. 23. “However, I voted to confirm Governor Burgum’s nomination for Interior Secretary because I have found that a healthy relationship with the Secretary of Interior is critical to securing the best outcomes for the State of New Mexico.”
Trump has tasked Burgum with leading a newly-created interagency National Energy Council to cut regulations affecting the energy sector and harness private sector investment related to energy innovation. The president also appointed Burgum to a seat on the National Security Council, a rare appointment for an energy secretary.
Burgum served two terms as North Dakota’s governor beginning in December 2016. He launched a presidential run in June 2023, but struggled to gain traction and suspended his campaign that December. He endorsed Trump in January 2024 and served as a campaign surrogate throughout the remainder of the race.
Thune teed up confirmation votes Thursday evening on energy executive Chris Wright to lead the Department of Energy and former Republican Georgia Rep. Doug Collins to lead the Department of Veterans’ Affairs.
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