Energy Secretary Chris Wright said on Thursday that the oil market discounts the president Donald TrumpThe incentive to produce more raw and gas in the United States.
“We have seen the market reject the fact that it will be obviously easier to produce oil and gas in the United States,” Wright told CNBC “Box. “” There will be more supply, and this is pushed by oil prices, gasoline, the fuel for heating in the home, all across the street, it is a victory to the American people. “
The future of oil in the United States has fallen almost 14% since Trump took his duty on January 20th. Trump has made energy to the central part of his agenda with a focus to increase oil and gas production. The administration has Promised to increase lease in federal countries and water and speed up the permit process.
Tariff Trump and OPEC policies have been weighed on oil in recent weeks, because some are afraid that the imposition can lead to higher prices and slower economic growth. In the middle of the Western Texas, March 5, he hit a day of $ 65.22, which is the lowest since the spring of 2022, after Trump imposed 25% of tariffs in Canada and Mexico. President later excluded goods which are in line with a trade pound managing North America until April 2.
Shevron Mike Wirth Director and Conocophillips Executive Director Ryan Lance said at an energy conference in Houston last week to expect US oil production on a plateau In the coming years after he submitted new records under the management of Biden. Wirth said Chevron was more focused on capital discipline than on growing production.
“The haunting of growth for growth has not proven to be particularly successful for our industry,” Windh said in Ceraweek by S&P Global Conference. “You have grown enough at some point that you should move towards the plateau and you should generate more free cash flow, not just more barrels.”
The OPEC+ also plans to start increasing production in April, gradually returning 2.2 million barrels daily to the market that faces excessive supply.
Trump, Wright and the Doug Burgum interior secretary met with oil and gas managers Wednesday at the White House. Wright said the first message of the administration was to intend to work closely with the industry. They no longer have a “purple letter on the forehead,” Wright said.
US raw oil prices In recent days, they have been modestly increasing as Trump has launched Air attacks on Houthis In Yemen and promised that Iran would be responsible for all future attacks of militant groups. West Texas Intermediate traveled on Thursday morning at $ 67.11 per barrel.
Iran is a member of the OPEC, and any escalation of tension with the earth causes fear of supply disorders. Trump wants to stimulate Iranian export of oil to zero in an effort to encourage Islamic Republic to negotiate a nuclear agreement.
