Energy Minister Chris Wright said on Thursday that the oil market prohibits the president Donald TrumpPay to produce more crude and gas in the United States.
“We have seen a market that reaps the fact that it is clear that it would be easier to produce oil and gas in the United States,” Wright told CNBC's.Squawk box“More supply will come, and this is what prompted oil, gasoline and home heating fuel, everything in all fields, this is the victory for the American people. “
Futures of crude oil in the United States has decreased by almost 14 % since Trump took office on January 20. Trump made energy a major part of his agenda with a focus on increasing oil and gas production. The administration has I promised to increase rental contracts on federal lands Water and speeding up the permit.
Trump's tariff and OPEC policy weighing the oil market in recent weeks because some feared that fees will lead to high prices and slow economic growth. West Texas was moderate on March 5, the lowest level of the day at $ 65.22, the lowest level since the spring of 2022, after Trump imposed a 25 % tariff on Canada and Mexico. The president later Exempt goods It is compatible with the trade agreement that rules North America until April 2.
Chevron CEO Mike Worth and Conocophillips CEO Ryan Lance at Houston Energy Conference said last week that they expect American oil production to the plateau In the coming years, after reaching new records under the administration of Biden. Worth said that Chevron is more focused on capitalist discipline than production growth.
“It has not been proven to be the growth of growth for growth that it is especially successful in our industry,” said Worth at Ceraweek by S& P Global Conference. “At some point, you have grown enough so that you should start moving towards a plateau, and you must generate more free cash flow, instead of more barrels.”
Opec+ also plans to start increasing production in April, which gradually restores 2.2 million barrels per day to a market that faces increased supply.
Trump, Rhett and Minister of Interior Doug Burgum He met with oil and gas executives Wednesday at the White House. Wright said that the first administration's message was that it intended to work closely with the industry. Wright said they no longer had a “crimson message on their forehead.”
United States crude oil prices It has increased modestly in recent days with Trump's launch Air raids on the Houthis In Yemen and pledged Iran's responsibility for any future attacks by the armed group. West Texas was trading at $ 67.11 a barrel Thursday morning.
Iran is a member of OPEC and any escalation of tensions with the country raises fears of display disturbances. Trump aims to push Iranian oil exports to scratch in an attempt to push the Islamic Republic to negotiate a nuclear deal.
