US Senator Lisa Murkowski (R-AK) stressed the economic and national security benefits of ending the 1975 federal ban on exporting domestically produced crude oil at a hearing before the Senate Energy and Natural Resources Committee.
“It’s time to reexamine the decades-old ban on crude oil exports and modernize our energy policies,” Murkowski said. “Our nation’s energy landscape has changed dramatically in the last decade alone. Lifting the export ban and allowing oil to be traded freely will put downward pressure on prices and encourage additional production, which in turn will help create jobs, boost economic activity, and send a strong message to the world that we are ready to lead.”
Murkowski, chairman of the Senate Energy and Natural Resources Committee, questioned witnesses about public concerns that exports could negatively impact domestic gasoline prices. The response she got was overwhelmingly ‘no.’ [more]
Here's toast to good old American ingenuity — and a renewed call to end a bad old American energy policy.
In this we’re seconding what Harold Hamm, CEO of Continental Resources Inc., said last week during in his keynote speech to the Society of Petroleum Engineers conference in Oklahoma City.
Technological advancements — primarily horizontal drilling and hydraulic fracturing — have led the boom that has seen America become the world’s top producer of oil and natural gas.
Together, the Bakken field in North Dakota and the Permian and Eagle Ford fields in Texas — “Cowboy-istan,” Hamm called it — have accounted for half of the global production growth since 2008. Those three fields alone would be the world’s seventh-largest liquids producer, Hamm said.
“A lot of people thought this would spread around the world, but it’s not happening anywhere else to the extent it’s happening here,” he said.
The boom has produced hundreds of thousands of good-paying jobs in the United States. But some of those jobs, in Oklahoma and elsewhere, are now peeling away and companies are shutting down rigs as energy prices have tumbled, the result of production exceeding demand. [more]
Wall Street Journal
Six years after the Great Recession officially ended, most Americans can sense that the US economy is still operating below its full potential. Far too many Americans remain unemployed, underemployed or stuck in jobs with stagnant wages and narrow horizons.
Many are beginning to wonder: Is this the new normal?
We don’t believe it is. We believe that America’s best days are still ahead. But we also recognize that restoring the shared prosperity that comes from a strong economy requires reforming the most antiquated and dysfunctional government policies, beginning with the federal tax system.
The tax code’s failures are manifold—impeding growth, discouraging investment, and restricting freedom on the business and the individual side—but they are all rooted in the same fundamental unfairness and inequity of a government that picks winners and losers.
A tax code that works for, not against, American businesses, families and individuals must be built on the twin pillars of equal opportunity and fair treatment for all. [more]
Billionaire fracker Harold Hamm thinks it will be a matter of time before production and prices adjust to more appropriate levels.
Hamm believes that the Saudi reasoning for not cutting production was mostly to try and reduce the threat from soaring American production, but to also impact Russia.
He believes American production will start to decline within a couple of months and potentially decrease by 1.5 million barrels per day in 2016.
If that happens, the price of oil is going to look significantly different in the near future. [more]
President Obama on Tuesday vetoed legislation authorizing construction of the Keystone XL oil pipeline, rebuffing the new Republican-led Congress amid a furious battle over Homeland Security funding.
The veto — just the third of Obama’s presidency and his first of major legislation — was made in private and without fanfare, reflecting tensions in the Democratic Party over whether the controversial pipeline should be approved.
“Through this bill the United States Congress attempts to circumvent longstanding and proven processes for determining whether or not building and operating a cross-border pipeline serves the national interest,” Obama said in his veto statement. [more]