Previously a valuable land rich land resource, abandoned and unappreciated, the Permian Oil Basin in Texas and New Mexico is now alive and producing six million barrels at $57 dollars a day. Currently, oil production at the Permian basin is 40 percent. Oil executives plan to increase production to 70 percent by 2040.
President of Consumer Energy Alliance, David Holt, credits the Trump administration, “They put energy and US American energy policy- front and center- by declaring an energy emergency. Governments can lead in part by getting out of the way and letting business ingenuity take a leadership role.” Holt said.
He says it will have a great ripple effect across the economy that will not only lower prices at the pump for Americans but will raise the global demand for natural gas used in everyday household products across the world. The president recently announced an agreement with China brokering a deal for natural gas they will need to produce data centers in the future.
“The price of everything goes down, everything in your car, carpeting and paint, in your smart phone, including the packaging that we use for food at the grocery store. Everything that we use daily requires oil or natural gas.” He said.
America’s energy independence not only lowers prices for Americans at the gas pump, but it also protects America from global conflict. As history has shown, this allows foreign countries to use oil and gas energy as leverage to negatively impact and disrupt another country’s economy. This will increase demand and increase job growth and have a positive domino effect.
“The more we can produce energy at home and take advantage of our robust and almost limitless resources, the better it is for us here at home and frankly, the better it is for the world.” Holt said.