4 Oil Trends To Watch When Trump Takes Office
Oil policies are likely to change when Donald Trump takes office next year, and while many Trump policies remain unclear, below are several areas in which his views differ from existing policy, according to Bloomberg. (This'll be a hot topic at Bisnow's Impact of Oil & Gas on CRE event in Houston Dec. 15; don't miss it!)
1. Relations With The Middle East
The president-elect has been critical of Saudi Arabia and Iran during his campaign, saying he might stop buying oil from Saudi Arabia until it commits ground troops to fight the Islamic State or helps pay for US efforts. He’s also vehemently against the nuclear deal with Iran that welcomed the country's oil exports, saying among his first priorities is to dismantle it.
2. Keystone Pipeline
Trump said he would approve TransCanada Corp’s proposed Keystone XL oil pipeline, provided the deal gives the American people "a piece, a significant piece of the profits."
3. US Fracking
The president-elect said he would remove any restrictions on US energy exports and support fracking in the US. He’s also called for lifting regulations on exploration and drilling and opening up parts of federal lands for drilling.
4. Climate Change
Trump has questioned the near unanimous consensus among the scientific community regarding the dangers of climate change and has vowed to withdraw from the Paris agreement to limit global warming, a move that could redefine the nature of global energy consumption if coal (the dirtiest fossil fuel) regains widespread use for power generation. [Bloomberg]