Posted on: 04. 16. 20
Oil and gas has always been an industry that has faced its fair share of ups and downs. However, right now with the spread of COVID-19, our oil wells and production plants have begun to face unprecedented difficulties.
While the initial outlook for many companies in our industry seems dire, the President of the United States, Donald Trump, says that he has plans to get the oil flowing freely once again. Here is a deeper look into the current oil & gas industry and how the POTUS expects to help out our industry.
The Problem Oil and Gas Faces
Right now our markets are in a tug of war between geopolitical arguments that have deeply impacted the price of crude oil. While gas being at an all-time low seems like a great thing for the average consumer, it’s something that can severely harm the overall job market in our industry.
As we face an oversupply of oil, our drill sites continue to try to meet daily production goals. However, with demand on the rise and prices so low, the danger is real that many oil sites and companies may not survive this aspect of the coronavirus effect.
Presidential Goals
According to an article from CNBC.com, President Trump is adamant about getting our energy business back amidst collapsing oil prices.
“I’m with you 1,000%. It’s a great business. A vital business,” the article quoted Trump.
Although tariffs are currently being discussed but not solidified, this is one direction the President could go in as a “tool in the box.”
DOE to Buy Crude Oil
Another way the President has tried to assist the oil industry is through his recent announcement that the Department of Energy will buy crude oil for our national reserve. According to an article from NPR.org this move is meant to:
- Help increase the price of oil (which raised by 5 % since the announcement)
- Save taxpayers “billions and billions of dollars”
Keep Up With COVID-19 Industry Developments With Pro-Gas, LLC
From equipment for production facilities to news about the status of oil drill sites across the nation. Pro-Gas, LLC is your go-to source for industry information while shelter in place mandates are in order. We know that our industry greases the wheels of the economy and are just as eager to see life go back to normal. However, in order to do so, it’s going to take a joint effort. If you can stay at home and stay safe; but remember, if you need us we’re always here to help!
