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Pat Robinson's avatar

I think the problem with the Biden crew, same as with the Trudeau clown show is the complete lack of consistency of words vs action, almost to a level of schizophrenia.

How is business suppose to work in an orderly fashion when the government of the day speaks in apocalyptic terms and issues threats both veiled and open constantly?

Great that your drilling but uncertainty is the biggest killer of of business that there is. And it leads to all sorts of bad decision and misallocation of resources to dead ends, like subsidies for renewables and full plug in EV's.

I'll take a government that doesn't sound insane 24/7, and there is no possibility that your democrats will ever provide that again Roger.

Not without a major house cleaning.

Maybe they just need an honest broker to explain reality to them.

Steve Strahan's avatar

I spent my career in the Oil and Gas industry and can tell you that focusing on production only doesn't tell the whole story.

An important thing to consider is the allocation of capital, be it for short lead time projects (often expanding or improving existing producing assets, AKA "Brownfields") or longer lead time projects (often in new assets, AKA "Greenfields"). Greenfield projects can be somewhat speculative, but also can greatly expand production. Again, it can take years for the new production to hit the market.

If the oil and gas industry perceives a less than favorable political environment capital expenditures will face increased scrutiny, which may impact future production.

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