DIESEL IS AT AN ALL-TIME HIGH
5.56 A GALLON AND NOT GOING
ANYWHERE ANYTIME SOON.
AT THE OIL AND GAS ASSOCIATION,
THE PRESIDENT KIND ENOUGH TO
JOIN US THIS SATURDAY.
HOW HIGH IS HIGH, DO YOU THINK?
>> WELL, HIGH HIGH IS TOO HIGH
FOR US TO AFFORD IT AND THAT’S
A PROBLEM THAT WE HAVE.
WE’RE IN THE GREATEST
CHALLENGING ENERGY CRISIS WE’VE
BEEN IN IN 50 YEARS, AS WE’VE
SAID, DIESEL AND GASOLINE
PRICES ARE ALL-TIME HIGHS AND
INVENTORIES AT ALL-TIME LOWS
AND WHAT DID THE ADMINISTRATION
DO THIS WEEK?
WHAT WAS THE MAJOR IN ENERGY
ANNOUNCEMENT?
TO PULL FEDERAL LEASES OFF THE
TABLE AND TRAP BILLIONS IN THE
GROUND.
IT’S FRUSTRATION, THIS
ADMINISTRATION HAS NO STRATEGY
TO GET OUT OF IT AND FRANKLY
THE ACTIONS THEY TAKE ARE
COUNTERPRODUCTIVE TO THOSE OF
US TRYING TO SOLVE THIS
PROBLEM.
NEIL: YOU KNOW, THEY COME BACK
AT YOU AND WE’VE TALKED ABOUT
THIS BEFORE AND SAY WELL, WE
DID OPEN UP PERMITS AND LEASES
TO YOU GUYS.
YOU DIDN’T JUMP AT THEM AND NOW
YOU’RE WHINING THAT WE’RE
SHUTTING DOWN EXTRA ONES, YOU
WEREN’T TAPPING ANYWAY, WHAT DO
YOU SEE?
>> THE ACTION THIS WEEK WAS
OFF-SHORE LEASES OFF ALASKA AND
GULF OF MEXICO.
THOSE LEASES ARE DIFFERENT THAN
TRYING TO GET A THOUSAND ACRES
IN WYOMING.
THERE ARE MULTI-MILLION DOLLAR
PROJECTS THAT TAKE YEARS AND
YEARS TO GET IN PLACE AND THE
INDUSTRY WAS INTERESTED IN THE
LEASES AND WOULDN’T HAVE BEEN
NOMINATED ANYWAY.
I’M CALLING THE WHITE HOUSE AND
INTERIOR DEPARTMENT B-S ON THIS
ONE, WE’RE INTERESTED IN IT,
THEY PULLED IT AND THAT’S
UNFORTUNATE.
NEIL: AND SAYING THAT YOUR
INDUSTRY IS MAKING A LOT OF
MONEY AND THAT IT’S AN OBSCENE
AMOUNT OF MONEY WHAT DO YOU
HAVE TO SAY?
>> WE HAVE TO FACE THIS IN THE
HOUSE OF REPRESENTATIVES THIS
WEEK AS THE DEMOCRATS ARE
PULLING UP WHAT THEY CALL A
PRICE GOUGING BILL.
THE REALITIES YOU READ THROUGH
IT.
TO BE HONEST IT’S A PRICE
CONTROL BILL.
AS YOU READ THROUGH THAT, THEY
TALK ABOUT GIVING THE PRESIDENT
THE AUTHORITY TO DETERMINE WHAT
IS UNCONSCIONABLY EXCESSIVE IN
THE MARKET AND THAT LEAVES THE
WHITE HOUSE WITH THE ABILITY TO
TELL US HOW MUCH WE CAN AND
CANNOT PLAY FOR A COMMODITY.
THAT’S PROBLEMATIC BECAUSE
PRICE CONTROLS AS YOU KNOW,
LEADS INEVITABLY TO SHORTAGES
AND THE COMMODITY YOU’RE TRYING
TO CONTROL AND LEADS TO HIGH
TRANSLATION.
AND WHAT WE SAY LOOK, YOU HAVE
A BETTER WAY OF DOING THIS, THE
QUESTION YOU SHOULD ASK
YOURSELF EVERY ACTION IS THIS.
IF YOU’RE TRYING TO ADDRESS THE
ENERGY CRISIS IF WILL THIS
INCREASE TO THE AMERICAN
CUSTOMER, IF NOT, DON’T ACT ON
IT.
>> IT WILL CONTINUE TO RESTRICT
OUR ABILITY TO DEVELOP DOMESTIC
RESOURCES AND WITHOUT PROVIDING
RELIEF TO THE AMERICAN
TAXPAYER.
NEIL: AND GRANTING YOU A PERMIT
AND/OR LEASE DOESN’T MEAN IT’S
QUICKLY APPROVED.
IT MIGHT LOOK AND SOUND
TEMPTING, BUT IT CAN STILL RUN
YOU THROUGH THE RIGGERS,
GETTING IT FINALIZED.
AND WHERE DOES IT GO THE PRICES
GOING HIGHER?
COULD THE VERY HIGH PRICES AND
HIGH INTEREST RATES WE’RE
SEEING LEAD TO THE KIND OF
SLOWDOWN TO, SADLY, BRINGS ON A
RECESSION, BUT THE FLIP SIDE IS
ALL OF THESE PRICES GO DOWN AS
A RESULT?
IS THAT WHAT IT’S GOING TO
TAKE?
>> WELL, THAT’S A GOOD QUESTION
AND THE LAST THING ANYBODY
WANTS IN THEIR OWN MARKET IS
DEMAND COLLAPSE AND I THINK THE
INDUSTRY IS VERY COGNITIVE,
COGNITIVE OF THAT SO THAT’S WHY
WE’RE RACE TO GO GET AS MANY
RIGS UP IN THE AIR AS WE
POSSIBLY CAN, TO BUILD OUT OUR
INFRASTRUCTURE AND WORK AROUND
THE REGISTRY OBSTACLES THAT THE
WHITE HOUSE IS PUTTING IN
PLACE.
OUR GOAL IS TO BE ABLE TO
PROVIDE ENERGY AND THE
CHALLENGE WE HAVE FROM THE OIL
AND GAS PERSPECTIVE IS THAT 83%
OF THE ENERGY PRODUCED IS
PRODUCED BY INDEPENDENT
COMPANIES WHO HAVE NO SAY WHAT
THE ACTUAL PRICE AT THE PUMP
IS.
WE’RE LIKE FARMERS, BASICALLY,
WE’RE PRICE TAKERS, SO BLAMING
THE INDEPENDENTS FOR THE COST
OF GASOLINE IS LIKE BLAMING A
FARMER FOR--
THAT SOLD HIS WHEAT FOR THE
COST OF A LEAF OF BREAD IN THE
SUPERMARKET.
OUR GOAL IS TO GET AS MUCH IN
THE MARKET AS WE CAN AND THE
MARKET WILL WORK THROUGH IT.
IN THE WORLD A MASSIVE COLLAPSE
LIKE THE COVID PERIOD BECAUSE
WE’VE SEEN THE CHALLENGES OF
INFRASTRUCTURE THAT COMES FROM
THAT.
NEIL: AND EVEN OPEC IS WARNING
THAT THIS ENVIRONMENT IS GOING
TO LEAD TO A BIG OLD SLOWDOWN
ACROSS THE GLOBE, HURTING THEM,
HURTING YOU, HURTING EVERYONE.
IT’S A SIGN OF THE TIMES.