219
2019, the United States produced an average of 7.7 million barrels of oil per day
from its shale reserves, which is equivalent to 63% of total US oil production (www.
eia.gov 2020).
US Government to Save Shale
One of the most important plans of the Republicans, especially Trump during his
3 years in the field of energy, is to focus on the development of the United States in
the production of shale oil and gas from existing resources, on the reduction of its
dependence on OPEC members’ oil resources, on its energy independence policy,
and on environmental issues (http://oilprice.com 2020a, b, c, d).
Under the administration of Trump, the United States made the dream of relative
energy independence a reality, and it became a net exporter of shale oil. The
“American Oil Shale Revolution” follows decades of engineering and commercial
initiatives and innovations without US government intervention or funding.
Although former US President Barack Obama played a significant role in this great
success by providing the financial, commercial, and legal bases, it is Trump who
considers it as the result of his successful policies—obviously to some extent.
Trump’s move to repeal the oil and gas export ban gave American producers access
to global oil markets. However, Trump’s energy diplomacy to find oil and gas markets was aggressive and, in the opinion of many politicians and observers, immoral
and provoked widespread criticism around the world (Cmess.ir 2020).
The development of oil shales in the wake of these offensive measures has
sparked fierce competition between OPEC members and the world’s largest oil producers, which enabled the US oil giant to regain market share, and caused Riyadh
and Moscow to accuse each other in recent disputes that production and falling oil
prices seek to hurt US shale oil producers, which is an accusation that, naturally,
they both vehemently denied. Although Donald Trump has previously described the
downturn in oil prices as being enjoyable for the American people due to the fall in
gasoline prices, in a recent interview with Fox News, he openly expressed dissatisfaction with the low price of oil.
He used the option of negotiating to persuade the two sides to cut production
after the oil war broke out between Saudi Arabia and Russia, but with the failure of
OPEC’s attempt to hold an emergency meeting on Monday, April 6, 2020, some US
government advisers and Republican senators offered new options, including “the
US cut off Saudi oil purchases” and “the threat posed by the withdrawal of US
troops from the Middle East.” According to Reuters, Louisiana Republican Sen. Bill
Cassidy has proposed that US troops leave Saudi Arabia 30 days after the bill is
passed. Cassidy said that the increase in Saudi oil supply has made US energy companies unable to compete in the market. According to the senator, the withdrawal of
forces deployed to protect others would indicate that “friendship and support is a
two-way street” (senate.gov 2020).
Oil Price War
2019, the United States produced an average of 7.7 million barrels of oil per day
from its shale reserves, which is equivalent to 63% of total US oil production (www.
eia.gov 2020).
US Government to Save Shale
One of the most important plans of the Republicans, especially Trump during his
3 years in the field of energy, is to focus on the development of the United States in
the production of shale oil and gas from existing resources, on the reduction of its
dependence on OPEC members’ oil resources, on its energy independence policy,
and on environmental issues (http://oilprice.com 2020a, b, c, d).
Under the administration of Trump, the United States made the dream of relative
energy independence a reality, and it became a net exporter of shale oil. The
“American Oil Shale Revolution” follows decades of engineering and commercial
initiatives and innovations without US government intervention or funding.
Although former US President Barack Obama played a significant role in this great
success by providing the financial, commercial, and legal bases, it is Trump who
considers it as the result of his successful policies—obviously to some extent.
Trump’s move to repeal the oil and gas export ban gave American producers access
to global oil markets. However, Trump’s energy diplomacy to find oil and gas markets was aggressive and, in the opinion of many politicians and observers, immoral
and provoked widespread criticism around the world (Cmess.ir 2020).
The development of oil shales in the wake of these offensive measures has
sparked fierce competition between OPEC members and the world’s largest oil producers, which enabled the US oil giant to regain market share, and caused Riyadh
and Moscow to accuse each other in recent disputes that production and falling oil
prices seek to hurt US shale oil producers, which is an accusation that, naturally,
they both vehemently denied. Although Donald Trump has previously described the
downturn in oil prices as being enjoyable for the American people due to the fall in
gasoline prices, in a recent interview with Fox News, he openly expressed dissatisfaction with the low price of oil.
He used the option of negotiating to persuade the two sides to cut production
after the oil war broke out between Saudi Arabia and Russia, but with the failure of
OPEC’s attempt to hold an emergency meeting on Monday, April 6, 2020, some US
government advisers and Republican senators offered new options, including “the
US cut off Saudi oil purchases” and “the threat posed by the withdrawal of US
troops from the Middle East.” According to Reuters, Louisiana Republican Sen. Bill
Cassidy has proposed that US troops leave Saudi Arabia 30 days after the bill is
passed. Cassidy said that the increase in Saudi oil supply has made US energy companies unable to compete in the market. According to the senator, the withdrawal of
forces deployed to protect others would indicate that “friendship and support is a
two-way street” (senate.gov 2020).
Oil Price War