Just like the oil and gas industry… politics is no easy “business”.
Depending on which side of the political spectrum you lean, oil and gas might be seen as one of the driving forces in our economy… or viewed as a drain on our environment… with government regulations being created and deleted left and right.
Either way, most of us agree that we need some kind of fuel to propel us forward each day.
With President Trump at the helm, things are certainly looking good for oil and gas companies.
But let’s not forget, his reelection is in 2020. Should he not win a reelection, things might change.
New, heavy regulations might be forced upon oil and gas companies, making it harder for them to compete on the global market.
And that’s just US internal politics. Now think about all of the countries in the world that product oil and gas.
If Russia is stable and manages to secure great trade deals with nations in Europe… they will dominate the market due to the ease of transporting oil and gas across land versus having to ship it across the atlantic.
Turmoil in Venezuela and Libya have slowed their production almost to a halt… but things can change. More production will lower the price of oil… and if it’s too expensive to extract oil from certain locations, it won’t make any financial sense to do and the oil and gas companies will leave.