Please find this MOST INFORMATIVE oil and gas presentation on current status of the industry by Canary, LLC CEO Dan K. Eberhart (@dankeberhart), delivered to members of the Alaska Support Industry Alliance on April 9.
Double bonus: Here’s Dan’s current take on the Texas RRC consideration of ordering production cuts vs. free market forces…followed by this Yahoo report on the result of the hearing (i.e. a difficult decision for the 3 commissioners). -dh
Has it ever been tougher for the state’s major source of income and employment: the oil industry: CCPVirus+Low Oil Prices+BOTAX initiative, triple threat? Add Alaska’s unbridled government growth and enormous government per capita with near empty government savings accounts and we are actually watching the 49th state experiencing a quadruple economic threat…which underlines the importance of the letter below. -dh
It’s time to defend Alaska’s future
Dear KEEP ALASKA COMPETITIVE Supporter,
This is an extremely difficult time for Alaska, our nation and our world. The impact of the coronavirus has already been devastating to many of us personally and to our state economically.
Alaska’s economic foundation is threatened by events over which we have little to no control. Oil prices have cratered due to Saudi Arabia and Russia flooding the world market with cheap oil, causing Alaskan oil to fall to its lowest level in two decades. The stock market has dropped significantly. We may lose all or most of this year’s visitor and fishing seasons.
Governor Dunleavy, Legislators and other elected officials have moved quickly to protect individual Alaskans and to stabilize the economy. Unfortunately, there is little they can do to stop the one threat over which Alaskans do have control: an ill-advised, dangerous, oil tax ballot measure.
The backers of this ballot measure gathered the required signatures by misleading Alaskans. Now it’s up to us to defend ourselves and our future against them and their crippling oil tax measure by educating ourselves with the REAL facts.
Here is what’s at stake: 75% of state tax revenues, over 77,000 jobs in Alaska, and $24 billion in new North Slope projects that can put hundreds of thousands of new barrels in the pipeline each day.
Roger Marks, an independent economist, says the ballot measure will increase taxes on oil companies by 150% to 300%, depending on the price of oil. There could not be a worse time for such a massive tax on the oil industry. A tax increase of this magnitude will drive the capital Alaska so badly needs to other oil provinces around the world.
At a time when Alaskans’ focus is on protecting their health and the health of their families, their jobs and their communities, KEEP Alaska Competitive will continue to do our part. We will share the facts and tools you need to defend Alaska and its future against this egregious oil tax ballot measure through our social media platform. And when the time is right, we hope to have the opportunity to meet with you in person regarding this critical issue. For now, if you have a moment, look for us on Facebook or visit our website, KEEPAlaskaCompetitive.com.
From: Larry Persily News Briefs: Russian paid a price for misjudging the market and Saudi Arabia
WASHINGTON, DC – U.S. Senator Dan Sullivan (R-Alaska) joined CNBC’s Squawk Box this morning to discuss an agreement reached yesterday between Saudi Arabia, Russia, the United States, and many other global oil producers to quickly and dramatically reduce production to stabilize global crude oil prices. This agreement involves 23 countries committing to collectively withhold 9.7 million barrels a day of oil from global markets.
Click here or the image above to watch Senator Sullivan’s interview on CNBC.
- On March 16, Senator Sullivan, Senator Kevin Cramer (R-N.D.) and eleven other senators sent a letter to Saudi Crown Prince Mohammad bin Salman bin Abdulaziz Al Saud urging the Kingdom of Saudi Arabia to halt its destabilizing actions as the rest of the world struggles with the economic impacts of the coronavirus pandemic. Sullivan and Cramer reiterated the call in a discussion with the Saudi Ambassador to the United States later in the same week.
- On March 20, Senator Sullivan joined a letter with Senator Jim Inhofe (R-Okla.) to U.S. Secretary of Commerce Wilbur Ross urging him to investigate excessive dumping of oil by Russia and Saudi Arabia.
- On March 26, Senators Sullivan and Cramer, both members of the Senate Armed Services Committee, introduced legislation to remove U.S. Armed Forces from Saudi Arabia.
- On April 3, Senators Sullivan and Cramer attended a meeting at the White House with President Donald Trump and energy leaders, and released the following video afterward.
- On April 11, Senators Sullivan and Cramer led a nearly two-hour call between a group of senators and Saudi Arabia’s Energy Minister, Prince Abdulaziz bin Salman Al Saud, and Deputy Defense Minister, Khalid bin Salman bin Abdulaziz Al Saud to highlight the importance of securing an agreement and following through on it.