Energy Outlook Bright For 2018
As 2018 begins, “American energy dominance” appears to be on the horizon. The new year has already drawn positive outlooks for Texas energy by experts and journalists:
Chris Tomlinson, Houston Chronicle:
“Oil inventories are dropping, federal regulations are dissipating, and OPEC members are committed to limiting production. The year ahead holds immense promise for oil companies.”
David Blackmon, Forbes:
“The midstream industry will boom – It’s already booming in Texas, where upwards of a dozen projects are underway to build new takeaway capacity for oil, natural gas, and natural gas liquids coming out of the pipeline-constrained Permian Basin.”
“The significant increase in new drilling permit applications in Texas and elsewhere during October and November is a strong sign that upstream companies are preparing to implement stronger drilling budgets starting in January.”
Bill Arnold, The Hill:
“[The shale revolution] encourages energy companies, large and small, to invest tens of billions of dollars back in the U.S. over countries with less stable business environments. That translates into high-paying jobs and economic growth in places like West Texas, North Dakota and Pennsylvania.”
Kunal Patel, a senior research analyst with the Dallas Fed:
“More output means more activity. Their output is expanding, which means more revenue for their companies.”
Chris Midgley, global head of analytics at S&P Global Platts:
“Planned capital investments across oil over the next couple of years of around $300 billion show that the industry is not underinvesting and is on target.”
Wesley Burnett, Director of Economic Development for the City of Odessa
“I think 2018 is going to be a great year. I don’t think we’re going to see hundred dollar oil or anything like that, but the investment side as well from businesses who want to invest in our town to make Odessa and West Texas a great place to live.”