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Occidental Petroleum says federal leasing ban would hurt U.S. oil growth

05/11/2021 13:37
Occidental Petroleum says federal leasing ban would hurt U.S. oil growth

- U.S. oil and gas producer Occidental Petroleum said federal drilling permits are moving forward in the Permian Basin shale field following a federal pause this year, but a longer-term ban could hurt U.S. oil output.

Producers are likely to continue to be able to secure permits on existing federal leases, but Chief Executive Vicki Hollub said on Tuesday she was concerned about the possibility of a federal moratorium on new oil and gas leases going forward. The Biden administration is reviewing the federal oil and gas leasing program.

"That would be bad for our industry. It would be bad for the United States," Hollub said on an earnings call with analysts. "It would put our country in a position where we would likely have an even tougher time increasing production above where the United States is today."


(Reporting by Jennifer Hiller
Editing by Chizu Nomiyama)

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