Energy Prospectus

https://www.foxbusiness.com/markets/oil ... e=hs_email

wtf??

The administration that canceled the Keystone Pipeline and tried to ban all oil drilling on federal land now wants the "Build Back Better" bill, raising oil and gas royalties on tax rates from 12.5% to 20% for onshore-offshore production, while higher royalty rates of 16.67% would be increased to 25%.

The bill would permanently prohibit offshore drilling in the Atlantic, the Pacific and the eastern Gulf of Mexico.

How do you change rates after the fact? and prohibit new drilling everywhere..

Dan can you please address the proposed federal royalties and how they would impact your modeling. I noticed most of my Canadian producers were green on Friday while all the shale plays were red. The market seems to be pricing this as a non trivial threat.

Higher royalty rates on only new federal leases will have little impact on my valuations