Louisiana Mid-Continent Oil and Gas Association President Tommy Faucheux sees bright days ahead for Louisiana’s oil and gas industry.
Speaking at the Press Club of Baton Rouge’s meeting last week, Faucheux shared why he believes President-elect Donald Trump’s return to the Oval Office will be a boon for the industry on both a state and national level.
Reflecting on recent years, Faucheux suggested that the challenges faced by the oil and gas industry under the Biden administration should serve as a reminder of the need for predictable energy policies.
More specifically, Faucheux pointed to the first-ever lapse in the federal government’s five-year offshore leasing program as well as the decision to pause federal permitting for LNG export projects as disruptive measures that undermined Louisiana’s ability to maximize its potential as a global leader in energy.
In light of those moves, Faucheux called the pro-industry sentiments of both Trump and Gov. Jeff Landry a “welcome departure” from the uncertainty of the past few years.
“When you’re talking about Trump and his recent victory or Landry and his victory last year, I think it’s important to point out that they both ran on platforms that included investing in and expanding American energy production,” Faucheux said. “And that is something that cannot be done without investing in and expanding Louisiana’s oil and gas industry.”
As for the energy transition, Faucheux expressed his belief that the push for a lower-carbon future is not about abandoning oil and gas—he cited data from the Energy Information Administration projecting that global demand for petroleum and other liquid fuels is likely to increase through 2050—and is instead about supplementing traditional energy sources.
To that end, Faucheux said Louisiana is uniquely positioned to be a leader when it comes to carbon capture, biofuels and hydrogen thanks to the state’s existing infrastructure and skilled workforce. He pointed to Louisiana’s recent success in securing primacy for carbon capture permits from the EPA as an example of how the state is already at the forefront of integrating traditional energy production with new and innovative technologies.
“There is a market for low-carbon energy, and many multinational companies with significant assets here in Louisiana have been a part of that effort,” Faucheux said. “But I do not want anyone to be mistaken—the investments by companies in carbon reduction are in addition to their traditional efforts.”
