in 2020 so even if, but the democratic nominee who wins more votes, they will have enough people in place, and secretary of state and offices and legislatures, that will enable them to take the election even if they do not when it and that is a real threat and i would hope that if the individual race six, committee and all of the hearings everything that you will have a more acute understanding that will enable us to be prepared for the threat we will face in 2024, and i don't know if we will all that we can all be hopeful about that. >> paul waldman writes for the washington post and you can find his writings a prospect . org and thank you for your time paul waldman. >> twenty is now, the president of the u.s. oil and gas association here to talk about production in the united states. >> good morning. >> think you for joining us, is

represents at actually the nation's oldest energy trade station for 2017, in the middle or towards the end of world war i to ensure petroleum was making it for the u.s. military to membership is evolved over the years and we primarilyo represent, the exploration and production companies primarily mostly will be up publicly traded and in small companies as well so we actually present really good crop section of the industry for those who work offshore and onshore federal lands in private land, and companies and health companies and a lot of the legacy companies, odds are that if there is a name on a petroleum geo- building summer in oklahoma or texas, is a company is vetted by semis grandfather was one of my members peanut how would you characterize oil production in the united states as it stands today. >> that is a great question, given what we worked two years ago, and the truly dark days of

industry, we have stepped back and incredibly resilient way we are very encourage right now look at the numbers this morning, right up to 50 more rigs and lesser this time at about 760 t or 70 and 70 rigs which is almost nearly full capacity nods are that if there's a rig in the united states, it's in the right now enter a production numbers are starting to come up and we are facings some interesting challenges that we not faced in the past which is revealing the significant impacts of inflation but we are doing great i think i'm a much better situation than we work in april of 2020 when we were underwater by $32 girl. >> was that because of covid-19. >> so little history on that, if you recall, pre- covid-19, the saudis and the russians, declared war on the u.s. show industry and really flooded the market and ramped up production significantly to drive the price of global oil down below the

breaking point for the show producers and they responded in kind, and so that was that sort of petrol or underway in covid-19 had and that led to an incredibly an unseen demand collapse and i don't know about you but i don't put gas in my car once of the course of three months during those first three months of covid-19 so those of the dark days that's what led to that overproduction and over storage capacity use and this will lead to the numbers being with a word we have since come back from that. numbers is far as think most people would take a look at how much cost develop their cars with gasoline these days and how much is that attributed to the amount of production being done what is being refined here in the united states. >> so it is a great question we get it and get gas at all of the time the cost per gallon of gasoline is only about 60 percent of that is crude and the cost of crude itself, another 20 percent of the cost of refining and transportation

and distribution on top of that, state and federal and local taxes had what is left is a market for the retailer so yes, obviously the cost of crude has had an impact of rising gas prices. in the challenges as the demand significantly decreased faster than ramping up the production in those dark days from 2020, not been able to catch up toe that the other challenge all of the obviously and hurled about this is the impact of the refining capacity that we had were some of the refineries came off-line had not come back online and so is this according heavily elastic affect we've not quite hit that balances. >> if you want asking questions, and the releasors and pretty coolly but he he does him production of the united states, you can use all online (202)748-8000 from them present 8001 for republicans, and74 independence 8002 and you can also text is that (202)748-8003

and on this in a show, the president's chief energy advisor was on, talking about what he sees the future of gas prices nominally talking about overseas issues but he talks with the role of oil producers they may serve and what you do listen a little bit to what he said and commented on his. >> no doubt there is never one reason why oil prices go up and as you know oil prices go up attend estate and it saves only one reason and is political leadership but if you think about it this way, over the last few months for the present had supplied the u.s. market with million . under barrels a day which is a historic level and we have never done that before. >> and that's what is in september. >> no towards the end of the it and forcing it of the can we afford to stop puttingng an emergency supply the market. >> will look at what is happening, the private sector as we talked to them in the united say say they can increase production in the united states by about a million barrels of their today but i'll take time

to invest in will come at the end of the year so we stepped end, and said that i will know that gap is a hopefully, my flirtation is that private sector in the u.s., will have those increases coming salutee e do not have need to have the emergency from the u.s. government. >> how would you respond to how we characterize the private sector's role of the. >> a critical role, the challenge when you have the strategic petroleum reserve for that high great for that long, is a still disrupt the production process and thank you west is a million barrels a day and actually into the system which then obviously has an impact on prices and it also impacts the ability for the producers to figure out the futures market, at before he goes forward in the strategic petroleum, ashley worked on when i was on the help in the '90s, and there was a time when congress was considering to privatize the strategic petroleum reserve and turn it

over to the industry let the industry run it because industry had the better feel of where market would be six months from now and i don't suggest to that it is used primarily for an emergency, from the industry's perspective we wish they would've come to us and set it up, give should million barrels anyway you can't add we will do everything we can to help you do that pretty head is still or has obviously not had an impact on the prices they thought it was and they did this in november and prices still the major lease and margin isov still up and sot doesn't solve the issue of the increase in domestic productionn it. >> see when youin hear him say e private industry can probably come forward and help with this, obstacles in the way. >> there's a lot of obstacles a regulatory regimen and wheneverl you go to onshore and offshore and so that's still remains in place and so we think there is an opportunity to the administration it this week are still open to them coming to us and say list look at the

critical infrastructure and is look at the permitting and see do to make sure thatas we don't find ourselves in the situation whether it's a global price chocolate we have had an hour couple of years ago, people to realize this, the shall pete, and if you recall, the saudi production facilities and drones, nobody register that because the u.s. produces had so feel that global market, that it was a price chocolate action and never actually materialize we do that again. >> tim stewart with us, the first call from virginia, built independent line, ronald i guess go-ahead. >> good morning, and thank you for taking my call, mr. stuart, two quick questions can you please explain, the difference between the freestone pipeline and the keystone xl and whether or not president biden prices

step down as one of those present as be back this way questioning and that is on the seem to affect everybody because the actions taken on the very first day of the administration pipeline structure in north america is very complex and keystone xl really basically part of the same system and what was needed was essentially that last segment to be approved in from the canadian to the oklahoma and out to the gulf, refried and the administration came in but hold on the remaining permitting essentially killed the project because of that delay that would take place essentially they said not going to do it while we are in office. possibly that your delay and so essentially that is what a signal troubling signal to her closest training partner that we were not going to participate

with him as it had ramifications not just for the pipeline itself, therefore more broader infrastructure and potential investment in the projects forward in this what your industry talk about a lot about we are worried about the infrastructure not being funded. >> and just to clarify, the xl pipeline, increase capacity for many years like immunity other info structure projectre that would've taken several years to complete the reality is the oil market globally as i mentioned earlier, thanks to the future and that extra supply bringing balance to the north american portfolio was really really important and other canadians do not have an option to send it to the uso they send it to china or somewhere elsean in asia. >> from delaware, democrats line. >> good morning, thank you for taking my call. i'm in my late 70s and i've been through this before and i

try to check out everything that we are told. i cannot believe you're still saying that it is all regulation and we did not get enough recess and it is the keystone pipeline pretty there are people who e.believe you but a lot of us do not, because of the absolutely obscene profits that you have been making because you still insist that everything is the fault of the government who did not give you everything you want and do you want to try to do a better job without what question would you like to ask our guests. >> it what would you like to ask our guests specifically. >> i am asking him when they are going to stop blaming the government and the keystone pipeline loss which by the way was an option to sell thus the oil, not guaranteed which was

not going to do much for us because of that and how many times do count of it can we go through this and please expect. >> look at, that caller is expressing frustration that millions of people feel it i think my responses that functions largely independent and largely independent of significant government subsidy or support one way or the other and again, and i understand the frustration because that is been sort of the political back and forth in the argument that we've been under the last 18 months, was not always this way, if you go back even before or evening years ago, a fairly quiet time industry winter to scream as we had this tendency to work around each other or work with each other with the federal but also

numbers, and in the small companies, they don't actually build off a lot with the federal government but they do the global markets and so, as of the concerned that i think they have is just to get out of her way about us do what we were doing quietly, four or eight years ago and we can produce a product and bring down the prices. >> in the present sent a letter to the oil executives earlier this year and he wrote last time the price of crude oil was about $120 a barrel in march and the price of gas was for 25-gallon at the gas prices are 75 since higher is going back in time a little bit, may since higher, the difference of more than 50 percent of the public result historically high profit margin for refining oil and diesel and refined products to the beginning of the margin to refined gasoline and diesel have tripled and currently there highest level ever recorded. >> this goes from through ongoing criticism and h' and his administration wishes, we make the argument that there are only

looking at half of the probably don't give credit to the market for two the way we actually do our business and this is been criticism i don't know if it's fair or not but the number of people that came out of our industry and working administration a really understands, oil and gas production and probably counted on one c hand they don't have enough a lot of advisors there, who can comeve in and say to the messaging team yes but, and to their credit, the people do understand the industry they were carted trynd to bring up ballots in time to get run over from the white house messaging team and so i think responding to letterhead we said, yes but, and we laid out the other reasons why wee were facing the pricing climate that we are and nobody is completely free of fault here, the administration or the industry the reality is that we were appointed some

significant constraints we did not respond in time accretion the unchallenged week could not get the financing that we hoped and timely matter as well. >> so as far as a yes, you are making high profits. >> were making high profits but were also paying record prices and i mentioned earlier, it's interesting, we are making record profits and historical context, 2008, was actually a higher pricing when you factor in the inflationary factors but we are also i playing record of prices for everything from labor costs, to pipes in the cruise that we bring in two work is so i think what you see is they also are reflected in the record prices in our industry and other to atlas hear from getting pennsylvania, publican line, unix up. >> yes and good morning, and seems to me that trump use of all the oil reserves and biden - silverman have to vote trebek into fill them back up. >> you know can, i'm glad you raised that because were talking

earlier about the collapse during covid-19 how industry the prices actually went underwater for a matter of hours in the time when they were negotiating the covid-19 relief emergency package, one of the ideas was if the oil was writing that $11 or $12 a$1 barrel, elizabeth $3m dollars and completely fill it up to the 757 million-barrel capacity because it will never be in that proposal was sent to the helen unfortunately, the democrats did not agree to it at was a really big missed opportunity because you have an extra $100 billion at $14 a barrel, that is a pretty good deal for the american taxpayer, missed opportunity and i wish we would've done it. >> the gas association joining us, we heard a lot about the topic and can you when they required oil lease some of the date with a. >> that is a great question it

and we get that all of the time and i come i say look, oil leases no guarantee for anything like a sixpack at the convenience store is not a guarantee for sixat or 12 vince cans of something, when a company secures a lease, it is the equivalent of saying that we are securing the rights to make a very big death that may or may not pay out and that is all it is and it is a gamble and you're making an educated guess on it parcel of land that may or may not have m resources and you dot know you getet into it we can process this in the very obligated way and actually starts before the lease starts - when a company or individual comes to land management in issue what is called an expression of interest, they say that we thank youre so 4000 acr, we are interested in it so the bureau of land management takes it may take their land managers may go through fairly rigorous wheezing project about ten different steps or so to

determine if the parcel will qualify let alone and asked resources is everything from actually to even own this minerals to see boundary or fit within a wilderness area or something like that is so the experts go through the take all of the expressions and interest in putting together put it forward in a quarterly sale as a company, express an interest and i may not actually secure the lease if the lead on it by the say that what i do go bid on it and i acquire in a becomes a very rigorous environmental b process by which i have to go in and i have to present my drilling plans ando plan a production to the land management that i have to comply with numerous federal laws and meet the requirements and that the documentation can sometimes take years and we have to record everything from the archaeological survey to wildlife stipulations impacting on things like that in the pre-

leasing process is very rigorous and then for an application for permits to drill in a tv all the time the processing all of these with the paperwork in these permits and this takes anywhere from six mustache five - seven - ten year sometimes as i was very challenging process in the meantime, my capitol is locked up into this project the lease or rental payments that i'm paying for the environmental work that i'm paying for to the attorney fees before he can even get a really is i am burning capitol while i am waiting for elise and so when the administration said that the criticism of our industry, we up 9000 leases that you're not using rss back as we have 4500 of the leases that we are waiting for you to approve and 4500 are probably waiting on approval for the first 4500 so that's where we are at in the process. >> new york independent line, this is david hello good morning

i just wanted to say, i grew up in suburbia that's why live had so as far as anything that i have to do have to get into the car have to pay for gas and so i rememberer after 2008, the big financial crisis, and there was a big spike in gas prices but the interest rates came slamming down and that is when the fracking started to go up in fact i remember the point, it's like $80-barrel which made it possible and then suppose like that brought it back but like when you said sonia ragan russia, they attacked the fracking industry really sold the prices down, they had really use that cheap debt so you use those low manipulated interest rates the feded put in to contie to frock and t what they did isa kind of everybody was buying chp

course get around and some progress and fell away from that went back to the giant trucks and suvs and so what i'm saying now is what happened is we are going to get back to burn up all of that she fuel andl really in the long-term, suburbia and iss this like a big mistake of this whole suburban lifestyle. >> we got jeff thank you and that is a great question, and honestly you articulated it very well, 2000, and the irony in high gasoline prices, is actually high oil prices is it actually increases the number of reserves that we have, because the way the industry operates is that we have proven reserves at a particular price point so when we are tracking for the children to mention in 2000 is rates made

the capitalization of those intensive projects made them possible and the price and oil was heading the 50 - 60 degrees chills profitable and if we are remaining about $100 a barrel, we have proven it and probable reserves that all of a sudden we have billions of more barrels of oil that are actually financially feasible don't necessarily want that for the consumer's perspective in our industry really high involves old price climate is not ideal for us because we have to capitalize over the long-term is out to your point dave, the interest rates had really allowed for the t industry to crack the code on the showplace, and have a dozen different places in the united states needs one is different had there not identical in terms of how you go out and produce a very

different and so i would say ultimately don't bet against the industry to the issue of the suburban lifestyle, that is a long-term transition that will take place and i kept that up with that will be like in 20 or 30 years but i would say that our industry will be around for a long long time. >> the administration is pushing things like electric vehicles and things like that in housing industry looking forward to that as people are going to rely is on petroleum based projects prevent unknown fact, it's interesting because their odds are that i can have a 41 percent chance and i'm going be charging the vehicle using natural gas in the 22 percent chance using coal so ironically, we are shifting transportation use from actual vehicles to charging vehicles from the industry's perspective a natural gas for example, were

agnostic withh the returns to is how it's used, is user power consumption is right or i something else and this is a long transition it and think learning right now the europeans i know that if you are moving rapidly towards transformation every transportation sector, you better be ready to have something in place to receive it. ... i was wondering if you could fill in the timeline of the situation we find ourselves in. when there was a lot of talk about the oncoming there was a lot of talk on the oncoming inflation from joe manchin and why he wanted to stop bill back better. and then having the russian invasion of ukraine and knowing that's going to be a need for all kinds of petroleum resources for europe as well as everyone getting over covid and ready to get back doing everything.

i wonder, how long did it really takes who use the rigs that were argued there and ready to go? why -- what kind of percentage of the inflation you think petroleum industry is responsible for? we do and really that's a good question for you look for the numbers are energy was a big portion of that right now. that is not just for gasoline, for crude oil and other things. if i can take you back to 18 months ago slowly ramping up their comingas out of the pandec impact. we're actually bringing more online for their trying to ramp up very early on to force in the

capitol markets. but that didn't has a chilling effect on the ability for the projects going forward. i was talking with a small capitol -- small investment firm out of denver couple weeks are here in washington who really, really bright women who started a venture capitol fund. the oil and gas industry norm they go out identify projects they found themselves last summer this time having to make over three to 50 before they could hit their target. where we are going -- where the administrations going in regards to oil and gasth industry. the global events caught up they

have some to realize we played important role they backed off on them. but still has an effect on her projects being financed. >> in early july proposed the new round of leases and part sang thed proposed plan through several options for note lease sales up to 11 lease sales over the next five years. the final program piloted 2016 are removed from consideration for it warms up atlantic and pacific coast. moses steele's forest production is concerned? like those for the offshore lease sales the secretary in the five-year plan that technically had to have been placed on the 30th of june for their few days late getting there draft out. the trump administration had a five year plan rolled forward the trump administration a proposed lease sales offshore.

then dial back back and we are waiting to see if it's going to come to the 20 or 30 range. our draft plan calls anywhere to note lease sales for the offshore resource in the gulf of mexico is astounding. there is one shell project which is an engineering marvel in and of itself at 8000 feet down to the seafloor. several thousand feet under the ground to get the resource for 33 wells expand and a 30-mile diameter. this is 100,000 barrels a day. it's a massive massive project. also requires a mass amount of capitalization. we put a million dollars in the table you to be assured the leases are going to be available to you. i think unfortunately the department of interior has missed an opportunity here.

into the markets. the look and lease fields much more interested. limited to a handful of players. >> the oil and gas association hi. >> hi there, what i'm wondering since this is a complicated issue, like most issues in life, right, what effort is mr. stewart making to put out p information that a lot of americans are not aware of. for example to give you one example then i will interested. probably more careful there's lots more to tell.

>> as for you, that is the process of my industry here over and over again from people. for them att church, my neighborhood, c-span. i will be the to admit despite aour best efforts still strugge to give a good message out there. you hit out a really good point oil produced in the united states isat the cleanest barrelf oil anywhere in the world. even in north dakota for example. north dakota requires 96% of all emissions are captured in north dakota. you don't find that venice will or any wealth during that period the reality is i remember early my career we sat down and counted the number of state, federal, local laws of the

company needed to comply with could begin producing is 127 at a time for that the very, very rigorous to angelo's point and pursued the opportunity to tell that story right now there. >> a viewer from twitter asks what happened to us oil in saudi arabia, shall production is up and running? that is a great question we will be competingue globally in the market paid the price point right now is to be proved when the saudis were almost complete full production opec plus was jamming everything they could enter the market in 2019. the shakeout was really interesting. with over 100 companies go bankrupt their mergers and acquisitions we learned from

unlocking the show revolution was very, very expensive proposition very capitol intensive abrupt that code like i said. we learned some lessons whittled itself down. >> as far as the current condition heard very limited resources said they're expected for the saudi government to com. forward and help, or is it in either of them? >> we also learned the buying russian fuel oil cheaper for the saudi's to buy the cheap russian oil sprinkler warning signals

were not going to be delivered what you asksk for. there's also some mismanagement about relationship. you can't call them a pariah state than expect them to do a favor shortlytl after. sue and larry is in washington, larry good morning. yes, i worked for the federal government. we used to have a model, all the refinery industry production. and its pipelines and its shipments. they gave us insight into the total industry for the u.s. it tells the government to have an idea of what would be happening if production was lost in all of that.

that we didn't have an insight. the ministration change from democrat to republican all of that knowledge in the modeling went out of the federal government. which gave federal government gerry little insight into the oil companies do. the only insight they have is of the oil companies until the federal government this is what we will do. that is a very bad situation for a nation that depends on the oil industry to propel its economy. because some things are in the interest of the people method of conversation that's gone the federal government is pretty much blind to what the oil company does now.

went all right that's larry and marilyn, thank you larry. we deliver, 80% of inspiration is based on good information. i do not disagreef with you there's not been good industry and the government. we rely heavily upon i think this refining is actually a good point. there's been a breakdown at some point to fully predict and prepare for. the problem is sometimes you can see something coming down the road and i think that's where the the industry is. he finds in inventory is not looking good. it was a little bit too late for us to react quickly to it.

>> we have a reaction production sites even in michigan saying how can you be sure another deepwater horizon doesn't happen? >> our industry, again nobody wants of the deepwater horizon. that we learned additional lessons with regards to our welch safety in the operation something of that does not happen. the industry responded, we worked well with the administration to put additional redundancies in place. and we maintained the rigorous, rigorous standards like we do offshore then i think we are in good shape. again, nobody wanted to happen paid from the industry perspective that is such a huge impact on our ability to do our job. accident like that as a loss of billions and billions and billions ofit dollars.

>> as far as the next six months or so where do you see it going? how do you feel about represent the industry? >> are split time between washington d.c. and family farm in utah. talking to a friend of mine runs about 4000 acres. said hey mike how you doing? he looks at me and says thank $5000 a week to keep diesel in the tractors and you are in the oil and gas industry, how do you think things are going? our industry's response to this. the worst case scenario is a demand collapse. have people stop using d our product. as much supply into the system. given the refiners of manufacturers in agriculture and see plenty of options for

products available. do it at a price point where it is affordable. how hard that gas prices? it's too high when you can afford to buy gas in your carpet we do not want that. i think we are going six months from now happens globally for the u.s. side numbers are going to be up. if we can adjust our refining capacity in the global comes back on i think we'll see more comfortable price environment too. >> the website u.s. og.org present of thank you for your time. >> thank you. ♪ oxley spent washington journal every day we are to your calls alive on the air, on the news of the day. i will discuss policy issues that impact you. come after simmering louisiana republican on abortion access, gun violence, defense, and spending bills. generally six committee hearing.

then texas democratic congressman al green discusses inflation, the economy, and the investigation into the mass shooting in a school from uvalde, texas. and a founder of open the book.com wasteful government spending. watch washington journal live at seven eastern tuesday morning. on c-span or c-span.now our free mobile video app. during discussion with the phone calls, facebook comments, facebook messages and tweets. ♪ is unfiltered coverage of the house to generate six committee hearing it invested in the attack on the capitol. go to c-span.org/january 6, our web resource page to the latest videos of the humans, briefings, and all of our courage on the attack and subsequent investigation since january 6,

2020 entered hope reaction for members of congress on the white house as well as journalists and authors talking about the investigation. go to c-span.org/january 6 for fast and easy way to watch when you cannot see it live. c-span has unfiltered coverage of the u.s. response to russia's invasion of ukraine. bring you the latest in the present and other white house officials, the pentagon and the state department as well as congress. we also have international perspective from the united nations and statements from foreign leaders. all on the c-span network. the c-span now free mobile app. aunt c-span.org/ukraine. our web resource page you can watch alisa videos on demand and follow tweets and journalists on the ground. go to c-span.org/ukraine. ♪ at least six present record

conversations while in office but here many of those conversations in these into a podcast presidential recordings. >> the nixon tapes they are part private conversations, part deliberations, one 100% unfiltered. >> let me say that -- the main thing is it will pass in my heart goes out to those people with the best of intentions are overzealous. as i'm sure you know, i will tell you if i could've spent a little more time being a politician last year unless sending a president would kick their butts out but i did not know what they were doing. in season two on the c-span belt mobile app or were ever you get your podcast. >> minority leader mitch mcconnell spoke on the senate floor about the democrats plans aimed at lowering prescription drug costs. he calle