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This figure is expected to rise as moves in foreboding, are analysts now pointing to China’s
support of Ukraine give European countries potential to make itself Russia’s premier LNG
the incentive to finally wean themselves off a export destination. Should this eventually be
dependency on Russian gas supplies. The same realised, it is thought that Moscow might then
is true for the Russian oil industry, which has be obliged to toe the line in backing future Chi-
for several months now been offering cheaper nese aggression against Taiwan and other neigh-
crude to Asian customers against the back- bours in East Asia.
drop of sanctions implemented by European For now, though, LNG totals reaching
countries. China remain tiny compared to numbers once
A number of voices are starting to hint that exported to declining European markets.
Russian oil exports to the West will never again Plans are being put in place, however, to
reach levels seen in recent years. It is thought gas develop a second major gas pipeline linking gas
too will likely never return to previous export fields in Eastern Russia and China. If and when
highs even if large scale replacements for Rus- this is ever up and running, China’s neighbours
sian suppliers may take longer to pin down. will have a lot more than just LNG imports to
Similarly speculative, albeit somewhat more consider. ™

Texas’ oil and gas production tax revenues reached record highs in June 2022 (File Photo)

Texas oil and gas production tax

revenues hit record highs in June

THE state government of Texas saw oil and gas jobs and a producer of vital materials.
production tax revenues rise to record-high lev- “In addition to paying record-breaking tax
els in the month of June, according to Comptrol- revenue which funds our schools, roads, first
ler of Public Accounts Glenn Hegar. responders and more, Texas’ oil and gas industry
Hegar’s office revealed last week that crude is our economy’s lifeblood supporting roughly
oil production tax revenues had reached one-third of our state’s economy and paying an
$679mn in June. This is the highest monthly average salary of $130,000,” he remarked. “Oil
figure ever recorded and is also 87% above the and gas production is also so much more than
figure reported in the same month of 2021, the simply fuelling our energy use and funding our
comptroller’s office said in a press release dated government; it produces about 96% of everyday
July 1. consumer items including electricity, gasoline,
In the same press release, Hegar’s office plastics, medicine and countless others.”
reported that natural gas production tax rev- Additionally, he made a politically motivated
enues had climbed to $439mn in June. This argument against proponents of plans to replace
is highest monthly figure ever recorded and oil and gas entirely with renewable energy, say-
is 176% up on the figure reported in the same ing: “Despite President [Joe] Biden’s delusional
month of last year, it stated. desire to transition away from fossil fuels,
The comptroller’s announcement drew Comptroller Hegar’s announcement reinforces
praise from Wayne Christian, the chairman the fact that oil and gas literally fuels every facet
of the Texas Railroad Commission, the state of our lives from energy to food and beyond.”
agency that oversees the oil and gas industry. Currently, all three seats on the Railroad
Christian described hydrocarbons as a key Commission are held by members of the Repub-
driver of Texas’ economy, as well as a source of lican Party. ™

Week 27 07•July•2022 www. NEWSBASE .com P9