Rural Economy Nightmare: Trump’s Move Toward Saudi Oil Dependence is a Direct Threat to US Conventional Oil, Shale Oil, and Coal Industries

The Trump administration’s decision to cozy up with Saudi Arabia is putting American jobs and revenue from the fossil fuels industry at risk, already coming close to forcing oil rigs to go offline and requiring companies to lay off workers.

From the conventional oil operations that states like Mississippi totally depend on to the hydraulic fracturing rigs that created a boom in states like North Dakota, the Trump-Saudi alliance is poised to crush the Rural Economy. Officials in Mississippi have been afraid of this scenario for years.

“State and local governments collect roughly 10 percent of oil and gas revenue on average, ranging from a low of roughly 1 percent to a high of nearly 40 percent,” according to a report by the industry group Resources for the Future.

Add in Trump’s unseemly love affair with mega-oil-producing Russia and that’s quite the group hug with countries competing with the U.S. and for jobs and revenue. You would have to be living under a rock to not see that forming an “axis of energy” with Russia and Saudi Arabia would deeply wound the U.S. oil and gas industries.

Simply put, the Trump energy policy favors Putin and the Saudi crown prince, but will keep America from the promise of energy independence for the U.S. It’s just one more broken promise that is equaled only to the outright lie Trump told the coal industry and its former workers and families about bringing the boom days back to life. Ignoring our warnings, Trump never could admit the war on coal always was going to be won by oil and gas — we just didn’t think it would Saudi and Russian oil and gas that would kill coal!

Trump’s embrace of Saudi oil is going to make it nearly impossible any time soon to get back to most recent peak revenue seen in 2014 for the oil industry. Unfortunately, we can’t count on the Trump allies in Congress that allow him to run amok and make deals that will turn out to not make America First, while most likely making him rich.

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