Rey Treviño on Texas Gulf Link: Boosting U.S. Energy Independence & Global Oil Exports

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NTD News Host [00:00:00] Okay. Joining us now to discuss the approval of the Texas Gulf Link deepwater port for exporting crude oil is Rey Treviño, vice president of operations Pecos Country Operating in Texas. So thanks for coming on today, Rey. I’ll to start off you, can you just give us a brief overview and understanding of what this is and the significance? 

Rey Treviño [00:00:21] Yes. What it is, is basically right now we’re looking at ways to actually export more oil and gas across not only America, but more importantly to our allies across the world, which then allows them the freedom to actually have an abundant, affordable and reliable energy for themselves as well. 

NTD News Host [00:00:40] And how does this project align with the broader U.S. energy policy under Trump? 

Rey Treviño [00:00:45] Yes. You know, as we hear the words drill, baby, drill, I like to say that it’s like everybody’s favorite song. Everybody has that one song that gets them going, the rock and rolling. And so when we hear drill, baby, drill and you all in the oil and gas industry, we just get bam. And what this really probably means under the Trump administration is going to be build a baby, build in the infrastructure that we need is so important to only continue to maintain affordable and reliable energy through oil and natural gas. So being able to do this port is going to be so important to just continuing to expand our energy independence and our energy dominance across the world. 

NTD News Host [00:01:25] So can you give us a little bit more detail on that point, specifically how this will affect the US in terms of energy? 

Rey Treviño [00:01:33] Yes. You know, right now in terms of energy, we supply our actually scuse me, we produce 40 million barrels of oil a day. We are the number one producer of oil and gas in the world right now. And as we continue to do that, we need to be sure to sell to other countries and make sure that places like OPEC stay below us, if it’s possible. Because right now they’re only producing about 9 million barrels. And if we continue to produce, we’re going to need to be able to export that oil and more importantly, that natural gas, because I think of, as I’ve said here on this show before, is that Texas alone is the Saudi Arabia of natural gas. And we need to get that across the world to our allies to help them provide affordable and reliable energy to themselves also. 

NTD News Host [00:02:19] And just piggybacking off of your point that you just mentioned just now, what are the advantages of exporting U.S. crude oil through the Texas Gulf Link port? 

Rey Treviño [00:02:27] Well, as you know, the Texas Gulf is definitely primed and ready for any oil and gas. I know Corpus Christi is already building a port that’s going to be able to allow these supertankers in and out of their port with the liquid natural gas. And we’re going to be able to basically ship that across the world and get that to our allies. 

NTD News Host [00:02:48] And will increased exports change global oil prices or perhaps influence in terms of OPEC? 

Rey Treviño [00:02:56] You know, I would like to think that it’s going to influence in terms of OPEC. I’m always going to be a firm believer. And this is just me, myself and I that, you know, as Texas goes, the world goes in that OPEC is always watching what taxes oil and gas is doing. However, the crude truth is that the only way we truly tip the needle and fight OPEC is through the offshore drilling that President Trump has opened up. So the more offshore drilling we can in the Gulf of America, then that means the more oil and natural gas we’re going to be able to spread across the world. 

NTD News Host [00:03:31] So do you think this will move the needle at all when it comes to domestic crude oil prices? 

Rey Treviño [00:03:38] You know, the president election itself really moved the needle and it showed with the markets where it believed oil and gas was going to be. And right now, we’re still down about 70 to $75 oil range, a price in oil. And I do believe that we’re going to stay there for several more months as we only continue to ramp up what production we do have, because keep in mind, this Gulf Lee Port and other places, as we continue to build the infrastructure to export this oil and natural gas, it’s going to take time. And then we’ll see the price move at the price of oil and natural gas down the road. 

NTD News Host [00:04:16] I mean, the bottom line is it can’t make inflation worse, right? It can only make it better. 

Rey Treviño [00:04:23] I would like to think so. That’s economics one on one. We’re going to be adding more jobs to the economy. We’re going to be stimulating the economy by that money then going back into these communities. And so, yes, I don’t see that in any form really affecting inflation other than in a good thing and bringing it down. Because if you keep in mind, once the Biden administration was at record high inflation, he really shut his mouth on the oil and gas industry because if we really want to continue to fight inflation, it’s drill, baby, drill and make sure that all those American oil and gas workers are out there working and providing oil and natural gas and more importantly, energy to every American, because energy does not discriminate between anybody across the country. 

NTD News Host [00:05:09] Let me just quickly quickly ask you this, as well as the environmental impact. Do you see any environmental groups potentially raising concerns here? 

Rey Treviño [00:05:18] You know, I guess as much as I hate to say it. Excuse me, they’re the EPA’s always going to do its thing. However, with Lee Zeldin leading the charge, we’re very excited that for once, hopefully the EPA will not be used against the oil and gas industry that has been weaponized. It would Lee Zeldin in charge. I do believe that we’re going to be able to get rid of a lot of red tape and those regulations. But also, keep in mind, when I say that to all the individuals out there, the United States of America is still the cleanest producing oil and gas country in the world. We still have the strictest regulations and we need to follow those. Okay. The EPA has done great things. We don’t talk about acid rain in the Northwest anymore, and we don’t hear about the hole in the ozone anymore. So America does what it needs to do. The rest of the world needs to follow suit and follow the same rules and regulations that America does today. 

NTD News Host [00:06:15] Okay, Final question. Any risks of overcapacity? 

Rey Treviño [00:06:20] At this time, I think we can only continue to drill, baby, drill and more importantly, produce because again, with us have 14 million barrels of oil being produced today. America alone still uses an estimated 21 million barrels of oil a day. So at this point, there’s no real, knock on wood, need for overcapacity. But also, keep in mind, Don, that we do need to fill up the Strategic Petroleum Reserve. So there is a need for oil and gas every day here in America for several years to come. 

NTD News Host [00:06:53] All right, Rey. Well said, Grace, speaking to you today. I hope you come on again soon. 

Rey Treviño [00:06:58] Thank you guys so much.