(Reuters) – Market upheaval from U.S. President Donald Trump’s protectionist trade policies has not dampened foreign investment interest in the U.S. energy industry, executives said this week, as they lauded his promise to cut regulations and support fossil fuels.
Trump has made energy dominance a pillar of his administration, declaring a national energy emergency on his first day of office and pulling the U.S. from the Paris climate agreement. He has urged energy companies to boost fossil fuel production and promised to bring down prices for consumers.
The U.S. oil and gas industry, which has focused on returning capital to shareholders and reined in exploration and investment, has broadly welcomed Trump’s pro-energy stance, even though lower prices typically hurt company bottom lines. The foreign companies did not yet commit a dollar amount to new investment in the United States.
Oil prices hit a three-year low in early March. On Monday global Brent crude futures settled under $70 a barrel as investors worried a trade war would slow economic growth.
Foreign energy companies see opportunity in America’s vast natural resources and Trump’s pro-energy policies. Their interest follows years of slower U.S. spending as investors pushed companies to focus on returns rather than explosive growth.
United Arab Emirates energy company ADNOC on Tuesday said it intended to make significant investments in the coming months in the U.S. through its fully-owned international investment arm XRG, which has about $80 billion in assets and is considering options for an initial public offering.
“Investing in the United States through XRG is not a priority; it’s an absolute imperative,” ADNOC CEO Sultan Al Jaber said on Tuesday.
He said those investments would include the natural gas supply chain. The UAE is a member of the Organization of the Petroleum Exporting Countries.
Australian oil and gas producer Santos also said it planned to increase its investment in the U.S., citing the Trump administration’s pro-energy policies. That could include further capital toward its Pikka oil project in Alaska.
Last year, Australian company Woodside Energy acquired U.S. liquefied natural gas company Tellurian and plans to make a final investment decision on an LNG export project in Louisiana this year. The company also recently acquired an ammonia plant in Beaumont, Texas.
Santos on Sunday evening attended a dinner with U.S. Energy Secretary Chris Wright and executives from other major oil and gas firms. Wright promised to speed up permitting and support the industry.
While the industry has mostly applauded the administration’s efforts roll back regulations and speed development of oil and gas projects, some executives have expressed concerns about rapid policy shifts.
“Swinging from one extreme to another is not the right policy approach,” Chevron CEO Mike Wirth said on Monday at the conference. Trump last month ended a license granted to Chevron since 2022 to operate in Venezuela and export oil.
SPENDING STALLS
Spending by the U.S. oil and gas industry has slowed in recent years as producers have adopted a strategy of capital discipline and focus on shareholder returns. Some major oil companies, including SLB and Chevron, this year have announced job cuts and restructuring plans.
Oilfield producer SLB in a recent earnings presentation warned that its customers remain cautious about spending. On Monday Baker Hughes CEO Lorenzo Simonelli told Reuters the company did not expect customers to boost spending this year, with most output increases coming from efficiency gains.
ConocoPhillips CEO Ryan Lance on Tuesday said he anticipated U.S. oil production to plateau by the end of this decade, an outlook echoed by Vicki Hollub, CEO of Occidental Petroleum Corp.
The U.S. Energy Information Administration (EIA) on Monday lifted its 2025 forecast for domestic oil production to 13.61 million barrels per day, up 200,000 bpd from last month’s forecast. It raised its 2026 forecast 300,000 bpd from a previous outlook, to 13.76 million bpd.
It also raised its natural gas production outlook for this year and next.
“America is going to have a tremendous market opportunity, and I’d say opportunity on a global stage to really help bring energy security to the world,” said Toby Rice, CEO of natural gas producer EQT Corp. in an interview on Monday.
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