Donald Trump is about to assume office in a few days and he is already discussing making major changes in the US.
As per Reuters, Trump recently expressed his desire to boost energy production in the North Sea and eliminate wind energy projects.
In a post on his social media platform Truth Social, Trump suggested that the North Sea should be opened up for more energy exploration like oil and gas.
Over the years, oil companies have been reducing their operations in the North Sea, leading to a decline in oil production.
At the beginning of the 2000s, the North Sea was producing about 4.4 million barrels of oil equivalent per day, but now it has dropped to around 1.3 million barrels per day.
Trump’s post was a reaction to a report about APA Corp’s subsidiary, Apache, which plans to leave the North Sea in the coming years.
In October of the previous year, the British government decided to increase the windfall tax on oil and gas companies operating in the North Sea from 35% to 38% and also decided to extend this tax for another year as well.
The government plans to use the money collected from this tax to fund renewable energy projects.
Producers operating in the North Sea have expressed concerns that the higher tax could result in a significant reduction in investment.
As a result, they are leaving the North Sea, an older oil-producing region, before the new tax increases take place.
