News Digest (www.upstreamonline.com)
Assistant Secretary of Fossil Energy Kyle Haustveit, speaking at the Society of Petroleum Engineers Permian Basin Energy Conference in Midland, Texas, articulated the US Department of Energy's (DoE) strategic priority to increase domestic oil and gas production. This initiative is framed as essential for the United States to win the global artificial intelligence (AI) race, which Haustveit equated in importance to winning the nuclear bomb development, stating that from a national security perspective, "coming in second is not an option." The rationale is that AI development requires substantial energy and water resources for data centers.
The DoE aims to collaborate with Permian Basin producers to overcome obstacles hindering the growth of fossil fuel production. Key areas of focus include addressing challenges related to produced water from hydraulic fracturing operations and fostering innovation in enhanced oil recovery technologies. Haustveit emphasized the department's supportive role, stating, "Our job is not to regulate you. Our job is to enable you," signaling a commitment to facilitating industry expansion rather than imposing restrictive regulations.
Haustveit encouraged industry professionals to be proud and vocal about their work in oil and gas. He recounted his own past hesitation, referring to "frac jobs" as "that four-letter F-word," and advised the audience to confidently tell people, even strangers on an airplane, that they "produce American oil and gas." He framed this work as leveraging technology to provide the essential fuels that power modern life, including air travel.
The speech downplayed the urgency of climate action and reducing emissions. Haustveit stated that the administration, through Secretary of Energy Chris Wright, is more focused on eradicating "energy poverty" than pursuing net-zero emissions. He expressed the view that "we've got bigger problems to solve than the CO2 concentration in the atmosphere," positioning energy access as a more critical goal.
Haustveit's statements contrasted sharply with concurrent international efforts, such as the COP30 climate talks in Belem, Brazil, which sought a roadmap to transition away from fossil fuels. To support his perspective, he cited two influencers he believes are changing their stance on climate change:
19 November 2025
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