Trump Officials Press Exxon Mobil to Boost Output After 16 Million bpd Cut

XOMXOM

Interior Secretary Doug Burgum and Energy Secretary Chris Wright convened a videoconference with Exxon Mobil and six other producers, pressing them to expand output after Strait of Hormuz disruptions cut supply by about 16 million barrels per day. Futures traded at $98.30/barrel; Dated Brent hit a record high.

1. Government Meeting Details

On April 16, Interior Secretary Doug Burgum and Energy Secretary Chris Wright held a videoconference with executives from Exxon Mobil, Chevron, Continental Resources and four other major producers to urge an increase in U.S. oil output.

2. Strait of Hormuz Supply Shock

Recent disruptions in the Strait of Hormuz have removed roughly 16 million barrels per day from global markets, driving oil and gasoline prices sharply higher and creating political pressure ahead of upcoming U.S. elections.

3. Industry Response and Price Signals

Futures traded at $98.30 per barrel while Dated Brent reached record highs, leading some executives to indicate they will boost production, even as others hesitate to commit to new drilling investments.

Sources

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