Trump’s Energy Agenda Expanding U.S. Oil, Gas, and LNG Production to Boost Independence and Job Creation

As President-elect Donald Trump prepares to assume office, his transition team is finalizing an ambitious energy package aimed at bolstering U.S. energy independence, expanding oil and gas production, and creating jobs. This plan, poised to be rolled out early in his presidency, reflects key promises made during his campaign and focuses on reinvigorating the nation’s oil, natural gas, and LNG industries.

A cornerstone of Trump’s energy agenda is the expansion of both offshore and onshore oil and gas drilling. He intends to lift the moratorium on new LNG export permits, which has delayed multi-year projects such as Venture Global’s CP2 and Energy Transfer’s Lake Charles complex. This would allow for a significant increase in liquefied natural gas exports, particularly to Europe, which has turned to the U.S. as a key energy partner in the wake of the Russian invasion of Ukraine.

In addition to approving LNG export permits, Trump plans to expedite drilling permits on federal lands, which have faced lengthy delays under the current administration. He is also poised to reopen offshore drilling areas previously closed, particularly those along the U.S. East Coast and in the Gulf of Mexico. This push for increased drilling comes as the U.S. is already the world’s top producer and exporter of natural gas, with production levels at record highs.

Trump’s energy package is set to challenge President Biden’s recent decision to enact a sweeping ban on new offshore oil and gas drilling. On January 6, 2025, Biden’s administration withdrew approximately 625 million acres of U.S. federal waters from future leasing, citing environmental concerns and the push for clean energy alternatives. However, Trump has promised to reverse this ban as part of his effort to ramp up domestic energy production.

This reversal may face legal hurdles, as the Outer Continental Shelf Lands Act grants the president the authority to withdraw areas from leasing, and a 2019 court ruling upheld the power of the executive branch in this matter. Still, Trump is determined to push forward with his pro-energy policies, emphasizing the need to secure America’s energy future and reduce dependence on foreign sources.

Trump’s energy agenda also calls for the replenishment of the U.S. Strategic Petroleum Reserve (SPR). During the Biden administration, the SPR was depleted to manage price spikes and inflation, particularly due to the ongoing crisis in Ukraine. Trump aims to restore the reserve, bolstering the nation’s energy security and ensuring it is equipped to handle future supply disruptions.

The incoming administration is likely to encounter a favorable industry landscape, with the latest Dallas Fed Energy Survey signaling growing optimism in the oil and gas sector. The survey revealed a positive shift in business activity, and oil production remained stable through late 2024. In addition, employment in the sector showed signs of growth, further underscoring the potential for job creation under Trump’s energy policies.

Despite broad support within the oil and gas industry, Trump’s plans face opposition from environmental groups, which have praised the Biden administration’s actions to protect marine ecosystems and promote climate change mitigation. However, Trump’s approach to energy policy emphasizes economic growth, job creation, and energy security, which he believes can be achieved without sacrificing environmental stewardship.

The policies that Trump will implement, particularly in relation to offshore drilling and LNG exports, will be pivotal in shaping the U.S. energy landscape for years to come. The coming months will reveal the extent to which Trump’s energy reforms can overcome legal, political, and environmental challenges.