Oil Tycoons to Donate at Least $9.9 Million Starting March
It has been revealed that oil tycoons are pouring massive campaign funds into former President Donald Trump, the Republican candidate for the upcoming November presidential election.
On the 24th (local time), The Wall Street Journal (WSJ) reported that oil tycoons such as Harold Hamm (Continental Resources), Kelsey Warren (Energy Transfer), Jeffrey Hildebrand (Hilcorp), and George Bishop (GeoSouthern Energy) have donated at least $9.9 million to former President Trump and the Republican National Committee since March.
In May, the four oil tycoons held a fundraising event for former President Trump at a hotel in Houston, raising a total of $27 million. At the event, Dan Eberhart, CEO of the oil drilling service company Canary, announced plans to donate $100,000 to former President Trump's campaign.
Another oil tycoon, Tim Dunn (Crown Rock), has donated more than $16 million to former President Trump's campaign since October last year. WSJ explained, "Oil tycoons have become the biggest campaign backers of former President Trump."
The reason they are betting huge campaign funds on former President Trump is their judgment that it will be easier to do business in the fossil fuel industry during the carbon-neutral era, where ESG (Environmental, Social, and Governance) management is emphasized. Former President Trump is expected to withdraw from the Paris Climate Agreement upon re-election and overturn various ‘Biden-style’ environmental regulations such as oil pipeline and federal land drilling permits. Since he has maintained a critical stance on electric vehicles and charging infrastructure, the sustainability of internal combustion engine vehicles is also expected to be highlighted.
However, WSJ reported that major oil companies such as ExxonMobil and Chevron are reluctant to officially endorse any presidential candidate. ExxonMobil and Chevron are companies investing in carbon capture and storage (CCS), which could be a future growth engine. CCS refers to the technology of capturing carbon from carbon-emitting facilities, transporting it by ship or pipeline, and storing it in facilities under the seabed, and it is considered a new growth engine for fossil fuel companies in the eco-friendly era.
Since the Inflation Reduction Act (IRA), implemented under the Biden administration, includes provisions for subsidies related to CCS projects, it appears that these companies have judged that officially endorsing one side would not be advantageous.
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