Trump Tax Cut May Save Oil Explorers $10 Billion, Boost Drilling
- Shale boom spurring debate about how to keep prices high
- Lower tax rate could be tied to tradeoffs ending other breaks
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The Trump administration’s plan to slash corporate tax rates could free up more than $10 billion a year for U.S. oil explorers, opening new opportunities to boost drilling at a time of uncertainty in the marketplace.
Crude prices in New York have fallen 10 percent since the end of 2016 as added drilling in America’s shale fields offset an OPEC-led drive to raise prices by cutting production. The U.S. push has spurred concern that another price rout could be just around the corner, following a two-year decline that saw prices fall as low as $26.05 a barrel in February 2016.