Following the Bush-Quayle victory, most royalty owners admitted
it was the presidential team they had selected, according to a
report issued by the National Association of Royalty Owners.
Many said, however, if the Democratic ticket had placed Sen.
Lloyd Bentsen D-Texas, in the presidential slot, they would have
pondered more on a decision.
Some royalty owners, however, believe Bentsen's defeat may prove
an unexpected blessing. Here's why.
Almost immediately following the election, the Organization of
Petroleum Exporting Countries, led by Saudi Arabia, threatened to
overproduce until oil prices dropped further, unless other OPEC
members adhere to production levels agreed to in prior meetings.
This threat can no longer be avoided, according to most
officials. Yet, at a meeting of the American Petroleum Institute
recently, delegates heard a leader in the U.S. House of
Representatives say it would be tough to get the government to adopt
a program that would ease such price problems, despite the
seriousness of its impact on the producing sector of the nation.
U.S. Rep. Richard Cheney, R-Wyo., said low prices had caused
most consumers and many federal officials to believe the nation
didn't face serious energy problems.
U.S. Sen. John Breaux, D-La., agreed, saying warnings from
government officials of oil producing states were being ignored
despite our drift to more and more imports at the expense of
All now agree, however, someone is needed to lead the nation
from the import dilemma.
And it seems, Bentson who remains chairman of the Senate Finance
Committee, is emerging as the key figure to solve the problem.
He was the only candidate of the four to endorse an import fee
on foreign crude.
In his current post, Bentsen will probably carry more weight
with the White House than as vice president.
Further, it was Bentson and U.S. Sen. David Boren, D-Okla, that
took the lead in the Windfall Profits Tax repeal and who have
tirelessly worked toward a national energy policy.
Given the opportunity, the report said, most insiders are now
betting Bentsen will lead the charge - and subsequently be backed by
President-elect George Bush. . .
- Now that the Organization of Petroleum Exporting Countries
has reached an agreement on crude oil production, limiting it to
18.5 million barrels a day so the price of crude can reach the
cartel's benchmark price of $18, independent producers can now
breath a sigh of relief, right? Wrong.
The Oklahoma Independent Petroleum Association is skeptical
about the agreement reached in Vienna, said Mike Coldren, executive
The association, composed of 1,100 members of independent oil
and natural gas producers in Oklahoma are still uncertain about what
the production limit really means for the future of drilling for oil
in the state.
The agreement, which is to go into effect Jan. 1, 1989, will
limit production by OPEC to 18.5 million barrels a day, or about 4
million barrels a day less than what analysts say is currently being