US Senator John Kennedy offers lifeline to drilling states, proposes no tariff on chinese barite

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U-S Senator John Kennedy, (R-LA.) says “Oil and gas is hugely important to Louisiana.” 

This makes the bayou state much more than just a sportsman’s paradise.

Senator Kennedy says Louisiana’s gross domestic product is somewhere in the neighborhood of $200 to $220 billion dollars.

“I’ve seen studies that show 1/3 of that is related directly or indirectly to oil and gas”, the senator says.

The industry is currently seeing an uptick in jobs – this follows a crash and thousands of layoffs back in 2014.

Kennedy says he’s trying to prevent that from happening again.

He says a huge increase in the cost of drilling fluid would translate into less exploration and production as well as fewer jobs. 

The senator says Chinese barite is used in drilling fluids to counteract the extreme pressures of oil and gas formations below the earth…vital in preventing well “blowouts”.

Kennedy says the U.S. produces 330,000 tons of barite every year and consumes 2.4 million tons.

Half of the two million tons we import he says comes from china. 

If the tariff is placed, he says U.S. energy producers will have no choice but to continue importing

Chinese barite, raising the cost of domestic energy production.

And speaking of production where pipelines are the industry’s lifeline, Kennedy says, “Our pipelines are very safe with technology we have sensors to detect that.   What’s behind their concerns, they want to end the world’s reliance on oil and natural gas. They want us t o use wind and solar energy and there’s not enough to meet the energy needs.”

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