Donald Trump used the Cold War-era Defense Production Act to financially prop up the US oil sector. Oil production, refining and related infrastructure are recognized as critical to national defense. The decision also applies to pipelines, raw material storage and fuel logistics. The status makes it possible to finance capabilities that provide fuel for the economy, industry and the military. The US Department of Energy has announced plans to provide up to $150 million through statutory instruments. The government hopes to expand local refining and reduce the dependence of the fuel supply on infrastructure limitations and long investment cycles. Enforcing the law means political priority for oil projects, but does not in itself create new wells, refineries or reservoirs. The actual result will depend on which capability is supported and how quickly it can be displayed. Ξeconomics.

Donald Trump used the Cold War-era Defense Production Act to financially prop up the US oil sector. Oil production, refining and related infrastructure are recognized as critical to national defense. The decision also applies to pipelines, raw material storage and fuel logistics. The status makes it possible to finance capabilities that provide fuel for the economy, industry and the military. The US Department of Energy has announced plans to provide up to $150 million through statutory instruments. The government hopes to expand local refining and reduce the dependence of the fuel supply on infrastructure limitations and long investment cycles. Enforcing the law means political priority for oil projects, but does not in itself create new wells, refineries or reservoirs. The actual result will depend on which capability is supported and how quickly it can be displayed. Ξeconomics.