T. Boone predicts good chances for natural gas legislation

After spending nearly three years and more than $80 million of his own money to tout his energy plan, T. Boone Pickens says he finally is about to have something to show for the effort.

On April 6, a bill, known as the Natural Gas Act, which he has championed, will be introduced – again – in Congress. And this time, the billionaire oilman says the legislation has the votes the pass.

“I think we got the deal done,” Pickens told reporters after a luncheon speech at the Petroleum Club of Houston, hosted by the Society of Petroleum Evaluation Engineers and Society of Independent Professional Earth Scientists.

“I think we’ll get it through the House before the summer recess.”

The Natural Gas Act would dramatically expand the use of natural gas as a transportation fuel among heavy-duty truck fleets, including 18-wheelers and garbage trucks. Pickens sees the legislation as a key first step in broader adoption of natural gas in the transportation sector and weaning the U.S. from foreign oil.

A similar version of the bill was introduced in the two previous sessions of Congress, but didn’t find the backing needed to move it forward.

The current version, authored by Rep. John Sullivan, R-Okla.,  will be more narrowly focused, and thus have a better chance of passing, Pickens said. “We’re hunting now with a rifle, not a shotgun.”

Under what he promotes as the Pickens Plan, Pickens has urged the U.S. to break its dependence on foreign oil and achieve energy independence by using homegrown energy sources.

If the U.S. continues on its current trajectory — importing nearly 70 percent of its daily crude oil needs — the nation could send $10 trillion to other countries over the next 10 years. Pickens calls it “the greatest transfer of wealth in the history of mankind.”

5 Comments

  1. denmond

    Translation: I’m finally going to make some money on all the bets I made on natural gas.

    #1
  2. Observer

    The transfer of wealth on energy account over the past decade has been less than the transfer of wealth during the same years due U.S. negative balances on current trade account with China, Nafta, Korea, and Taiwan. The two do represent the greatest transfer of wealth in the history of mankind and as a result the U.S. has been transformed from the world’s greatest creditor to the world’s greatest debtor.

    #2
  3. Oldcheme

    $ 10.00 – 15.00 natural gas here we come. When excess natural gas is diverted to transportation, the price for all the gas consumed increases.

    So look forward to $400 HEATING bills for 2-3 month’s in South Texas. Also, natural gas based electricity will go up to $0.20 to $0.25 per KWH with gas @ 10-15/MMBTU. Air conditioning could be over $ 1,000/ month for some houses at these prices.

    #3
  4. Trixy

    Yeah just like heating Oil BA

    #4
  5. Straight Shooter

    Nah, they can expand rigs for natural gas profitably once it gets back over $5bucks. This horizontal fracing (Pioneered in Canada thank you very much) has reduced the unit costs to produce. Some of these companies, like Encana here in Canada, were planning to double capacity in 5 years but have had to cut that waaay back now that they can’t give the energy source away. It don’t make no sense not to use the stuff. Way cheaper than oil given it is not constrained (on upward slope in discovery and usage still – unlike oil which is hitting peak now basically).

    #5