The energy industry is hopeful after Trump’s victory at the polls as they predict his election will increase oil and gas output and ease the red tape that has kept new projects from moving forward.
Under Obama’s administration, the energy industry saw a growth of environmental regulations hinder energy projects like pipelines. However, Trump had promised that, if elected, he would undo many of those regulations in order to progress delayed or previously rejected energy projects.
Shares of many U.S. oil companies, including Exxon and Chevron Corp, rose on Wednesday, and crude oil also gained more than one percent. Shares of pipeline companies also rose, including TransCanada who wants to reconsider the previously rejected Keystone XL project under Trump’s administration.
“This is a day of tremendous optimism for the energy industry,” said Ross Ness, head of the North Dakota Petroleum Council trade group.