00:01:08.980I had dinner the other night with some oil executives.
00:01:12.000And they were frustrated a little bit because the price of oil has come down.
00:01:15.720And one of the people at the table was also White House.
00:01:19.020And they said, what you don't understand is that our energy independence policy is also a national security policy.
00:01:26.100Because when you take away the money that is to the leadership in Iran, to Vladimir Putin in Russia, Venezuela is another example of this, right?
00:01:36.360Then the money that they need to survive and to hold on to power and to pay their forces to keep them in power and to go after their citizens just completely disappears.
00:01:48.740That is part of, I think, what Donald Trump, and it was very interesting to hear this kind of back and forth.
00:01:53.640It was like, hey, I'm sorry that the price per barrel is not where you want it.
00:01:57.460But it's helping American families to lower gas prices.
00:02:00.400And it's a national security thing for us as well.
00:02:03.040And it's allowing some of these horrible people in the world to start teetering a little bit because they don't have the cash flow they had two, three, four years ago under Democratic leadership.
00:02:14.880There's also a balance that President Trump and the Trump administration are trying to strike, which is we've seen the price of oil drop dramatically from $100 a barrel to down just around $60 a barrel, a little bit lower.
00:02:26.960That has weakened almost every bad guy in the world that has weakened Russia, that has weakened Iran, that has weakened Venezuela and Maduro because it is, I guess, God has a sense of humor in that many of the worst players on planet Earth depend upon oil revenues.
00:02:57.380Look, there is a balance because from a U.S. national security interest, look, oil and gas and energy are powerful weapons against our enemies and to buttress America.
00:03:08.860But you don't want to slash the price of oil so dramatically that you devastate U.S. producers.
00:03:16.220And as you know, I talk to, I represent Texas.
00:03:20.320And I will say, at down around $60, $70 a barrel, you see what we've got now, which is gas prices at about $2, $3 a gallon, depending on what part of the country you're in.
00:03:31.880Now, if you're in California, there's still $4 or $5 a gallon.
00:03:34.760But that's on you for living in California, voting for those nut jobs.
00:03:37.920But yeah, that's Gavin Newsom and the Democrats' fault.
00:03:40.280But here in Texas, you fill up your tank.
00:03:42.680It's, you know, somewhere between $2 and $3 typically is what you're paying right now.
00:03:47.060I think that's a sweet spot is $60 to $70 where it lowers.
00:03:51.440Of course, under Biden, when we had $100 oil, you were seeing $4, $5, $6, $7 a gallon of gasoline.
00:04:40.060But what happens, if we see $40 oil, you'll see bankruptcies throughout the Permian Basin of the small producers.
00:04:49.900And when those guys go away, those are the guys driving production.
00:04:53.980And what it does is it weakens America's ability to produce oil and makes us more dependent on foreign adversaries.
00:05:01.760So I think what President Trump and the administration is trying to do is stay in a sweet spot where oil is low enough that our enemies are weakened, but not so low that we're devastating U.S. small businesses.
00:05:13.900And I think they're doing a pretty good job of trying to balance those two factors.
00:05:18.720Well, I was talking to some small refineries, and that was exactly their concern, Senator, was, hey, these small refineries that keep these small towns going, that employ a lot of people, they want to make sure that they're OK as well.
00:05:30.580And like you said, that's where this administration kind of has to weigh both ends of this, because you don't want to hurt mom and pops.
00:05:37.060You don't want to hurt the small ones.
00:05:38.280Like you said, the big ones will be OK.
00:05:40.260But these small refineries that literally power these small towns where they are, you don't want them to get hurt either.
00:05:48.060And look, in the last several weeks, with everything happening in Iran, everything happening in Venezuela, I've been reaching out to energy leaders, primarily in Texas.
00:05:55.260So I've had conversations with the CEO of Chevron and the CEO of Valero, the biggest refiner in America.
00:06:02.240And I've had conversations with a number of smaller E&P, exploration and production independents in West Texas.
00:06:11.520And they've expressed optimism, number one, in terms of Venezuela.
00:06:17.120Venezuela, as we've talked about, has the highest proven reserves of oil in the world.
00:06:23.640But the Venezuelan infrastructure is completely collapsed.
00:06:27.260Communism is not capable of producing what they should.
00:06:31.400And so Venezuela right now is producing about a million barrels a day, which is a fraction of what their capacity is.
00:06:38.200I will say I asked one of the major CEOs, I said, OK, what would the time frame be to take Venezuela from one million barrels a day to three million barrels a day?
00:06:49.560And the response was 10 years, that it doesn't happen overnight.
00:06:55.540It would take tens of billions of dollars of investment and perhaps north of a hundred billion dollars.
00:07:01.580Now, you would recoup that, but the infrastructure has so degraded.
00:07:06.060And I said, all right, so 10 years to go from one million a day to three million a day.
00:07:50.160I've been told that the Gulf Coast refineries could almost overnight refine an additional 250,000 barrels of the heavy crude from Venezuela.
00:08:00.940Now, interestingly enough, when I've asked the refiners, OK, what would the tradeoff be?
00:08:04.560What would the impact be, say, for West Texas producers?
00:08:07.860The refiners, at least, were not that concerned about it.
00:08:10.780And they said, look, the other producers of heavy crude are Canada.
00:28:04.080Now, these data are being reported, and what is really quite interesting is the media is doing everything they can to cover it up.
00:28:15.540So Axios wrote the first story on this, and they talk about the murder rate has fallen, but they say, well, it's unclear that this has anything to do with Donald Trump or DOJ or the FBI or policies that Republicans have put in place deporting
00:28:28.960and violent criminals and murderers and gang members, which is truly, it is a level of dishonesty that is incredible.
00:28:39.040And I want to give you some of the raw backgrounds that explains why the murder rate has dropped so profoundly.
00:28:49.560Here are some raw numbers, and this was put out by FBI Director Cash Patel, of what has happened that would explain why is it that we've seen a 20 percent drop in murder rate.
00:28:58.860In the last year, we've seen an increase in violent crime arrests.
00:29:04.420What rate do you think the increase in violent crime arrests has been?
00:30:00.560There's a thirty five percent increase in espionage arrests.
00:30:05.400And four of the FBI's top ten most wanted fugitives were captured.
00:30:12.420And to give you a sense of that, in one year, do you know how many how many of the FBI's top ten list were captured in the four years of the Biden presidency?
00:30:21.560I'm going to guess it's less than five.
00:30:25.380So in one year, they captured as many on the top ten list as Biden did in all four years.
00:30:31.800And the media want to do everything they can to say, no, no, this drop in the murder rate, it just happened magically.
00:30:39.260It's probably due to global warming or something.
00:30:41.560It has nothing to do with arresting murderers.
00:30:45.480It has nothing to do with deporting murderers.
00:30:47.920It certainly has nothing to do with MS-13 gang members being put in jail and deported, despite the fact that the way you join MS-13 is by murdering someone.