Former President of the United States speaking to political opponents in Tennessee in 1836 Congressman Davy Crockett famous I told them“You're all going to hell and I'm going to Texas.”
Chevron CEO Mike Worth He didn't say that explicitly to California Gov. Gavin Newsom and other state officials this week. He approved Relocating his office and the rest of the company's headquarters from its longtime location San Ramon Given California Democrats' consistent efforts to drive the state's once-mighty oil and gas industry out of the state, no one could blame Wirth for having Crockett's blunt words in mind.
Chevron History of California Chevron's history dates back to the founding of the Pacific Oil and Gas Company in 1879. In 1900, the Pacific Oil and Gas Company was absorbed into the Standard Oil monopoly, but antitrust reforms under President Theodore Roosevelt forced the company to break up soon after. Chevron was formed in 1911 from Standard Oil of California, one of the so-called “Seven Sisters” spinoff companies.
Chevron has been involved in drill bits and Through mergers The company has grown through partnerships with oil giants such as Gulf Oil Co., Texaco, Unocal and Noble Energy, as well as its $53 billion acquisition of Houston-based Hess Corp. last October. (Related article: David Blackmon: Harris bears much of the blame as EV bloody battle continues)
in The releaseThe company said the purpose of the move is to “enable better collaboration and engagement with executives, employees and business partners.” This is evidenced by the fact that Houston has long been considered the center of the domestic oil and gas industry in the United States, and many international players maintain a strong presence in the city for similar reasons. While Chevron did not mention it in its release, a move to Texas would no doubt also make sense from a tax and regulatory perspective.
While its California presence as a drilling, producing, refining and retailer of oil and related products has waned in recent decades, the Permian Basin in west Texas and southeastern New Mexico has evolved into the epicenter of Chevron's domestic onshore operations. Houston is also much closer to the company's larger operations in the Gulf of Mexico and the Bakken Shale assets in North Dakota that it is acquiring in a deal with Hess Corp.
And Texas has a much friendlier tax and regulatory environment. interview“California has a lot of policies that raise costs, hurt consumers, discourage investment, and ultimately we believe that's not good for California's economy and consumers.” That's a polite way of putting it, to say the least. (Related: David Blackmon: Gavin Newsom's latest lie: Mandating train service that doesn't exist)
The reality is that California politicians have spent the last 30 years passing a succession of laws, regulations and orders aimed at driving oil and gas companies out of the state. The only strange thing is that Chevron held out for so long and finally got their way.
There is a lot to love about California and its people. It is a beautiful part of the world and I have had nothing but good interactions with the people there in my many visits to the state.
But there's a real reason why thousands of California residents and businesses have fled the state for Texas this century. Don't take my word for it — just ask Elon Musk.
Welcome to Texas, Mike Worth and everyone at Chevron. Our state's motto is “The Friendship State,” and you and your fellow employees are about to find out why.
David Blackmon is a Texas-based energy writer and consultant who worked in the oil and gas industry for 40 years and specializes in public policy and communications.
The views and opinions expressed in this commentary are those of the author and do not necessarily reflect the official position of the Daily Caller News Foundation.
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