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The Manhattan Institute’s Mark Mills breaks down the possible growth of the oil industry in California.
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-- it -- story Blockbuster California's solution to its massive debt problem could be right under California feet.
The formerly Golden State is home to largely untapped oil resources northeast and California.
They rival Saudi Arabia's.
If tax could bring the state of trillion box that's according to our next guest he has -- -- he is a senior fellow from the Manhattan institute.
Mark I've a got a couple questions in the first of all how much oil all week talking about and how do we get it goes.
Well we're sort we're talking a lot of oil on the California's oil fields are bigger than what everybody's been writing about -- not.
In that in and North Dakota on the so called Bakken -- fields and are bigger than not Texas saw oil sales.
Way we get it is -- modern art Smart drilling technologies in the technology has changed -- oil.
That is turned upside down -- and -- -- higher oil -- gas business.
That's available -- been reading about this in the gas field what's been really missing from the news as the oil change.
So so -- fund up north.
West in the northeast and California there's a massive shale oil deposit write a new technology allows us to go getting all are -- talking.
A hundred billion barrels having any idea what's what's -- number.
-- -- the moderate shale field is thought to be about fifteen billion barrels which is pretty close to the entire conventional oil reserves of the United States.
You court pick up California was found at large yeah oil money many people forgotten this in Hollywood was funded by oil wealth.
And it -- in the technology that was new that was and you know not 199018991910.
Now it's new again because of it as such information technology -- drilling techniques it's fascinating but but but the obvious question is okay.
We did -- -- the oil.
I mean tens of billions of -- they'd -- it.
Will then go and get it with talking California -- with the -- other environmentalists rule roost.
I had outlook Telefonica -- interesting place that often surprises people and let the tax revolt -- -- Written for Reagan got elected I suspect with the squad in money and what California needs for money and the fact that modern technology.
It's much safer much cleaner and easier to extract -- that ever in history.
I I think that just the sheer quantity of money will cause them to eventually do the right really looked at -- market did you could have video alone hold on us economic outlook.
I think that we put California on Fantasy Island regular I think I side I don't know what to say I've read your article -- is in the Wall Street Journal yesterday.
And -- this is this what to talk about.
Did you say the Governor Brown defiant.
Two people who were in charge of drilling and running down own drilling in California and -- -- -- -- -- -- go.
I I think that's a very positive side also the Bureau of Land Management which controls -- the -- side.
That lands in the moderation -- Auctioned off and sold lot of leases to the lab there there's there's already oil production there been there for a long time.
Is the key is to step up act again more access to -- -- have the state.
-- -- I think the governor is a pragmatic -- Smart guy I think you'll recognize -- probably already does recognize.
That new technology can make this clean and safe and generate -- -- this is staggering amounts of money was talking just for the stake for having.
Tax receipts are credible have you been to California recently -- -- I hadn't seen them both Jenrette cool to recently -- -- afternoon.
Yes that's.
I have to put I've I'm not I'm not saying it's gonna happen tomorrow.
I'm I'm a believer in two things that they march of technology which is -- a soil.
And up people you know eventually like like the money this is a lot of money it's easiest place to get money without.
-- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- already gets about a billion or two a year from our oil extraction in California the California used to be the second biggest oil producer the United States but it could.
Again okay I'm gonna go -- up.
A couple of people round -- him on just just -- would be for a -- I'm gonna go around the table here.
I want I'll ask him.
What chance do you think there is that California will go after the oil but its -- big time Charles -- the same California that's the nine water to farmers because of environmentalists is I would say that between zero and zero.
-- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- Quite you know I'm I'm just north of the 5050 not -- zero.
Because reality well that's -- said and they need.
The money is the fastest access to the most money and the most jobs anywhere I'm putting new reality will eventually sentiment we took in California I'm not going to be good but I don't think I think -- Mosque that was great thank you very much indeed we'll see you again soon -- thank you -- -- appreciate it all.
