Opinion: Oil companies can’t just ‘drill baby drill’ at will. Here’s what it really takes to ramp up energy production.
The permit, lease and pre-production processes are complex, expensive and time-consuming
As energy prices rage, President Biden and Republicans have urged companies to increase drilling to lower oil and gasoline prices from 14-year highs.
But it’s not that simple. Even after permits are approved, building new wells, whether onshore or offshore, can take as many as five years.
In addition, energy companies planning new production consider factors including costs, future demand, oil-price forecasts and how projects fit in with operations.