BKR - Market reaction to Biden's oil and gas actions could create opportunities

Pres. Biden officially signs executive orders that prioritize climate change across all levels of government and direct the Interior Department to halt new oil and natural gas leases on public lands and waters, and launch a review of existing permits for fossil fuel development.Biden also says he will ask Congress to eliminate subsidies for fossil fuel companies.Energy companies have been selling off in recent days, particularly those with heavier federal lease exposure such as Devon Energy ([[DVN]] +2.7%), EOG Resources ([[EOG]] +2.7%) and ConocoPhillips ([[COP]] -1.8%).But as RBC Capital points out, Biden's moves will force a brake on U.S. production growth in a way that could raise global oil prices by $5/bbl over time, which eventually could benefit energy majors with a large international presence such as Exxon Mobil ([[XOM]] -0.7%) and Chevron ([[CVX]] -0.6%).Some of the companies affected are "babies thrown out with the bath water," including oilfield services companies Schlumberger ([[SLB]]

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Market reaction to Biden's oil and gas actions could create opportunities