Energy
Monday, November 18th, 2024 5:44 pm EDT
Key Points
- Liberty Energy’s Stock Increase: Shares of Liberty Energy rose more than 4% following the announcement that President-elect Donald Trump had selected CEO Chris Wright to serve as energy secretary.
- Leadership Changes at Liberty Energy: Wright will step down from his role as CEO and chairman of Liberty Energy upon his confirmation. Ron Gusek will replace him as CEO, and William Kimble will become the new chairman of the board.
- Wright’s Role in the Energy Sector: In addition to his leadership at Liberty Energy, Wright serves as a board member at Oklo, a nuclear startup, and will join the president-elect’s Council on National Energy. He has also expressed views against transitioning away from fossil fuels, aligning with Trump’s energy policies.
Shares of Liberty Energy rose on Monday after President-elect Donald Trump selected Chris Wright, the company’s CEO, to serve as the next energy secretary. Liberty Energy, a prominent oilfield services company based in Denver, Colorado, has a market capitalization of $2.7 billion. Following the announcement, the company’s stock saw a significant increase, rising by more than 4% by midday. As part of his new role, Wright will step down from his position as CEO and chairman of Liberty Energy once his confirmation is complete. Liberty Energy has already named Ron Gusek to succeed Wright as CEO, and William Kimble will take over as chairman of the board.
In addition to his leadership role at Liberty Energy, Wright is also involved in other ventures. He serves as a board member at Oklo, a nuclear startup that is developing small modular reactors. Oklo, backed by OpenAI CEO Sam Altman, saw its stock increase by over 20% on the same day as the announcement of Wright’s new role. Furthermore, Wright will become a board member of the president-elect’s Council on National Energy, further solidifying his influence in the energy sector.
Wright has long been known for his views on climate change, which align with Trump’s policies. He has publicly denied that climate change constitutes a global crisis and opposes efforts to transition away from fossil fuels. Under Trump’s administration, the U.S. has made significant strides in fossil fuel production, and the president-elect has expressed plans to continue expanding domestic energy output. Despite these goals, experts and major industry figures, including ExxonMobil CEO Darren Woods, have suggested that the outcome of the election will not drastically change the U.S. oil and natural gas production levels, which have made the country the world’s largest crude oil producer since 2018, surpassing Russia and Saudi Arabia.
Wright’s appointment is seen as a move to further support Trump’s energy policies, which favor increasing the production and utilization of fossil fuels, particularly oil and natural gas. His leadership experience at Liberty Energy, along with his involvement in the energy sector and skepticism toward climate change policies, positions him as a strong advocate for continued fossil fuel development. This appointment comes at a time when energy policies are a key focus in both domestic and international debates on climate change and energy sustainability. The increase in Liberty Energy’s stock reflects investor optimism about Wright’s new role and the potential for policies that could benefit the fossil fuel industry.
For the full original article on CNBC, please click here: https://www.cnbc.com/2024/11/18/liberty-energy-stock-jumps-after-trump-picks-ceo-chris-wright-as-energy-secretary.html
