Conversation 458-007

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How are you, Mr. President?

You know your good friend, Matt?

Mr. President, how are you, sir?

Mr. President, how are you?

Mr. President, how are you, sir?

Good.

So now we're here.

Joe Postol.

Yes, sir.

Mr. President, Mr. President.

to chat with you a little bit, to tell you, because he wanted the message to come to you, and then I think you'll probably direct it to some of your other people, which has to do.

Why he believes in as few common sense words as he can, that you can't do what he thinks some of your people have led you to do.

It can be done with increased production,

in these offshore areas that you've taken over.

He's not here to complain about it.

He's not here to argue about it.

He's not here to do any of those things.

He's here to tell you what he believes the situation is with oil production onshore and offshore in Louisiana and how it's going to affect you.

His only interest is to be sure he can keep you from getting in trouble.

That's exactly true.

She said, I'm very grateful to you for giving me this appointment.

And I'd like to give you a little background so you know who you're talking to.

I did finish high school, and I was doing three years with the national circumstances, prevented from attending, and my business, I mean, my schooling.

I came back and went to the truck line.

Truck line.

I was more or less broke.

In 1952, I sold my company and retired at 47 years old.

The other night that I was told my time had come, I'd always wanted to fish and fish and fish and take drugs.

But after about four years, in other words, I was exhausted myself, looking for something to do.

So when Earl Long was elected governor, he called me and said, Mr. Peterson, if you haven't got anything to do, sir, this is a moderate job.

I said, I know you like resources.

He said, you've got to strike and stab around and crime each of those people.

I strike him.

But if the owners and traders are dissatisfied, the job is to put it over.

I wish you had a straight amount.

Well, for lack of nothing to do, I accepted that as long as I'm the King's Chamber of Risk Commissioners.

Two years later, the rest of the state lands died.

There's charge of administration of all state lands.

He called me and said, I want you to take this job.

I said, Governor, I'm satisfied with what I ran, and I can't go to both jobs.

He said, who said you couldn't go to both jobs?

I said, no.

Well, now, excuse me, but if there's no one who complains, if he can't, if nobody complains about it, there's nothing you can do.

So I was confirmed against my wishes by the Senate, and it was addressed in advance.

After that, they prevailed on me to take the chairman of the line of officials to me.

Then it prevailed on me to be chairman of the conservation department, which I've been serving my people here now.

The conservation department was created by Sam Jones in 1940.

Very simple act.

In other words, it gave us the right to charge a certain amount of $100 for drilling permits and $100 for public area.

and dress-up was based on the protection of cruelty rights and protection of waste.

In this act, it gave the Conservation Commission very broad powers to do this itself, so it did.

In 1953, when the whole production became quite a

But we came back to second, third, all producing states.

Up until that time, they never did anything allowable.

They produced what they spoke of.

But then they put in an allowable system, a percentage of the net market allowable, which means a percent of what the world can produce.

Now, the way we set allowables,

by about 15 days before we set it alight.

But we've got written nominations, and all of the uses and all of the prejudices are losing approval.

And then we have a public hearing, and it's totally dependent on the people that are representing, representatives of all of the United States as well as their families concerned.

I read the nominations and then I ask for comments.

The reason I ask for comments is because these nominations have been made about 15 days prior to this hearing.

If there are any changes made, they're made before.

After we get these nominations, then we try to figure out what depth right of the line will produce that much oil.

We set what I call figures to verify.

Articulated figures to show you that I had set those numbers two or three percent above what the nominations were every month.

And of course, some months you don't forget it.

But other months, these figures will verify that we produced a million and a half, or two million barrels of oil per month, and sometimes three million barrels of oil per month.

More than the nominations call for what they need.

Louisiana gets about 50% of their resources from selling sacks, bonuses, and from our oil loggings on state lands and beyond.

Most of those funds are dedication funds.

And when I hear these reports that we're holding back oil down there,

to maintain the price.

It's just ridiculous to me.

But we have to produce that, Mr. President.

Just keep that said, I'm with you.

I have some figures here that I would like to show you.

I have a part of these figures.

You want your sugar in your head or your feet?

This was back in January 1969.

In other words, the nomination for $1,887,000.

I said the nomination is $1,977,000.

But even though $7,000 is $18,000 less

the nomination.

That's what the nomination is, the same thing.

And we produced 66,820 hours, more than what was nominated.

Now, of course, Mr. Higgins, can I interrupt you a minute and tell the president what the

What do you consider, what nominations exactly are?

In other words, when I say 40%, that's 40% of what the well is capable of producing.

100%.

So it's 40% of what the well is capable of producing.

Now back here, this may have been something that started to go, that was a breakdown of something.

June 15,000.

August 18,000.

And then it comes to all of us.

That's when we had the hurricane.

We were used to $161,000 less than a couple of times.

But I have a lot of glory for an act of God that I can give them and make them a home there.

I give them a six-month make-up on wells that are capable of different levels.

If they can't produce it, I can't do it to them.

If they can't make this up in six months, I give them 12 months.

Then they come down here and stay for 3,000 pounds.

Here comes another hurricane.

We'll stay for 3,000 pounds.

The Joe government, 78,000 pounds.

The December, 1,092 pounds.

Then it comes February, we'll miss the $16,000.

It comes February, I miss the $71,000.

I miss the $113,000.

But I'll make it up over a period of time.

From here, from the U.S., it gets shut down out there to check the wills.

We'll be using $57,000, $49,000, $59,000, and $62,000.

Then we'll get back to normal.

Here's where the Middle East situation came in.

We were producing 27,000 barrels above the nomination.

I was called to Washington, and I met with 11 computer-borne officials, including Dr. Ladd and Dr. Corwin, and they told me what was happening and what we needed, and they were afraid we were going to have a clear-hole shortage as far as we were concerned.

I went back, raised the nomination, took 56%, got that to 66%, I produced 51,719 pounds.

Went to 68%, I produced 92,000 pounds for the nomination.

Went to 75%, I produced 104,000 pounds for the nomination.

75,123,000 barrels of low ventilation.

75,130,000 barrels.

Mr. President, that's 4 million barrels a month of low ventilation.

Now we come over to this side of the kitchen.

This is really sad.

This is...

for a lot of them, thousands of them.

In November of 1970, I set the alarm at 79 percent.

We've produced 2,219,215 pounds.

This does not include Zone 4.

I come to Delaware with the same amount of agents, only to produce 2,108,000 pounds.

I come to Monash, and this is a projected figure.

I come up to 212,000 pounds.

My projection is that since I've had 75% of November, December, January, that word of March, my production on the same wells, the same oil, has dropped 206,000 barrels per day.

Mr. Pete, I'm going to interrupt you again.

You gave me very specific information.

This will mean something to me.

You told me what they told you when they take over the team, how much additional oil they hope to be able to buy.

They are operating with the oil production.

I didn't notice that.

Yes, Joe.

Mr. President, the talent reduction is not going down this pace.

But I properly understand.

We are overproducing these vessels.

They are combing in the water, and they're standing up.

And, otherwise, we can't keep on going with this big, this large reproduction.

And we can go back and rework them, which we will do.

And we will bring them some of this along.

But we can't produce that same big wolf because it's going to take nine years to get this back.

Otherwise, we just, it just can't be done overnight.

And I'm going to show you why it can't be done overnight.

In 1965, armies of drill, ULs, and wildcat drillers averaged 502 comets per month in Louisiana.

In 1966, they dropped to 362.

67, 343, 68, 321, 69, 229, and 1907, 267.

I dropped 500 to the 267.

That's how fast it's falling off.

Now we come down to the oil wells and fissures.

In 1965, we completed 2,924 gallons of oil wells in St. Lucie.

66, 1938,

1627, 1623, 68, 1356, 69, 10091, 1970, that's 1116.

2900 and 24, that's 1116.

That's the new locations, Wildcats and, well, there's the Grille and the Reservoir, but they do get the Wildcats and the Reservoir.

Now to come down to that, the Grilling Rates.

1965, we had 328 rigs running on Louisiana.

1966, 296.

67, 273.

68, 227.

69, 226.

1997, 191.

We had dropped from 328 to 191 rigs on Louisiana.

I know that's a good prediction.

And I wouldn't tell any people about this, except you and our governor.

Because I think one of the problems right now is that this country has given the far-reaching people too much publicist to die short, we all, and they're going to get us into crisis.

And I think that's what they think now.

PRESIDENT DONALD TRUMP, PRESIDENT OF THE UNITED STATES PRESIDENT DONALD TRUMP, PRESIDENT OF THE UNITED STATES PRESIDENT DONALD TRUMP,

I went to this one night and said, you know, I guess, I guess, a picture, a picture of him.

This, this is what you're talking about.

Another thing I wanted to discuss with you, if I could ask you quickly, was the investigation they made.

I saw figures from 150 to 250 pounds of bait.

It's a public record.

I said they would produce between 25 and 40.

Last month, they produced 27 pounds of bait.

Fifteen of them came from new production, and actually could produce 12,000 barrels from the whole warehouse.

The whole warehouse at the time.

Robert, do you work, uh, do you work the, what, the Texas?

No, sir.

I work the department of, uh, the department of care here than I do in Texas.

.

They probably do a better job than we do.

For this reason, I guess, in my eyes, they've got a computer over there.

And we have a computer in the museum, but they have never been able to give us the information off of this computer that the computer takes us to the museum.

I have the most respect for Judge Bynum.

and, uh, Lieutenant Colonel Ramsey, and, uh, uh, Blood Commissioner, by the way, I don't know what his name is.

They look most respectable.

Uh, those people are elected officials, Mr. President.

I'm appointed official.

In other words, I serve at the pleasure of the job.

And, uh, those... all these jobs I've had,

I would say there's about 2,000 folks here.

You've got some good people.

Interior, yes, sir.

You've got some good people over there.

And you've got some people that know the business.

And I think that this, under your administration and under Paul's administration, that they will tell you that no state is trying to work any closer to being more cooperative than Louisiana is.

Because I understand about the lead, I don't understand how they figured it out, what they could use in combination.

And during the far recent situation, they called me, that's about three or four years ago, when they had the process over there.

And I increased the luteinized reduction in the last 24 hours to 450 pounds per barrel per day.

I called him at 9 o'clock that morning, and I said, I'm going to go back to your office.

And I said, we can call you back in two minutes.

I couldn't change the law without a jury, but I did get a 50% bonus law.

We were operating 47% that time, and I gave him a 50% bonus, which is $20,000 a half, except that he was going to be in a hazing.

And he was reduced to the first 30 days to be $450,000, most of it he did.

Well, as I said, it's obvious that I'm aware of your first year of competence in this field.

Joe's quite an advocate.

Our people also tell me the same thing.

It is, of course, a subject, as far as the tactical side, where I'm not as aware.

Well, I understand a lot of it.

working in California, we had some understanding of the oil business there.

It is a matter however where I would like to have you, while you're here, to have a good talk with all of our people that make decisions.

We've got, of course, a member, we've got General Lincoln, as you know, in his office.

John Whitaker is the man, the White House staff, who's...

I'm not the person I'm talking to if he doesn't make a decision.

But I did write to General Whitaker.

to come up here is try to tell you and verify figures, in other words, that we had serious conditions for an all-production movie.

I'll tell you what I'd like to do.

If you can, if John Whitaker can arrange a meeting with the, so he doesn't have to run all over town with the TV.

And then the next time something comes up on this, I'd like to know what it is.

Mr. President, I can see that you understand it.

You're an honest man.

That's all I need to know.

And I'm not advocating, and I'm not representing those things.

I'm representing Louisiana.

First of all, when we were first offsetting our lands, Larry's placed $110 million on state lands.

The reason for that is that all the land we have left to lose in has been rejected two or three or four times.

But nobody will.

So in my opinion,

That makes it 2nd, 3rd, 4th, and 5th repress, make sure.

Now, I'll take a minute to see if that gives us a little information on it.

And he's up there.

All right.

But that don't mean that that land couldn't produce it.

There could be wrongs.

The only people that are going to develop that land is the will of the people.

The majors are not going to go out there.

Oh, I'm aware of that.

You've got to tell me.

Let me just go a little further.

When the decrease was cut to 27.5% and 22%.

It didn't hurt as many times.

They couldn't stand that at least once.

That's the reason I fought.

That's the reason for it.

I said at the time, if you have a vote, you're going to have a vote.

Well, I voted.

and they couldn't care less.

But anyway, they had ways to get around everything.

But those little companies, that guy that's going out there, you know, drilling a margin, a big piece of property, that could be likely to have been exploited.

Well, if every oil producing state is in the same position, and the Congress could use it somehow or another to give that little lieutenant a little bit more incentive, because he's got to sell somebody that's got some tax money to drill that damn oil station.

The oil business has taken a bad rap in the Congress's show, Chuckie.

particularly these fellows, you know, from these two states.

And frankly, I must say, some from some others as well, that they ought to make a flipping boy out of the oil business.

I mean, the oil business is all oil people, a bunch of crooks.

You know, that's why they voted that.

That's why they voted that.

I think the truth.

They were suggesting he sit in our meeting, but that's not necessary.

You, if you, whatever you tell the lawyer, I'm sure we'll get to talking.

Let me write this back to all of you.

I've been there eight years, and lots of decisions have been made with hundreds of millions of people.

It's my right to say that I have never had an altar come in to try to dissuade me or bribe me or offer me one thing.

Let me tell you, I am a leader of my people, because they said I grew up in California, and I was an officer, and also I was on that side of the issue as well.

Right, right.

Yeah.

by the day over that they would increase production 150 000 barrels a day out there the facts are now this was this is jane facts are increased 27 000 a day and 15 000 it was due production which is hard so the day increased

You're not a golfer, are you?

Do you play golf?

Well, the last time I played, I played in a carnival.

I played in a carnival.

Well, listen, if you ever play against the Bulls, you've got a president in the golf ball.

And I've got a president in the golf ball.

I appreciate you coming in.

Thank you.

You know, Whittaker and all these geologists, you know, Whittaker, I understand you're coming down, right?

The honor commons will get their crack down here.

Let's get McCracken, McCracken, and who's the man who leads it?

Teller-Bannon, I don't know.

No, I don't know.

I don't know.

Thank you.

Thank you for watching.