So is Louisiana at least getting something out of $100 oil?

Nothing meaningful yet. If things end quickly you likely see a surplus in supply offset any of these gains.


If things drag out all bets are off.

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Nothing meaningful yet. If things end quickly you likely see a surplus in supply offset any of these gains.

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No shot. Louisiana will see increased revenue from oil royalties, because they are generally a percentage of revenues. The state will also see an increase in income taxes from the people who are making the extra money off of the increase.

The increase in price would normally lower the number of barrels sold somewhat, but it would not be close to offsetting the increase in revenue. In fact, it would not surprise me if, in light of the extreme supply disruption, Louisiana production increased.

In any event, it will not be a bonanza, just a nice bump up.