(The Center Square) – The Texas energy industry is responding to increased global demand for crude oil products as the Iran conflict continues to disrupt shipments through the Strait of Hormuz.
Texas operators continue to break production records, with expanded pipeline operations bringing products to Texas’ ports for refining and export. Combined with increased demand due to the Iran conflict, the Port of Corpus Christi reported its strongest first quarter on tonnage of commodity exports on record – led by crude and liquified natural gas (LNG).
More than 54.5 million tons of commodities moved through the Corpus Christi Ship Channel in the first quarter, “marking the strongest first-quarter performance in the Port’s history,” it said.
The record surpassed a record 54 million tons in Q4 2024 and exceeded Q1 2025 exports by 3.2 million tons, or 6.1%, the port said.
The growth was largely attributed to LNG exports, which were up 1.5 million tons, a 33% increase over the year, the port said.
The port also reported record high exports in March for all commodities but “crude oil exports exceeded 2.4 million barrels per day in March 2026, one of the highest monthly levels seen in this market,” it said. Over the year, shipments of refined products and LNG increased by 11.4% and 36.8%, respectively, it said.
“The dramatically higher shipment levels seen since the start of the conflict in Iran are a testament to our customers’ ability to maximize their operations and quickly respond to changing market conditions,” Port of Corpus Christi CEO Kent Britton said. “It’s also a reflection of the significant investment made by the Port over the past decade, in excess of $1 billion, to improve and modernize our facilities to promote the safe and efficient movement of cargoes through the waterway and is further evidence of this region’s importance in the global energy supply chain.”
Midland-based Diamondback Energy also said this week it plans to drill for more oil. It estimates another 30 rigs could go live in the Permian Basin in West Texas and southeast New Mexico by the end of the year.
“It’s obviously a very serious situation with a lot of oil supply off the market,” its CEO Kaes Van’t Hof said on an investor call, MSN reported. “If that isn’t a signal to grow production in an advantaged area like the Permian Basin, then I don’t know what is.”
Both reflect shifting market conditions and the ongoing strength of Texas oil and natural gas production, Texas Railroad Commissioner Wayne Christian said.
“The conflict in Iran is a clear reminder of the world’s reliance on Texas oil and gas. When America and our allies need stability, Texas energy is answering the call. What we are seeing right now is no accident. It is the result of sustained investment in our drilling capacity and world-class export infrastructure. Simply put, Texas leads the free world in energy production because we have built the foundation to do so,” he said in an emailed statement to The Center Square.
“As prices rise at the pump here at home and abroad, the path forward is clear: further unleash Texas energy. We need to lower taxes, cut regulations, and eliminate green energy subsidies because this surge in oil and gas production should not be short-lived. Texas should remain the cornerstone of global energy supply, delivering affordable, reliable energy to Americans and our allies around the world.”
“As we move through the first half of 2026, the data confirms that Texas remains the indispensable anchor of U.S. energy security,” the Texas Oil & Gas Association said in a statement. Its latest Monthly Energy Economics Review shows that Texas production and exports “remain near record levels, reinforcing our role in stabilizing global markets during a time of geopolitical uncertainty. Texas production and export infrastructure increasingly function as a stabilizing force. Whether it is supplying the nation or supporting our global allies, Texas energy continues to lead the way through innovation and record-setting performance.”
A Texans for Natural Gas analysis of Texas again breaking production records shows methane emissions and flaring dropped by fifty percent, The Center Square reported.
As Texas continues to ramp up production, TIPRO president Ed Longanecker told The Center Square, “Texas oil and gas producers continue to deliver stable and reliable energy supplies to global markets even as the Iran conflict disrupts major producing regions. Corpus Christi LNG has achieved record export volumes in recent weeks, providing much needed liquefied natural gas to allies in Europe and Asia. These increased exports demonstrate the strength of Texas energy infrastructure and the industry’s ability to respond to international supply disruptions with higher production and expanded shipping capacity. Texas is meeting the energy needs of both domestic and international customers during this period of global uncertainty.”
