Republican presidential candidate and former president Donald Trump shakes hands with North Dakota Gov. Doug Burgum and Vivek Ramaswamy, left, at a campaign rally at the The Margate Resort in Laconia, NH on Monday, January 22, 2024.
Jabin Botsford | The Washington Post | Getty Images
If former President Donald Trump taps North Dakota Gov. Doug Burgum to be his running mate, the biggest beneficiary of the partnership could be someone else entirely: Harold Hamm, the billionaire founder of shale oil drilling giant Continental Resources, could end up with two powerful allies in a Trump White House.
Burgum’s ties to Hamm and the shale oil drilling giant he founded are complex. Continental is the largest oil and gas leaseholder in North Dakota, where oil and gas is biggest industry by revenue.
The two men also have a friendship outside of business: Burgum recently contributed a rave review blurb to Hamm’s new memoir. And during his 2023 state of the state address, Burgum compared Hamm favorably to President Theodore Roosevelt, describing Hamm as a person “whose grit, resilience, hard work and determination has changed North Dakota and our nation.”
But Burgum has an even more personal link to Continental: Burgum’s family leases their 200 acre farm land in Williams County to the energy giant for pumping oil and gas, according to previously unreported business records and a federal financial disclosure report.
Burgum made up to $50,000 in royalties while he was governor since late 2022 from the deal with Continental Resources, according to his financial disclosure, details of which have not been reported.
Experts told CNBC that Burgum and his family business likely made thousands more from the agreement with Continental Resources since signing a contract with the company in 2009.
This link between Burgum and Continental highlights one of the potential risks for Trump of selecting a running mate who has lived most of his adult life in private.
Burgum has never been subjected to the kind of scrutiny that someone like Sen. Marco Rubio, Fla., has undergone, and from which Rubio has emerged politically intact.
Burgum endorsed Trump in January, a month after he dropped out of the Republican primary for president. Since then, he has become an adviser to Trump on energy policy and joined a shortlist of contenders to be the former president’s running mate.
Hamm, meanwhile, is one of Trump’s biggest supporters in the industry. Burgum, Hamm and other industry advocates were reportedly at a meeting at Trump’s private club in Florida Mar-a-Lago, where the former president called on oil and gas executives to donate $1 billion to his campaign in exchange for his plan to roll back environmental regulations.
Hamm is co-hosting an event for Trump that’s sponsored by the former president’s political action committee, Make American Great Again Inc., on May 22, according to an invitation.
Continental Resources donated $1 million to the super PAC in April, according to Federal Election Commission records. Hamm gave $614,000 to the Trump 47 Committee in March.
Burgum’s oil deal with Continental
The original agreement between the Burgum Farm Partnership and Continental Resources was signed by Bradley Burgum, the governor’s late brother, according to a land lease reviewed by CNBC.
Burgum’s spokesman Mike Nowatzki told CNBC the contract was drawn up years before the governor was sworn into office in 2017.
“North Dakota is a leading energy producer, including the No. 3 oil producing state. Tens of thousands of families and mineral owners have similar arrangements,” Nowatzki said. “As the publicly available disclosures show: The cited agreement began many years before he became governor.”
Nowatzki did not answer specific questions about the deal, Burgum’s role with the family business or his relationship with Hamm.
A spokeswoman for both Continental Resources and Hamm, its executive chairman, did not respond to a request for comment. A spokesman for the Trump campaign did not return a request for comment.
CNBC obtained Burgum’s personal financial disclosure by a request to the Federal Election Commission. His business records were acquired through the North Dakota secretary of state’s office.
Data from North Dakota’s Minerals Department shows that the locations of the oil and gas wells matches the coordinates of Burgum’s family farm on his business records. The state’s data does not identify Burgum’s address, but the section where the farm and seven of Continental Resources wells are located within a small township named Brooklyn.
All seven wells have been active since 2011, just two years after Burgum’s family signed an agreement with Continental Resources. The wells have produced over 5,000 barrels of oil and thousands of cubic feet in natural gas in March alone, according to the latest data from Drilling Edge. It’s unclear how many of the seven wells are located directly on the Burgum property.
Burgum was elected governor in 2016 and reelected to a second term in 2020. He’s not running for reelection in 2024.
The Burgum Farm Partnership LLP, which oversees the family farm land in Williams County and Cass County, is worth between $500,001 and $1 million, according to the financial disclosure.
Doug Burgum is a managing partner of the Burgum Farm Partnership, and he signed the businesses’ latest annual report in March. Burgum’s financial disclosure says the governor is a non managing member and the company is a “family investment” limited liability partnership.
The company’s annual report that was filed to the secretary of state’s office in April lists Burgum, his late brothers’ children, his sister Barbara and his own three adult children as managing partners of the family business.
The oil and gas land deal says Continental Resources provides the Burgum Farm Partnership 19% of the proceeds from the sales of oil and gas Continental sold after it was pumped from the Burgum property, according to the contract and experts who reviewed the records.
“The Burgum Farm Partnership will receive 19% of the proceeds of the sales,” said Edward Hirs, an energy fellow at the University of Houston, in an email after reviewing the contract. “The greater benefit is that the Burgum Farm Partnership does not have to invest any money to drill the wells, collect the hydrocarbons (no pipes, no tanks, no roads).”
The royalty payments arrive in monthly and quarterly installments, according to the agreement.
The sun sets behind a pumpjack during a gusty night on March 24, 2024 in Fort Stockton, Texas.
Brandon Bell | Getty Images
Experts note that land holders leasing their property to oil and gas companies can make thousands of dollars more beyond the royalties in bonuses and other payments.
“The company will usually pay the land owner a ‘bonus’ for signing the lease (usually hundreds or thousands of dollars per acre, depending on how hot the market might be),” said Jack Balagia, an adjunct professor at the University of Texas and former general counsel for Exxon Mobil.
Ryan Kellog, a professor at the University of Chicago who reviewed the contract, said the document does not disclose details of a bonus to the Burgum farm company, except to just give a low range of how much was paid.
“The up-front bonus payment is not disclosed,” Kellog said. “It’s just listed as ‘$10 and more’ where the ‘more’ is potentially significant. Bonuses are almost never disclosed in leases,” Kellog said.
The Burgum contract also says that the family business made money from Continental Resources through one initial down payment called “paid-up” on the lease, with no details provided on how much Burgum and his family saw from that part of the agreement.
“By paid-up, a lease where all cash for the term of the lease is paid upfront, and by a rental form, we mean one with a down payment and rental payments once a year after that,” said Ted Borrego, an adjunct professor at the University of Houston Law Center.
Burgum drilling contract raises questions
Government ethics experts say the new details on Burgum’s Continental lease deal underscore the fact that if Burgum were to help implement energy policy in a Trump White House — either as his vice president or in a Cabinet position — his work could personally benefit the North Dakota governor and his family.
“There are potentially significant conflict of interest concerns with respect to Mr. Burgum’s oil and gas leases if Trump were to be reelected and Burgum selected to play an administration role” in implementing Trump’s energy policies, said Virginia Canter, chief ethics counsel for watchdog Citizens for Responsibility and Ethics in Washington.
Trump has promised that one of his first acts in office, if elected, will be to implement a “drill, baby, drill” energy policy and end delays in federal drilling permits and leases for American oil and natural gas production.
“A significant conflict of interest concern would arise, for example, if implementation of these policies would affect the value of Burgum’s leased property interests, his oil and gas leases or the royalties he receives from Continental Resources,” said Canter.
North Dakota Governor Doug Burgum encourages voters to support Republican presidential candidate and former President Donald Trump during a campaign rally in the basement ballroom of The Margate Resort on January 22, 2024 in Laconia, New Hampshire.
Chip Somodevilla | Getty Images
Neither of Burgum’s two financial disclosures from his successful runs for governor reveal a land deal with Continental Resources. North Dakota only requires candidates for state office to disclose the names of businesses that do not act as their principal source of income. No other details are required to be disclosed.
Since Burgum first ran for governor in 2016, he’s disclosed to the North Dakota secretary of state’s office that he and his wife Kathryn have a financial interest in over a dozen companies, including Burgum Farm Partnership.
But those three page state records do not specify how much of a financial interest they have in these companies, nor any money they make from those businesses.
A candidate for president or Congress is required to disclose many more details, including a range of income from each of their assets during the previous 12 months.
Burgum’s federal disclosure report spans 26 pages and reveals scores of closely held LLCs, partnerships and assets. With a net worth easily in the hundreds of millions, the Continental lease forms only a small part of Burgum’s income streams.
Burgum and Trump aligned on energy
Ultimately, it may not matter to Trump whether Burgum has been fully vetted, if the governor is the person he wants on his ticket.
For Trump, Burgum represents a key ally in the oil and gas business, as the former president looks to raise money from the industry’s executives.
Dan Eberhart, who runs oil and gas drilling company Canary, said a Trump/Burgum ticket could help to accomplish this.
“Choosing Burgum would bring more industry donors to Trump’s orbit,” Eberhart said in a recent interview.
“Nominating Burgum as VP would send a strong signal to the industry that we would have an important voice in a potential Trump administration,” he added.
U.S. President Donald Trump greets Harold Hamm after he was introduced by Hamm at the Shale Insight 2019 Conference in Pittsburgh, Pennsylvania, U.S., October 23, 2019.
Leah Millis | Reuters
Government ethics watchdogs have also started to take notice of the relationship between Trump, Hamm, Burgum and others linked to the oil and gas industry.
“The fact that Mr. Burgum has an income producing, oil and gas lease arrangement with Continental Resources itself raises its own concerns, since Continental Resources’ executive chairman, Harold Hamm, recently participated with other oil and gas executives and Mr. Burgum in the Mar-a-Lago meeting Mr. Trump held last month seeking $1 billion in fundraising from those in attendance,” said Canter.
“Under these circumstances, Mr. Burgum seems to be uniquely positioned to benefit himself both financially and politically depending on what he is able to bring to the table that would serve the respective interests of Trump and Hamm,” she said.
Hamm’s company has had extensive business in North Dakota for over a decade and the state is ranked in the top three states to produce oil.
In 2022, Hamm announced Continental Resources was investing $250 million into a pipeline that spanned 2,000 miles to capture carbon dioxide and pump it underground for storage in North Dakota. Last year, Hamm donated $50 million to a North Dakota based library.
Hamm’s alliance with Burgum preceded a donation Continental Resources made to a PAC that backed the North Dakota governor when he ran for president. The company gave $250,000 to the pro-Burgum Best of America PAC in July, according to FEC filings.
Burgum’s gubernatorial campaign has regularly been backed by other executives in the oil and gas industry, according to data from the nonpartisan OpenSecrets.
Burgum’s successful campaign for governor in 2020 received over $35,000 from those in the oil and gas industry. That amount is second only to the over $1 million Burgum put into his campaign.
Seventeen state attorneys general and DC are fighting a Trump executive order that froze permits and funding for all onshore and offshore wind projects on January 20.
The coalition is asking a federal judge to declare the executive order illegal and prevent the Trump administration from obstructing wind energy development. It was filed in federal court in Massachusetts.
New York attorney general Letitia James is leading the coalition. James said, “This arbitrary and unnecessary directive threatens the loss of thousands of good-paying jobs and billions in investments, and it is delaying our transition away from the fossil fuels that harm our health and our planet.”
Federal agencies have stopped issuing permits for wind projects across the board and even pulled the plug on the fully approved Empire Wind in New York, which was already under construction. Developer Equinor, majority owned by the Norwegian government, went through a seven-year permitting process and is considering separate legal actions.
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Massachusetts attorney general Andrea Joy Campbell said that Trump’s “attempts to stop homegrown wind energy development directly contradict his claims that there is a growing need for reliable domestic energy.”
The coalition argues that the action violates the Administrative Procedure Act and other federal laws because the Trump administration, “among other things, provides no reasoned explanation for categorically and indefinitely halting all wind energy development.”
Trump’s executive order puts billions of dollars in state investments at risk, jeopardizing everything from wind industry infrastructure to supply chains and workforce training that’s already well underway.
The coalition consists of attorneys general of Arizona, California, Colorado, Connecticut, Delaware, District of Columbia, Illinois, Maine, Maryland, Massachusetts, Michigan, Minnesota, New Jersey, New York, New Mexico, Oregon, Rhode Island, and Washington.
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Professional salespeople love to talk about “the steps of the sale,” a tried-and-true process that guides every customer from curiosity to closed. But when it comes to electric cars, that old-school hustle can fall flat, leaving dealers struggling with how to fit them into their familiar playbook. But what if I told you, dear dealer, that there’s a whole category of vehicles on existing dealer lots that need to be approached in exactly the same way as an EV to score a successful sale that you’re already familiar with?
That category: Heavy-duty tow trucks. Here’s how selling one is a lot like selling the other.
That’s right, greenpeas – selling a tow-rated pickup truck to someone who’s buying it primarily to haul a trailer, boat, or RV is a delicate thing that requires salespeople (and sales managers) to approach their customers with a lot more patience and empathy, and a lot less, “what can I do to get you to drive this home, today?” And, as we go through the whys and hows, I think you’ll agree that all the heavy truck selling wisdom we’re going to cover today will help you sell more electric cars, more often, and for more money.
1. Discovery is where the deal gets done
When it comes to heavy-duty tow vehicles, most smart dealers understand that their customer probably has a better understanding of their individual needs than they do – but it’s still a good idea to go over that understanding during the discovery phase of the sale.
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Has the customer factored in the weight of the trailer and the weight of everyone and everything else inside it? What about the weight of water, tools, or animals? Do they fully understand the concepts of GVWR and GCWR, and the difference between trailer weight and tongue weight? Will they have enough range, when fully loaded, on their standard fuel tank or will they need an aux. tank? What about the future – are they thinking about upgrading their RV or hauling bigger loads longer distances?
In other words, the customer has to trust that the vehicle they’re about to buy from you will meet their needs and fit into their lives today, while also meeting their needs in the foreseeable future. That’s what it looks like in a truck, but now apply that to an EV.
Has the customer mapped out the routes they take every day to make sure they can make the drive? That might sound ridiculous to you and me, but what if they’re depending on a single DC fast charger out on a rural stretch of highway to get the EV to meet their needs? What if they think 200 miles of range is 200 miles of range, but they like to drive 80+ mph (on Chicago’s I-290, that’s a minimum safe travel speed), do they understand that speed impacts range as much as weather?
Tools like Chargeway are great for helping dealers explain EV charging speeds, the impacts of speed and topography on range, and – especially in this era of NACS adapters – where buyers of used or off-lease EVs can charge up and get back on the road.
In either case, the salespeople who take the time in discovery to understand their customers’ needs and become consultative partners will make a sale, the ones who rush through the process won’t, and the ones who sell their customers the wrong thing will make a problem (if not an expensive lawsuit) for the dealership.
2. Options really do matter
When you’re selling a conventional ICE-powered crossover to a typical suburbanite, moving your customer up or down a trim level doesn’t typically impact their use case. Sure, they might have to keep their foot planted a little longer to get up to highway speeds or learn to live with cloth when they really wanted leather or vinylvegan leather, but they’ll still be able to get five-to-seven adults from point A to point B with the same general effectiveness.
That’s not true when it comes to trucks that are going to get put to work. There, the difference between one axle ration and another can have a huge impact on driver comfort, towing capabilities, and fuel economy – and going from a one-ton truck that’s just outside the customer’s budget to a half-ton that you happen to have on the lot could get someone seriously hurt or killed.
It may be tempting to switch the customer to a vehicle you have on the lot (especially if that vehicle happens to be an aged unit with a fat spiff on it), but the long-term pain isn’t worth the short-term gain on this one.
3. Information is your friend
This might feel like a duplicate of the discovery phase, but think of it as a member of the “measure twice, cut once” advice genre. That is to say that, sure – the customer thinks that new 5th wheel RV they have on order weighs 11,000 lbs., but does it? Did they add any options of features (see no. 2) that make it heavier? Get the information from the RV manufacturer or dealer and confirm as much as you can. That extra work will help keep your customer safe and build trust.
Similarly, you’ll want to verify your assumptions when it comes to EVs. Is that once-a-month 300 mile drive really 300 miles, or is it 330? Is there more than one charging option available on their preferred route? Is the customer able to make their trip without changing the way your they drive? Are they willing to change up where they stop, or for how long?
When it comes to EVs, especially used ones that came onto your lot as part of a trade deal that you may not be intimately familiar with, I cannot stress how much route planning apps like Chargeway or A Better Route Planner can help salespeople answer questions about electric vehicles confidently and correctly, generate trust, and drive referrals.
4. Aftersales support is critical
Successful salespeople follow up – not just with prospects who are still shopping, but with customers who have already bought. And, just as RVers know other RVers, RV salespeople who get positive feedback about a local dealer who takes the time to make sure their customers get the right truck know RV customers who might need a right truck of their own.
Yes, those RV salespeople might expect a $100 bird dog bonus to send their customers your way, but the money on its own isn’t enough. They have to know they can trust you with their customers, and you build that trust in steps 1-3, above.
The reason BMW is consistently pulling ahead? It seems to come down to education. “First-time EV buyers are receiving minimal education or training,” explains Brent Gruber, executive director of the EV practice at J.D. Power. “Dealer and manufacturer representatives play the crucial role of front-line educators, but when it comes to EVs, the specific education needed to shorten the learning curve just isn’t happening often enough. The shortfall in buyer education is something we’re seeing with all brands.”
And, if you’re still not quite convinced that you need to learn how to sell EVs to be successful on the sales floor, think again.
Overall, 94% of BEV owners are likely to consider purchasing another BEV for their next vehicle, a rate that is also matched by first-time buyers. Manufacturers should take note of the strong consumer commitment to EVs as the high rate of repurchase intent offers the ability to generate brand loyal customers if the experience is a positive one. In fact, during the past several years, the BEV repurchase intent percentage has fluctuated very little, ranging between 94-97%. This year’s study also finds that only 12% of BEV owners are likely to consider replacing their EV with an internal combustion engine (ICE)-powered vehicle during their next purchase.
Listen to an EV convert who has desked an awful lot of car deals, greenpeas – if you treat every EV customer the same way that crusty old fleet rep treats his truck buyers, you’re going to sell a whole lot of EVs. And, if you’re a brave enough little toaster to follow up and ask for that referral, you’ll find that EV buyers know other EV buyers.
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There’s no exact way to track Tesla’s inventory in the US, but there are ways to track Tesla’s Cybertruck listings. Sometimes, Tesla may have many vehicles with the exact same configuration at the same location and it will only publish a single listing for it.
Therefore, Tesla might have been sitting on more Cybertruck inventory.
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A month later, the number of listings in the US has skyrocketed to over 10,000 Cybertrucks, according to Tesla-Info.com:
This surge could be due to an actual net increase in Cybertruck inventory, but Tesla is also heavily discounting the trucks at varying rates, creating several different prices and, therefore, more listings.
At an average sale price of $78,000, Tesla could have almost $800 million worth of Cybertrucks.
Due to low demand, Tesla appears to have significantly slowed down Cybertruck production in recent months. Therefore, this surge is likely more about Tesla discounting the vehicles, exposing the broader US inventory, than an actual major increase in inventory due to more production.
Many of the Cybertrucks in inventory were built in 2024, so they are already at least four months old. Tesla still has ‘Foundation Series’ Cybertrucks in inventory, which it stopped producing in October 2024—more than seven months ago.
This is about as bad as it gets. Over 10,000 units account for about two quarters of Tesla’s Cybertruck sales.
It already looks like Tesla has slowed Cybertruck production down to a crawl, but I wouldn’t be surprised if it pauses it soon. The hard part for Tesla is to admit defeat.
The Cybertruck RWD using the same battery pack as the AWD was already a sort of admission that Tesla found the vehicle program to be too small to be worth being produced with two battery pack sizes. The automaker did the same with Model S/X when the program’s volumes shrank following the launches of Model 3 and Model Y.
It looks like under the current circumstances, Tesla will have issues selling more than 20,000 Cybertrucks per year in the US despite having planned production for 250,000 units.
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