Suppose a Legislation Passed by the Government Encourages Domestic Oil

Suppose a legislation passed by the government encourages domestic oil exploration thereby reducing petroleum imports substantially.If the cost of production is uniform for all producers, which of the following will be observed in the petroleum market?

A) The world price of petroleum would decline.
B) The domestic price of petroleum would decline.
C) The world price of gasoline will remain unaffected.
D) Crude oil consumption in the domestic and the world market would decrease.