Biden tells House Dems that oil companies are to blame for high gas prices

[CousinIT]

Link to tweet

President Biden tells House Dems that oil companies are to blame for high gas prices — saying he authorized thousands of new drilling permits but they’ve gone unused bc companies want to use profits to buy shares.

Link to tweet

[Bettie]

1. I'm glad someone is saying it now

They are profiteering, gouging.

Because they can and because they think no one will notice.

People are noticing.

[underpants]

2. Good. The media is doing the "Aw poor oil companies" bit

[Justice matters.]

3. Of course the $440B proposal would never pass the Senate.

And Manchin would probably kill the bill.

[AllaN01Bear]

4. remember when they were begging for money in front of the tarp committie ?

gouging . huge super yachts . wonder how many of their kids are going to get braces .

[FloridaBlues]

5. Glad to hear this, hope everyone starts saying this truth over and over

And the price gouging going on with many companies. Stores are getting products, time for prices to come down. If not, out of necessity people will buy less.

[multigraincracker]

6. Investing those huge profits

in stock buy backs. Not production.

[Raven123]

7. Good messaging. Keep pounding. They have no response.

[Hoyt]

8. Probably ought to consider that some of these companies had losses in 2020

or low profits.

In any event, we’ll all be better off when oil is no longer needed for anything but lubrication.

As I understand it, the price of oil is roughly 70% the price of gasoline at pump. If oil goes up, price is going to increase. Admittedly, it does seem to fall as quickly when price goes down.

[uponit7771]

9. Nope, their net profit margins are sky high too with lower volume of fuel. This is just naked greed

[Hoyt]

10. Nope, some big ones lost money in 2020. And others made very little.

https://www.wsj.com/articles/chevron-returns-to-profit-as-oil-rebounds-from-pandemic-11619778764

Further, 130 Billion gallons of gas are used every year. Lose 50 cents to a dollar a gallon, and big losses will pile up.

[questionseverything]

14. Paywall

Can you post the part that talks about 2020 losses

[Hoyt]

18. Maybe you ought to learn how to look things up yourself. But, here's a bit of help.

Search and you'll find a bunch of sources.

Big Oil incurred record loss in 2020
Feb. 18, 2021

The downturn brought by the COVID-19 pandemic and the accelerating energy transition has created a new reality for the world’s oil and gas industry, whose production will peak lower and earlier than expected, according to Rystad Energy.


"The downturn brought by the COVID-19 pandemic and the accelerating energy transition has created a new reality for the world’s oil and gas industry, whose production will peak lower and earlier than expected, according to Rystad Energy. The five integrated supermajors – ExxonMobil, BP, Shell, Chevron, and Total – posted a combined record loss of $76 billion in 2020.

"The major chunk of this loss, $69 billion, can be attributed to asset impairments and write-offs as the supermajors re-evaluated strategy to become less dependent on petroleum. Their combined oil and gas output dropped by nearly 5%, or 900,000 boe/d, in 2020 from the year before.

"Lower emission targets and demand for cleaner energy have significantly impacted the long-term production outlook for the majors. Rystad Energy forecasts that the majors’ net production will be around 17.5 million boe/d in 2025 and peak at around 18 million boe/d in 2028, based on latest revisions. For context, internal forecast in February 2020—before shockwaves from COVID-19–stood at 19 million boe/d for 2025 and 20 million boe/d in 2028.

https://www.ogj.com/general-interest/economics-markets/article/14197855/big-oil-incurred-record-loss-in-2020

Here's another. There are plenty more, if you care to look.

"The oil majors -- BP, Chevron, ExxonMobil, Shell and Total -- suffered $77 billion in losses for the year.:

Read more at:
https://economictimes.indiatimes.com/news/international/business/oil-majors-suffer-massive-losses-in-2020/articleshow/80793362.cms?utm_source=contentofinterest&utm_medium=text&utm_campaign=cppst

___________________________

I don't have a subscription to WSJ either, but for some reason I can read the article. However, if I try to copy something, it just gives me a link. So I don't think it will help you.

https://www.wsj.com/articles/chevron-returns-to-profit-as-oil-rebounds-from-pandemic-11619778764#:~:text=Oil%20companies%20endured%20one%20of,2020%20of%20about%20%2422%20billion.

[marie999]

11. There wasn't any need for them to start new drilling before Russia invaded Ukraine.

I'm not an expert but I imagine it takes quite a while before any oil is piped out of the ground once they decide to drill. If they don't think the war will last very long and that sanctions will be removed they won't drill.

[Rebl2]

12. Sounds good

to me. Time to cut their subsidies and stop them from buying shares in any oil company.

[PatrickforB]

13. FINALLY - an Administration that speaks TRUTH to corporate power!

I like Biden more every day.

[Hekate]

15. TRUTH!

[AZLD4Candidate]

16. What? Big Oil is evil? No, I was told by Republicans that Big Teaching was

Big Oil and the police industrial complex are the good guys.

I'm shocked. . .well, not that shocked.

[TomCADem]

19. Oil Nations, Prodded by Trump, Reach Deal to Slash Production (April 2020)

The funny thing is that Biden is being blamed for the results of policy sought by Republicans, which was to slash oil production and increase oil consumption to bolster oil companies. Now, OPEC nations are pointing to these agreements regarding why they are now slowing production and jacking up oil prices in the face of the current war.

Between Trump's conspiring with Russia on the one hand and trying to slash oil production in the years to come, you would think that Republicans were in bed with Putin.

https://www.nytimes.com/2020/04/12/business/energy-environment/opec-russia-saudi-arabia-oil-coronavirus.html

HOUSTON — Oil-producing nations on Sunday agreed to the largest production cut ever negotiated, in an unprecedented coordinated effort by Russia, Saudi Arabia and the United States to stabilize oil prices and, indirectly, global financial markets.

Saudi Arabia and Russia typically take the lead in setting global production goals. But President Trump, facing a re-election campaign, a plunging economy and American oil companies struggling with collapsing prices, took the unusual step of getting involved after the two countries entered a price war a month ago. Mr. Trump had made an agreement a key priority.

It was unclear, however, whether the cuts would be enough to bolster prices. Before the coronavirus crisis, 100 million barrels of oil each day fueled global commerce, but demand is down about 35 percent. While significant, the cuts agreed to on Sunday still fall far short of what is needed to bring oil production in line with demand.

The plan by OPEC, Russia and other allied producers in a group known as OPEC Plus will slash 9.7 million barrels a day in May and June, or close to 10 percent of the world’s output.