The White House is reportedly weighing a controversial measure to lower gas prices ahead of midterm

They don't need subsidies, it was a once successful Lobby, that's taken a mind of its own in the republican party.
It won't decrease the price unless you believe companies sell their product for cheaper then what people are willing to pay.
Because we are currently exporting now, it means all of our demands are being met. Such a pipeline would ONLY increase the profit margins of owners, which does not translate to lower prices at the pump. The only thing that will lower prices at the pump is when we just need less of the stuff.

Oversupplying the market only leads to less production. The pipeline only lines the pockets of those who would sell the stuff overseas for market value anyway, which is obviously more than Americans are willing to pay. Thus the pipeline is irrelevant to the current situation. Russias blunder though is VERY relevant. Yet somehow MAGA still wants to blame events that arnt, like the Keystone pipeline subsidies.

 

your

Not sure why you continue to blather on about subsidies .. as does not address topic of under investment . Taking away subsidies would not help.

Can't help you further on your inability to understand that decreasing supply is not over-supplying the market .. other than to tell you that you have things backwards .. got some kind of dyslexic logic going on.

 

Decreasing supply is what the sanctions did yes.

 

Is also what decreasing investment in the sector did. the former short term .. the latter long term.

 

If you arnt talking about subsidies, what investment?

 

If that's the strategy, it's still a dumb idea. OPEC don't care if we stop exporting oil.

 

The suggestion is to stop exporting refined products, like gasoline and diesel so it can be sold at domestic markets. They have not offered much details other than they believe it would reduce prices at the pump. Prices are expected to go up due to OPEC cutting production. Maybe OPEC doesn't care, but US oil companies do, which is why this could be done to put pressure on them to produce more.

 

Sure, let's first consider US drilling on federal lands is less than 10% of ALL US drilling but

U.S. producers reluctant to drill more oil, despite sky-high gas prices

Many oil and gas executives say they have little interest in increasing oil production — even at crude's near-record prices, which make extraction very profitable for their companies.

...($100) At that price, oil companies would normally race to snap up land and drill new wells. But a sizable number of oil and gas executives are saying they won't increase production at any price, according to a survey released this week by the Federal Reserve Bank of Dallas.

"...Forty percent of respondents don't think that a price of $120 a barrel, which is very profitable from what we know about the marginal cost of shale production, is enough to increase output," said Paul Ashworth, chief North America economist for Capital Economics.


As to why they weren't drilling more, oil executives blamed Wall Street. Nearly 60% cited "investor pressure to maintain capital discipline" as the primary reason oil companies weren't drilling more despite skyrocketing prices, according to the Dallas Fed survey.

Only 11% cited environmental, social or governance issues; 8% said they had difficulty getting financing; 15% cited other reasons.


In other words, many companies are choosing to enjoy their high profits rather than increase the supply of oil.

https://www.cbsnews.com/news/oil-pr...mpanies-wont-increase-2022-dallas-fed-survey/

 

That Canadian oil from the Canadian oil company? You do know they are still getting their oil to where it's going, via existing pipeline boats and trains, just at lower profits right?



Here’s what really happened: No one shut down, canceled or shut off the Keystone Pipeline. It is fully operational, daily delivering 590,000 barrels of tar-sands oil in Canada to U.S. refineries.

What some pipeline advocates think is the “Keystone Pipeline” is a 1,700-mile “shortcut” called Keystone XL, or KXL. It would have sliced through Montana, South Dakota, Nebraska, Kansas and Oklahoma to the Texas Gulf Coast, delivering 830,000 barrels of tar sands oil per day. Many residents of those states fought fiercely against the pipeline cutting through their land.

When President Trump re-permitted KXL in 2017, his own State Department reported that it would not lower gasoline prices. The price of oil is set by the global market and certainly not by U.S. presidents. What’s more, the project was just about dead for a number of reasons, including litigation from aggrieved property owners whose land TC Energy seized by eminent domain.


The pipeline is operational and Keystone XL would not have lowered gas prices

https://kdminer.com/news/2022/jul/19/column-keystone-xl-pipeline-wont-make-gas-any-chea/#:~:text=When President Trump re-permitted,certainly not by U.S. presidents.

 

As to why they weren't drilling more, oil executives blamed Wall Street. Nearly 60% cited "investor pressure to maintain capital discipline" as the primary reason oil companies weren't drilling more despite skyrocketing prices,

Only 11% cited environmental, social or governance issues; 8% said they had difficulty getting financing; 15% cited other reasons.

https://www.cbsnews.com/news/oil-pr...mpanies-wont-increase-2022-dallas-fed-survey/


Jeff Ritenour, Chief Financial Officer at Devon Energy, an Oklahoma City-based oil and gas company, described at CERAWeek a “fundamental shift” that his business made to use profits to pay down debt, provide a reliable dividend to shareholders and buy back shares. In order to do that, the company has maintained a “low reinvestment ratio”—meaning it limits its investment in new production. Similar approaches have played out at firms across the industry and made “capital discipline” industry orthodoxy.
https://time.com/collection-post/6156525/gas-prices-oil-prices-oil-and-gas-industry/

 

You said a 40 year oil export ban was a failure? I showed the real FACTS

 

You mean the less than 10% of ALL US drilling on federal lamds? lol

Gas prices are high. Oil CEOs reveal why they're not drilling more

Fifty-nine percent of oil executives said investor pressure to maintain capital discipline is the primary reason publicly traded oil producers are restraining growth, according to a Federal Reserve Bank of Dallas survey released Wednesday.

...Today, oil companies are under enormous pressure from Wall Street to return cash to shareholders through dividends and buybacks, instead of investing in badly needed supply.

"Discipline continues to dominate the industry," an executive from an oilfield services firm told the Dallas Fed in the survey. "Shareholders and lenders continue to demand a return on capital, and until it becomes unavoidably obvious that high energy prices will sustain, there will be no exploration spending."

https://www.kmbc.com/article/gas-prices-oil-ceos-not-drilling-more/39528197#

 

OFCS.
That is a true middle schooler’s argument with an even more childish world view. Allow me to flesh it out you argument for you: “I filled my car up with gas in Canada and drove it across the border. Therefor Trump is lying about us not importing fuel”.
Your hatred for Trump has blinded you to the facts of economics.

 

It's so stupid. Our own capitalism-to-a-fault system is more to blame for high fuel prices than any politician, but misinformed voters still blame Democrats anyway.

This is no way to run a country.

 

I think what you mean is like in the 70’s when Alaskan oil was shipped to Japan, the flat earther’s howled “You are selling our oil to Japan!” If you look at a globe the distance from Alaska to Japan’s refineries in closer than US refineries. (It appears farther on a flat wall map) So due to the fungible nature of commodities like oil, it was cheaper and more efficient to export to Japan and import an equal quantity into the refineries in California.

 

OFCFS...

3.8 MILLION barrels PER FRIGGIN' DAY. That's how much we IMPORTED from Canada under Donnie Two-Scoops.

That's a little more than a tank of gas.

The proctologist will see you now...

 

Biden all but announced they were by hook or by crook putting oil and gas out of business and the country was going “Commie Green” and buying Chinese technology to get there since our EPA will run anyone in the USA off who tries to do it here. “Let China poison themselves!”
So yeah if I was an oil man I would cut investment in future oil production.
We are at $6.50 here in California, so the Green Unemployed Weenies should be celebrating.

 

June 7, 2022

Good news: We’re energy independent again. Huzzah!

Bad news: “Energy independence” has turned out to be a hollow victory.

“Energy independence” is a political slogan in search of a concrete definition, but based on context, conservatives appear to be referring to situations when the United States sells more oil and petroleum products to the rest of the world than it buys from other countries. The United States initially became a net exporter of oil and petroleum products in late 2019, while Trump was in office, for the first time since at least the 1950s..


There were a few months in late 2020 and early 2021 when that vaunted new trend reversed, and the United States again imported slightly more than we exported. But even then, total petroleum production and consumption still remained nearly even.

...And what of the reports that fossil-fuel firms ratcheted down production in the past couple of years, allegedly because Biden was waging war on them?

It’s true that earlier in the pandemic (i.e. pre-Biden), energy production declined both domestically and internationally. No surprise, given that oil prices briefly turned negative. A lot of companies went bankrupt and investors lost money. In fact, Trump helped negotiate a cut to global oil production to help stabilize plummeting prices, another fact Republicans sometimes conveniently forget.

...In fact, we’re producing about as much crude today as we did in 2019, and are not that far below the record levels of production from early 2020. In other words, in the documented history of U.S. oil production, there has been only about a year when U.S. oil producers pumped more per day than is the case right now.

So congrats, America, we’ve achieved “energy independence,” and we’re reasonably close to the highest levels of oil production in recorded history. But what good did any of this do us?

https://www.washingtonpost.com/opinions/2022/06/07/energy-independence-oil-gas-renewables/

NO PAYWALL LINK
https://archive.ph/RZWhv


OIL IS A WORLD COMMODITY MARKET, AT LEAST SINCE THE GOP GOT RID OF EXPORT BAN THAT WAS IN EFFECT FOR 40 YEARS IN 2016

 

I'm pretty sure he was considering the audience that actually thinks we were energy independent under Trump..That in itself is childish logic.

It illustrates the point most can understand, and demolishes that failed narrative.

 

Yes CONServatives can be quite illogical, I agree

 

We want them to expand production so greatly decreasing profitability will not accomplish that. It will make them pause expansion when what we really want is for them to greatly expand production. Right now refineries are running at around 98% of capacity so the only way to expand production is to invest to greatly expand total capacity. The biggest blockage to this expansion is excessive government regulations as well as fears by refineries that taking on massive new debts might be a risky move.

Allowing them to co tinge exporting means they can be sure of profitability going into the future so they can be sure investing in major expansions of refinery operations is a good bet.

 

Per my post in another section of PF. The export of domestic oil was made illegal in 1975 with the Energy Policy and Conservation Act, that was signed by President Ford. This policy was vacated with the appropriations act in 2016 signed by President Obama. The fact is that both parties in 2016 supported exporting our oil. IMHO, a shortsighted policy, that seemed to assume the conditions that lead to the Energy Policy and Conservation Act, i.e., OPEC would never reoccur.

 

That we were a net exporter under Trump is not open to debate. It is simply a fact. Thank your local fracking company because that is where the increased supply came from. It is also a fact that the idiot extremist Biden did everything, absolutely everything, he possibly could to strangle domestic energy production. It was only when house Democrats rebelled and forced him via legislation to start issuing oil and gas leases that any new leases began to be issued.

 

We've NEVER not imported oil, like today, we extract more than we use therefore export a very small percentage more. Bit it's not making US "independent" of the WORLD WIDE OIL MARKET THAT SETS PRICES, either under Trimp or Biden, at least since the GOP stopped the 40 year oil export ban in 2015!

Energy or oil "independence" is a political talking point, nothing more

 

Sure

New Data: Biden’s First Year Drilling Permitting Stomps Trump’s By 34%
https://biologicaldiversity.org/w/n...st-year-drilling-permitting-by-34-2022-01-21/