Oil Company Executives Defend Profits

Fascinating theory. One question: why does this all-powerful cabal ever permit the price to fall? When is the last time it really fell for any length of time?

When is the last time the major oil companies where in financial trouble and not making a good profits?

When were they like the airlines or the automobile or the thousands of small businesses they are hurting with their greed and their price-fixing practices.

There has been no shortage of product and no change in market outlook that would warrant a tripling of prices in the last five years.

I will repeat my earlier statement,if you are in favor of the increases it has added to your transportation costs, home heating/cooling, food prices etc.,then you are profiting from it in some manner.

If they wanted to build refineries they could build all they want in Mexico where they have sent most of our factories and chemical plants using cheap labor and have no environmental laws or restrictions to slow them down.

You know, you should do a little research before pontificating on matters about which you know nothing. All companies except PMEX (Mexico's state-owned oil company) are PROHIBITED from building refineries in Mexico by the Mexican constitution.

source:
http://www.eia.doe.gov/emeu/pgem/ch3b.html

Where do you think the rest of the world gets their refined oil from?

Mainly their own domestic refineries. It's very expensive to ship refined gasoline and other refined Petroleum products over long distances. That's why global trade in refined products is so low.

Since Congress killed the law the oil companies had on the books to keep oil refined in other countries out of the U.S. the Saudis have started shipping gas ready to go here.

This was a good move, though 1) there is no evidence that the US oil companies opposed it. In fact, the National Petrchecmicals and Refiners' Association (NPRA) supported it and 2) it's only cost-effective when gasoline prices are as high as they are now. It's much more cost-efficient to refine oil here than in Saudi Arabia (except for a few niche market products), because of the high shipping costs I alluded to above.

They have hundreds of refineries overseas and can build all they want and a lot cheaper than they can here.

Really? Where? We've already established that Mexico is out. Most South American countries have nationalized oil companies like Mexico and simlar restrictions. Canada? They're environmental laws are about as strict as ours.

The reason I repeat they haven' done it is they don't need or want to.

So why is the Oil Lobby trying to get Congress to lift the enviornmental restrictions? Why did the President of the National Petrochemicals & Refiners' Association make the following statement:

“Chairman Barton has proposed far-reaching legislation that seeks by various means to (1) increase U.S. refining and pipeline capacity, (2) yield additional fuel supplies, (3) foster energy conservation, (4) require the FTC both to study gasoline market behavior in the aftermath of Hurricane Katrina and review NYMEX prices and (5) expand SPR capacity.

“NPRA commends Chairman Barton’s continuing interest in obtaining additional U.S. refining capacity and increasing fuel supplies."

source:

http://www.npra.org/news/releases/detail.cfm?docid=2109

If they wanted too,with as much clout as they got and the way the courts are ruling in favor of business lately they could build one in your living room.

LOL. Okay. Sure. Whatever.

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