Oil exec: Prices driven by 'fundamentals'(congress still ignoring the need for domestic supplies)

CNN ^ | 5/21/2008 | Steve Hargreaves

[tobyhill]

NEW YORK (CNNMoney.com) -- Amid increasing public outcry over record-shattering oil and gas prices, senators hauled company executives in to testify Wednesday to ask what's behind the recent runup.

The Senate Judiciary Committee called the hearing to explore the skyrocketing price of oil, which topped $130 a barrel earlier in the day. The committee is set to question executives from Exxon Mobil (XOM, Fortune 500), ConocoPhillips (COP, Fortune 500), Shell Oil Co. (RDSA), Chevron (CVX, Fortune 500) and BP (BP).

"Normal supply and demand says prices should be around $55 to $60 a barrel," said Sen. Patrick Leahy, D-Vt., chairman of the committee. "Prices should not skyrocket like this in a properly functioning, competitive market."

Before the hearing even began, a heckler in the crowd shouted: "Stop ripping off the American public - bring these oil prices down."

But a top executive from BP said the high prices are being driven by global forces.

"We cannot change the world market," said Robert Malone, chairman and president of BP America Inc. "Today's high prices are linked to the failure both here and abroad to increase supplies, renewables and conservation."

[kempo]

So you would rather buy from over seas than by from home. You would rather put foreigners to work instead of U.S. workers. ANWR alone would give 35,000 union paying jobs to the American workers.

[kempo]

Rex, let me put it in very simple terms so you can understand the problem we face. IT’S OUR DEPENDENTS ON FOREIGN OIL STUPID

[dmanLA]

Don’t worry. If BO gets elected he will do exactly what you want. Punish the oil companies, nationalize them and set the price at $1.99/gallon.

Now the question is do you think you’ll get ODD or EVEN days?

In all seriousness, do you think the oil price could be manipulated to get a DEM in office? Hmm.....

[Entrepreneur]

“But a top executive from BP said the high prices are being driven by global forces.”

That’s a bald faced lie. The U.S. purchases and consumes over 50% of the world’s oil. As the largest consumer we control the market and it’s time for the oil execs to stop lying about that.

Uh... maybe you should take 30 seconds to fact check your own statements. The U.S. consumes 25% of world oil.

Investor owned oil companies control 6% of reserves. Govenment owned oil companies control 94%. How are the private oil companies supposed to control prices?

[Entrepreneur]

Now that the democrats control congress they can no longer blame Republicans for the rise in prices. As a matter of fact the price was $2.19 a gallon when they took control saying they would fix the problem. Well, here we are at close to $4.00 a gallon and Nancy and Harry bitching about how all Bush wants to do is drill, drill, drill. If they continue to block domestic drilling I see $8.00 to $10.00 gas.

This is really a heck of a campaign issue that's just been handed to the GOP, but being the Stupid Party, they probably won't use it.

[Anonymous Rex]

Uh maybe you should read farther to find out I already had.

[Anonymous Rex]

I would rather develop a source that won’t run out in less than a decade.

[Entrepreneur]

Uh maybe you should read farther to find out I already had.

Fair enough. You did. I stand corrected.