The big oil companies, partnered with OPEC and environmentalists, operate under the certain knowledge that he who controls the supply of oil and gas can forever demand increased profits.
They control supply by not drilling, not pumping, not refining, and by buying all the political and media protection they need. Profit is king.
Capital outlay and risk inherent in new wells and refineries, which in turn only increase supply and reduce prices, are anathema to big oil. They sit back, lie and mislead, and watch old oil ooze out of existing wells (long since paid for) at record prices. They will never willingly relinquish control of supply.
The only thing they fear is losing control (governmental intervention). Gas prices fell as Congress prepared to vote on whether or not to drill in ANWR. Gas prices rose again when the vote was defeated.
Makes me wonder what would happen if and when we ever actually stick a bit in the ground.
D. Hollars
Glade Spring
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