Republican leader Kevin McCarthy chastised House Speaker Nancy Pelosi for blaming rising petrol costs in the United States on oil firms. “Who will they blame next?” said the California Republican.
“While Americans aren’t buying these explanations, they are paying for them.” During Russia’s continuing assault of Ukraine, Pelosi stated, gas firms should “increase output.” “There are 6,000 licenses out there where people and industry may drill,” Pelosi stated at a press conference on Thursday.
“They don’t need to derail our efforts to save the globe from the climate problem; if they want to drill, they can drill.” It’s either use it or lose it. Allow someone else to drill there.” McCarthy was asked if the Democrats’ claim that oil and gas firms are enabling prices to remain high despite the fact that the price of a barrel of oil has plummeted below $100 is valid.
“It simply goes to demonstrate how little they understand the sector,” he responded. “Things don’t change in an instant. You must first make the oil. You make money by selling oil. You must purify the oil before passing it through.” McCarthy told reporters that major Democrats have said they want to halt oil extraction on public lands since the 2020 election season.
“In his presidential campaign, Joe Biden stated that he would phase down crude production,” he remarked. “You then had him terminating a pipeline on his first day in office.” So you add transportation to that, and as inflation rises, if you can’t move it by pipeline, you’ve got to put it in a truck, or if you bring it from someplace else, you’ve got to put it in a tanker — it costs a lot more, you can’t get things off the port, so they hiked the price themselves.”
“So now they want to blame them,” he explained. “When you close a well, you can’t just turn it back on; it’s not like a light switch.” “Are you familiar with the market?” “You acquire a lease, and it takes 3 to 7 years to develop it, and there’s no assurance there’s oil or gas beneath it,” he explained.
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“Then oil corporations go to their banker to attempt to acquire the cash to move, but the majority committee is after the capital, not the money,” he explained. “This is the first time I’ve seen anything like that.” “American natural gas is 41% cleaner than Russian natural gas,” he claims.
“They [Democrats] designed their program to put America’s oil sector out of business and promote Russia, Iran, and Venezuela’s business.” On this issue, even some Democrats have sided with Republicans. West Virginia Democratic Senator Joe Manchin stated that the oil sector requires “signals” from the Biden Administration that it will support oil and gas exploration and production on federal and non-federal properties. He wants Biden to lift the moratorium on new drilling leases. “It is way past time for the hiatus to end – for well drillers and the administration to move forward,” added Manchin.
“So, sure, I’m urging the industry — and the owners — to spend and prioritize output above profits.” We need you to ratchet up on those current leases and permits because it is the quickest thing we can do. However, the sector need assurances from the administration that it would support oil and gas exploration and production.”
Senator Jon Tester of Montana, a Democrat, has a similar viewpoint on growing oil production in the United States. “Our greatest reaction to rising gas costs should be to increase domestic energy production from all sources and trade with our friends, not to purchase from tyrants actively attacking sovereign states,” he stated.