Democrats will be punished in November by not increasing domestic Oil Production (1 Viewer)

[tonysmiles]

It has reached a threshold now where the Democrats will be punished at the mid-terms in allowing the price of Gasoline to reach over 4 dollars a gallon nationally.  We have the ability to put a dent in the price of gasoline by increasing production domestically.  Instead Congress and the POTUS would rather do busines with Saudi Arabia, Iran or Venenzuela to make up for the lost crude Russia supplies us.  All 3 are a non-starter for me.  Secondly every barrel of crude we extract domesitcally has less of an environmental impact than any of the other producers I mentioned above.  We need to put the environmental impact aside for good.  Think of the world as a swimming pool and we are all consuming the same water now I cut my pollutants by 40% but India, China and Russia are still polluting at same or higher levels.  Heck what impact has the US really made.  We need to pump oil out of our ground wherever it is possible with the same regard to the environment as China India, and Russia.  In the end we will still do a more environmentally better job because we are better than those nations.

 

[timschochet]

Correction: Democrats will be punished in November because Republicans will successfully convey the false message that Democrats have not increased domestic oil production. In fact Democrats HAVE increased domestic oil production: 

https://www.nytimes.com/2021/11/01/climate/biden-oil-gas-cop26.html
 

https://www.axios.com/oil-production-surge-biden-gas-d9667728-b796-41d1-bf33-4e651b5ebf9b.html
 

https://www.washingtonpost.com/climate-environment/2022/01/27/oil-gas-leasing-biden-climate/

Unfortunately I believe these facts will be lost on the American public (the Democrats are terrible at messaging) and the Republicans will succeed in their lie. 

 

[Juxtatarot]

We have the ability to put a dent in the price of gasoline by increasing production

This was discussed yesterday in the inflation thread. If seemed that posters with different political ideologies agreed that this can’t be done in the short term in any meaningful way. What is your solution?

 

[foxco]

(the Democrats are terrible at messaging)

This is the truest statement ever. 

 

[Philo Beddoe]

A start would be to suspend gas taxes 

 

[tonysmiles]

Messaging is accurate granting more leases then increasing the environmental regulations on existing and new leases to make drilling those leases more costly a product of the Democrats Enviornmentally Green initiative and move away from fossil fuels.  There is no short term solution to flood the market with crude to lower the prices but we can remove the increased environmental restrictions placed on leases and extracting fossil fuels from the ground and in time we will be a net exporter again.  Remove the enhanced environmental regulations on the exploration and extraction of fossil fuels on US Land, Territories and Waters.

 

[tonysmiles]

Is increasing the Environmental requirements in order to drill on leases acting in Good Faith.

 

[joffer]

Chevron could also choose to make $50 billion this year instead of $100 billion

 

[Mile High]

Chevron could also choose to make $50 billion this year instead of $100 billion

There's always that but when politicians get the heat why would they?

 

[sho nuff]

It has reached a threshold now where the Democrats will be punished at the mid-terms in allowing the price of Gasoline to reach over 4 dollars a gallon nationally.  We have the ability to put a dent in the price of gasoline by increasing production domestically.  Instead Congress and the POTUS would rather do busines with Saudi Arabia, Iran or Venenzuela to make up for the lost crude Russia supplies us.  All 3 are a non-starter for me.  Secondly every barrel of crude we extract domesitcally has less of an environmental impact than any of the other producers I mentioned above.  We need to put the environmental impact aside for good.  Think of the world as a swimming pool and we are all consuming the same water now I cut my pollutants by 40% but India, China and Russia are still polluting at same or higher levels.  Heck what impact has the US really made.  We need to pump oil out of our ground wherever it is possible with the same regard to the environment as China India, and Russia.  In the end we will still do a more environmentally better job because we are better than those nations.

But we are increasing production?

https://www.eia.gov/todayinenergy/detail.php?id=51318

 

[ZADO]

But we are increasing production?

https://www.eia.gov/todayinenergy/detail.php?id=51318

Hopefully this helps 

 

[urbanhack]

Chevron could also choose to make $50 billion this year instead of $100 billion

Corporate profits, profit margins and subsidizing their industry is never up for discussion. Consumers always have to take the brunt in this system. 

 

[moleculo]

Messaging is accurate granting more leases then increasing the environmental regulations on existing and new leases to make drilling those leases more costly a product of the Democrats Enviornmentally Green initiative and move away from fossil fuels.  There is no short term solution to flood the market with crude to lower the prices but we can remove the increased environmental restrictions placed on leases and extracting fossil fuels from the ground and in time we will be a net exporter again.  Remove the enhanced environmental regulations on the exploration and extraction of fossil fuels on US Land, Territories and Waters.

I could also save on my waste disposal bill by just dumping my trash in the street.

 

[Shula-holic]

Chevron could also choose to make $50 billion this year instead of $100 billion

Why would they sell their product below market?  It's a publicly traded company, with shareholders and many retirement and pension systems as investors.  All of which are paying more for gas and living expenses themselves.  If they sold at less than market they aren't doing right by the people who entrusted their savings and retirement investments to them.

 

[lazyike]

https://thehill.com/policy/energy-environment/584671-biden-approving-oil-gas-drilling-permits-on-public-lands-at-faster
 

 

[joffer]

Why would they sell their product below market?  It's a publicly traded company, with shareholders and many retirement and pension systems as investors.  All of which are paying more for gas and living expenses themselves.  If they sold at less than market they aren't doing right by the people who entrusted their savings and retirement investments to them.

they’re price gouging because they have an excuse.

 

[Shula-holic]

they’re price gouging because they have an excuse.

Chevron in particular?  I don't think their prices are any greater than Texaco, Shell, Conoco Phillips, etc.  I also don't think they have the leverage to sell above market or volume would go elsewhere.

 

[ekbeats]

Good thread, and worthy of honest discussion.  The premise of the thread is correct, Democrats are going to suffer because of this.  The optics are not good.  Biden comes into office and on day 1 he enacts an agenda that is anything but oil friendly.  That much can't be denied.  He cancelled the Keystone Pipeline and he put a moratorium on new leases for drilling on federal properties.  Was that largely symbolic?  Probably.  But that's the danger with symbols.  When you force them into public consciousness you need to accept the consequences of it.  Biden has conveyed an agenda that is anti fossil fuels.  His goal is admirable - weaning the country and the world off of the stuff that is causing global warming.  But in my opinion he didn't think it through.  The reality is that this horrible thing we call fossil fuel is the stuff that makes the world run. Our economy, and the wealth of all Americans, is still dependent on it.  Oil production is down substantially since Biden took office.  We've heard a lot of excuses from Jen Psaki, but one of the primary jobs of Government is to foster an environment where the economy can grow.  And Biden can't shirk responsibility here. The energy situation is much worse than it was 2 years ago.  And gas prices were increasing before Russia invaded Ukraine, so quit making that excuse.  Solve the problem.  Because the fact is that I just paid $4.89 for gas in CT.  And that's all Americans care about.  It's the economy stupid.

 

[Shula-holic]

Good thread, and worthy of honest discussion.  The premise of the thread is correct, Democrats are going to suffer because of this.  The optics are not good.  Biden comes into office and on day 1 he enacts an agenda that is anything but oil friendly.  That much can't be denied.  He cancelled the Keystone Pipeline and he put a moratorium on new leases for drilling on federal properties.  Was that largely symbolic?  Probably.  But that's the danger with symbols.  When you force them into public consciousness you need to accept the consequences of it.  Biden has conveyed an agenda that is anti fossil fuels.  His goal is admirable - weaning the country and the world off of the stuff that is causing global warming.  But in my opinion he didn't think it through.  The reality is that this horrible thing we call fossil fuel is the stuff that makes the world run. Our economy, and the wealth of all Americans, is still dependent on it.  Oil production is down substantially since Biden took office.  We've heard a lot of excuses from Jen Psaki, but one of the primary jobs of Government is to foster an environment where the economy can grow.  And Biden can't shirk responsibility here. The energy situation is much worse than it was 2 years ago.  And gas prices were increasing before Russia invaded Ukraine, so quit making that excuse.  Solve the problem.  Because the fact is that I just paid $4.89 for gas in CT.  And that's all Americans care about.  It's the economy stupid.

The lease situation I never understood.  The argument was these sites weren't profitable so no production was lost.  Let's accept that at face value and 100% true.  Why then wouldn't our government continue to lease those lands out?  Every mineral lease I've ever seen, and I've seen a lot of them, has an annual minimum that must be paid whether production occurs or not.  It's the perfect thing if you are "green", you take money from the fossil fuel industry and put the money into the treasury for production that is never going to occur and pollute anyway.

 

[lazyike]

Please provide graphs or charts from government sources or other reputable data when claims are made of either decreased or increased production. Just to say something doesn’t make it so. 

 

[Redwes25]

Good thread, and worthy of honest discussion.  The premise of the thread is correct, Democrats are going to suffer because of this.  The optics are not good.  Biden comes into office and on day 1 he enacts an agenda that is anything but oil friendly.  That much can't be denied.  He cancelled the Keystone Pipeline and he put a moratorium on new leases for drilling on federal properties.  Was that largely symbolic?  Probably.  But that's the danger with symbols.  When you force them into public consciousness you need to accept the consequences of it.  Biden has conveyed an agenda that is anti fossil fuels.  His goal is admirable - weaning the country and the world off of the stuff that is causing global warming.  But in my opinion he didn't think it through.  The reality is that this horrible thing we call fossil fuel is the stuff that makes the world run. Our economy, and the wealth of all Americans, is still dependent on it.  Oil production is down substantially since Biden took office.  We've heard a lot of excuses from Jen Psaki, but one of the primary jobs of Government is to foster an environment where the economy can grow.  And Biden can't shirk responsibility here. The energy situation is much worse than it was 2 years ago.  And gas prices were increasing before Russia invaded Ukraine, so quit making that excuse.  Solve the problem.  Because the fact is that I just paid $4.89 for gas in CT.  And that's all Americans care about.  It's the economy stupid.

Is this actually true?  Production is down pre-Covid due to huge demand destruction but I thought it has been growing last year or so. I would very be surprised if production is down since he took office. 

 

[ekbeats]

Please provide graphs or charts from government sources or other reputable data when claims are made of either decreased or increased production. Just to say something doesn’t make it so. 

https://forums.footballguys.com/topic/803350-official-biden-2022-state-of-the-union-address-thread/?do=findComment&comment=23908978

There's some debate about why oil production is down.  Is it due to Biden's policies?  Or are oil companies colluding to keep the prices high?  Either way I think it falls on the Executive branch to remedy the situation.  A country's energy policy is way too important to shuffle off the blame.  And I think most Americans will concur that Biden and the Green New Deal Leftists have helped create an environment that has backfired on the USA in 2022.  Why are you putting the fate of the USA's economy in the hands of the Middle East, Russia and Venezuela?  Biden and Democrats will have to answer that question in the 2022 elections, and I'm not sure they will have a good expalanation.

 

[GregR]

Formatting fixed

Oil companies are trying to increase production. Given the price of oil, that's pretty natural since they exist to make money.

There are shortages of people and equipment. The price dropped pretty sharply around 2015 (https://www.macrotrends.net/1369/crude-oil-price-history-chart and click on the 10 year chart), and the oil industry has shed workers since. With another big drop thanks to the glut in supply from the pandemic and companies getting as lean as they could, cutting 15%, even 20% of employees in 2020. That's after a stretch where companies may have gone through 2-4 layoffs in the previous half-dozen years. That means oil companies not having people, that means companies that make equipment and supply services not having people. 

It also takes time to get new discoveries on line.  Onshore has more capability for ramping up in a quicker time frame, but things like offshore can take quite awhile, particularly for new discoveries as you have to build the facilities for them, tow them out, set them, build the pipelines back to shore, etc. Onshore you have a better chance of hooking into something existing.  

In a lot of cases companies were already ramping up thanks to expecting the price to stabilize again this year in a range that was profitable. But people weren't expecting this to happen.

Also I said this in the other thread, 90% of onshore (which is where you'd see the most immediate returns) is not on federal property.

https://www.cnn.com/2022/03/02/energy/us-oil-production/index.html

Making more US oil could net a tidy profit for producers while lowering prices at the pump for drivers. But several issues are stopping these companies from scaling up production.

Like many industries during the pandemic, oil producers are struggling with a shortage of workers. They're also having trouble sourcing some of the equipment they would need to ramp up production, including pipes and specialized sand used in fracking to extract shale oil.

"They can't find people, and can't find equipment," said Robert McNally, president of consulting firm Rapidan Energy Group. "It's not like they're available at a premium price. They're just not available."

As a result, US oil production is just under 12 million barrels a day, 8% lower than in 2019. Experts say the industry is unlikely to get back to that pre-pandemic level this year — and that the last decade's rapid increases in US oil production, typically double-digit percentages year-over-year, are probably a thing of the past.

https://www.politico.com/news/2022/03/07/oil-industry-production-hikes-russia-00014778

Exxon Mobil and Chevron are both boosting oil production at the mammoth Permian Basin field in West Texas and New Mexico, strategies that both oil majors laid out last year but that have taken on new urgency because of the surge in oil prices to their highest level in 14 years.

...

Exxon has said it expected to increase its production from the Permian by 100,000 barrels per day this year, on top of a sharp ramp up last year to 460,000 barrels per day. “We’re well on our way to that,” CEO Darren Woods told an industry conference in Houston on Monday. Chevron has also said it would increase its production there by 60,000 barrels per day this year.

https://abcnews.go.com/Politics/wireStory/gop-end-russian-oil-imports-us-boost-production-83207789

Despite the Republican criticism, drilling for oil and gas in the U.S. has actually increased since Biden took office, mainly due to increasing demand for fuel as the economy recovers from pandemic restrictions.

Natural gas production grew 2% in 2021, Biden’s first year in office, compared to the previous year, when Republican Donald Trump was in office. Exports of liquefied natural gas grew 42% in the first six months of 2021, compared to the same timeframe the year before, according to the U.S. Energy Information Administration. In late January of this year, oil production was up slightly compared to the same time a year ago.

The reasons vary. Companies cut back on drilling for oil and gas at the start of the pandemic, and many have not returned to their pre-pandemic drilling levels despite higher demand. That's partly because investors have been pressuring public companies to focus more on transitioning to renewable or cleaner energy sources. Companies that want to increase drilling for oil and gas are having a hard time finding rigs, trucks and workers.

 

[GregR]

Good thread, and worthy of honest discussion.  The premise of the thread is correct, Democrats are going to suffer because of this.  The optics are not good.  Biden comes into office and on day 1 he enacts an agenda that is anything but oil friendly.  That much can't be denied.  He cancelled the Keystone Pipeline and he put a moratorium on new leases for drilling on federal properties.  Was that largely symbolic?  Probably.  But that's the danger with symbols.  When you force them into public consciousness you need to accept the consequences of it.  Biden has conveyed an agenda that is anti fossil fuels.  His goal is admirable - weaning the country and the world off of the stuff that is causing global warming.  But in my opinion he didn't think it through.  The reality is that this horrible thing we call fossil fuel is the stuff that makes the world run. Our economy, and the wealth of all Americans, is still dependent on it.  Oil production is down substantially since Biden took office.  We've heard a lot of excuses from Jen Psaki, but one of the primary jobs of Government is to foster an environment where the economy can grow.  And Biden can't shirk responsibility here. The energy situation is much worse than it was 2 years ago.  And gas prices were increasing before Russia invaded Ukraine, so quit making that excuse.  Solve the problem.  Because the fact is that I just paid $4.89 for gas in CT.  And that's all Americans care about.  It's the economy stupid.

I think about the truest thing I've heard in the thread is the optics aren't good, and that the Republicans will try to make it look as bad as they can and will probably succeed. Though I don't think it's a fair representation.

Decreasing our reliance on oil and gas and replacing them with US-produced energy that doesn't run out, is the long term solution to the impact other nations can have on our energy usage. I think the reasoning there should be very obvious, if you produce it all yourself and don't depend on the price of markets driven by the entire world's usage, you have no reliance on others. Because if you're using oil you're affected by the world's prices. That should have been our policy before, for the good of the nation. And after this current short term situation is in the past, it should again regain focus as our long-term direction.

Biden was steering the nation in the right direction. That was solid policy unless someone had a crystal ball that Russian aggression was going to cause a world boycott of Russia and impact oil prices like this. And this is a short term deviation, it doesn't change what our long term policy should have been, and should be in the long term, going forward. Any steps now are for dealing with the short term spike.

I think it's incredibly likely Putin put his ambitions on hold for four years because he thought Trump might pull us out of NATO.  Given Trump's statements and actions in that regard, it makes sense Putin avoided stirring the pot to not decrease the chance of that happening. Once he saw Trump wasn't President and wasn't going to hurt the West's unity any longer, there was no more gain in delaying it.

I didn't see anyone else predicting this was going to happen though. And of the two parties, the GOP was the one most supportive of Putin for not just the last year but the last four years. So I think it's pretty disingenuous to lay at Biden's feet that he holds a major fault for pushing us in a wise direction. 

The worst I think that can be said is stopping the pipeline may have been short-sighted and unnecessary even while continuing in the right direction, just for not having to import as much from overseas. But even if we had that pipeline, the oil that flows through it would still get sold at largely the same prices as the rest of the world pays. They aren't going to sell it to US refineries on the Gulf Coast for $80 if they can sell it overseas for $120. That's just a false narrative. They'd save some transportation costs maybe, but that's about it.

 

[lazyike]

https://forums.footballguys.com/topic/803350-official-biden-2022-state-of-the-union-address-thread/?do=findComment&comment=23908978

There's some debate about why oil production is down.  Is it due to Biden's policies?  Or are oil companies colluding to keep the prices high?  Either way I think it falls on the Executive branch to remedy the situation.  A country's energy policy is way too important to shuffle off the blame.  And I think most Americans will concur that Biden and the Green New Deal Leftists have helped create an environment that has backfired on the USA in 2022.  Why are you putting the fate of the USA's economy in the hands of the Middle East, Russia and Venezuela?  Biden and Democrats will have to answer that question in the 2022 elections, and I'm not sure they will have a good expalanation.

I am trying to understand what actually is happening. The other day I heard a Republican claiming that it is much more difficult to get a permit to drill which prompted me to check it out and then several articles came up which said the Biden administration granted significantly more permits for oil wells than The Trump administration. Maybe the process is more difficult but since more are seeking applications because the price of oil is higher….I don’t know the answer

https://thehill.com/policy/energy-environment/584671-biden-approving-oil-gas-drilling-permits-on-public-lands-at-faster

 

[sho nuff]

https://forums.footballguys.com/topic/803350-official-biden-2022-state-of-the-union-address-thread/?do=findComment&comment=23908978

There's some debate about why oil production is down.  Is it due to Biden's policies?  Or are oil companies colluding to keep the prices high?  Either way I think it falls on the Executive branch to remedy the situation.  A country's energy policy is way too important to shuffle off the blame.  And I think most Americans will concur that Biden and the Green New Deal Leftists have helped create an environment that has backfired on the USA in 2022.  Why are you putting the fate of the USA's economy in the hands of the Middle East, Russia and Venezuela?  Biden and Democrats will have to answer that question in the 2022 elections, and I'm not sure they will have a good expalanation.

It went down in 2020...was that due to Biden's policies.  It remained down in 2021 and by nearly every account, looks to rebound back close to prepandemic this year and to record highs in 2023.

 

[dschuler]

If everyone just stays home for the next two weeks, we can flatten the gas price curve!

 

[Stealthycat]

Correction: Democrats will be punished in November because Republicans will successfully convey the false message that Democrats have not increased domestic oil production. In fact Democrats HAVE increased domestic oil production: 

https://www.nytimes.com/2021/11/01/climate/biden-oil-gas-cop26.html
 

https://www.axios.com/oil-production-surge-biden-gas-d9667728-b796-41d1-bf33-4e651b5ebf9b.html
 

https://www.washingtonpost.com/climate-environment/2022/01/27/oil-gas-leasing-biden-climate/

Unfortunately I believe these facts will be lost on the American public (the Democrats are terrible at messaging) and the Republicans will succeed in their lie. 

what kind of links are those ?

the first one I cannot log into but the header says "He Seeks More Oil Production" - SEEKS - not right now producing

the second one says 

By the numbers: EIA sees annual U.S. production averaging 12.4 million barrels per day (mbd) in 2023, slightly ahead of 2019's 12.3 mbd average, though they don't see the peak of nearly 13 mbd reached in late 2019.

the third one says something about drilling permits - I cannot open that link either ... but googling Biden and drilling permits we can see that 

https://www.npr.org/2021/07/13/1015581092/biden-promised-to-end-new-drilling-on-federal-land-but-approvals-are-up

Biden campaigned last year on pledges to end new drilling on federal lands to rein in climate-changing emissions. His pick to oversee those lands, Interior Secretary Deb Haaland, adamantly opposed drilling on federal lands while in Congress and co-sponsored the liberal Green New Deal.

But the steps taken by the administration to date on fossil fuels are more modest, including a temporary suspension on new oil and gas leases on federal lands that a judge blocked last month, blocked petroleum sales in the Arctic National Wildlife Refuge (ANWR) and cancellation of the Keystone XL oil pipeline from Canada.

chart on US oil production

https://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=MCRFPUS2&f=M

it spiked bigly under Trump ... imagine if Biden spiked it the same way in the next 3 years ?

maybe he will - but if he does, he's going to lose the environmentalist's/save the planet support .... if he doesn't, US Citizens will suffer high fuel/utilities prices

Biden should have never promised to be green - because its a lose/lose situation for him now

 

[sho nuff]

what kind of links are those ?

the first one I cannot log into but the header says "He Seeks More Oil Production" - SEEKS - not right now producing

the second one says 

the third one says something about drilling permits - I cannot open that link either ... but googling Biden and drilling permits we can see that 

https://www.npr.org/2021/07/13/1015581092/biden-promised-to-end-new-drilling-on-federal-land-but-approvals-are-up

Biden campaigned last year on pledges to end new drilling on federal lands to rein in climate-changing emissions. His pick to oversee those lands, Interior Secretary Deb Haaland, adamantly opposed drilling on federal lands while in Congress and co-sponsored the liberal Green New Deal.

But the steps taken by the administration to date on fossil fuels are more modest, including a temporary suspension on new oil and gas leases on federal lands that a judge blocked last month, blocked petroleum sales in the Arctic National Wildlife Refuge (ANWR) and cancellation of the Keystone XL oil pipeline from Canada.

chart on US oil production

https://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=MCRFPUS2&f=M

it spiked bigly under Trump ... imagine if Biden spiked it the same way in the next 3 years ?

maybe he will - but if he does, he's going to lose the environmentalist's/save the planet support .... if he doesn't, US Citizens will suffer high fuel/utilities prices

Biden should have never promised to be green - because its a lose/lose situation for him now

It also took a dive under Trump that some are trying to claim was due to Biden.  Prior to him being elected.  Of course that was due to Covid...which we are coming out of back to production levels where they were.  Seems it shows, and the predictions are showing that Biden and the Democrats are not so bad when it comes to US oil production.

And oddly enough, it increased quite often under Obama as well...which is interesting when people saw Bush as such a Texas oil guy and production was not great under him.

 

[Grace Under Pressure]

"Punished"

I see this rhetoric thrown around a lot. It's disturbing. 

Also, there's like 7 threads where this exact topic is being discussed.

Sorry for the meta post. It's probably a "me" issue. I'll disengage. 

 

[quick-hands]

Correction: Democrats will be punished in November because Republicans will successfully convey the false message that Democrats have not increased domestic oil production. In fact Democrats HAVE increased domestic oil production: 

https://www.nytimes.com/2021/11/01/climate/biden-oil-gas-cop26.html
 

https://www.axios.com/oil-production-surge-biden-gas-d9667728-b796-41d1-bf33-4e651b5ebf9b.html
 

https://www.washingtonpost.com/climate-environment/2022/01/27/oil-gas-leasing-biden-climate/

Unfortunately I believe these facts will be lost on the American public (the Democrats are terrible at messaging) and the Republicans will succeed in their lie. 

It's his job to protect our energy supplies.   This country is starving for more energy.  We need more based on now.    Not two years ago.

He has the country on a diet.    Plus the energy is cleaner when we produce it.

 

[whoknew]

Forgive me if this was covered in the other thread but Psaki said the other day that there were 9000 approved oil leases that are not being used. Is that true? If so, why do we need more leases approved?

 

[timschochet]

Forgive me if this was covered in the other thread but Psaki said the other day that there were 9000 approved oil leases that are not being used. Is that true? If so, why do we need more leases approved?

Because the Republicans want their red wave in November. This is an easy issue for them. All they have to do is point at gas prices and say “Biden should have fixed this!” The truth doesn’t matter. 

 

[Summer Wheat]

Because the Republicans want their red wave in November. This is an easy issue for them. All they have to do is point at gas prices and say “Biden should have fixed this!” The truth doesn’t matter. 

True, but the Red Waves were coming well before this.

Right or wrong this is just the icing on the cake.

 

[quick-hands]

Forgive me if this was covered in the other thread but Psaki said the other day that there were 9000 approved oil leases that are not being used. Is that true? If so, why do we need more leases approved?

They are just leases.   Could be anywhere with bad geology.   If they where good and they could get financing they would be open.   Could be they don't trust biden won't change his mind and change the rules again.

Or Tim is right.  It's the mean Republicans who won't let biden change his rules.

 

[quick-hands]

Because the Republicans want their red wave in November. This is an easy issue for them. All they have to do is point at gas prices and say “Biden should have fixed this!” The truth doesn’t matter. 

You know better.   Of course you do.

 

[timschochet]

True, but the Red Waves were coming well before this.

Right or wrong this is just the icing on the cake.

Agreed. But why is the red wave coming? Because inflation. Inflation is not the only reason, but let’s say it’s a good 70% of the reason or more. 
And with inflation it’s the same simplistic, dishonest argument as the gas hikes: “Biden should do something; this happened under his watch!” Not that I blame Republicans; if a Republican was President, Democrats would be making the exact same argument. Because it works. 

 

[Godsbrother]

I think about the truest thing I've heard in the thread is the optics aren't good, and that the Republicans will try to make it look as bad as they can and will probably succeed. Though I don't think it's a fair representation.

Decreasing our reliance on oil and gas and replacing them with US-produced energy that doesn't run out, is the long term solution to the impact other nations can have on our energy usage. I think the reasoning there should be very obvious, if you produce it all yourself and don't depend on the price of markets driven by the entire world's usage, you have no reliance on others. Because if you're using oil you're affected by the world's prices. That should have been our policy before, for the good of the nation. And after this current short term situation is in the past, it should again regain focus as our long-term direction.

Biden was steering the nation in the right direction. That was solid policy unless someone had a crystal ball that Russian aggression was going to cause a world boycott of Russia and impact oil prices like this. And this is a short term deviation, it doesn't change what our long term policy should have been, and should be in the long term, going forward. Any steps now are for dealing with the short term spike.

I think it's incredibly likely Putin put his ambitions on hold for four years because he thought Trump might pull us out of NATO.  Given Trump's statements and actions in that regard, it makes sense Putin avoided stirring the pot to not decrease the chance of that happening. Once he saw Trump wasn't President and wasn't going to hurt the West's unity any longer, there was no more gain in delaying it.

I didn't see anyone else predicting this was going to happen though. And of the two parties, the GOP was the one most supportive of Putin for not just the last year but the last four years. So I think it's pretty disingenuous to lay at Biden's feet that he holds a major fault for pushing us in a wise direction. 

The worst I think that can be said is stopping the pipeline may have been short-sighted and unnecessary even while continuing in the right direction, just for not having to import as much from overseas. But even if we had that pipeline, the oil that flows through it would still get sold at largely the same prices as the rest of the world pays. They aren't going to sell it to US refineries on the Gulf Coast for $80 if they can sell it overseas for $120. That's just a false narrative. They'd save some transportation costs maybe, but that's about it.

Good post.

The bolded has been true since I started driving in 1974 and had to deal with rationing during the oil embargo.  

 

[whoknew]

what kind of links are those ?

the first one I cannot log into but the header says "He Seeks More Oil Production" - SEEKS - not right now producing

the second one says 

the third one says something about drilling permits - I cannot open that link either ... but googling Biden and drilling permits we can see that 

https://www.npr.org/2021/07/13/1015581092/biden-promised-to-end-new-drilling-on-federal-land-but-approvals-are-up

Biden campaigned last year on pledges to end new drilling on federal lands to rein in climate-changing emissions. His pick to oversee those lands, Interior Secretary Deb Haaland, adamantly opposed drilling on federal lands while in Congress and co-sponsored the liberal Green New Deal.

But the steps taken by the administration to date on fossil fuels are more modest, including a temporary suspension on new oil and gas leases on federal lands that a judge blocked last month, blocked petroleum sales in the Arctic National Wildlife Refuge (ANWR) and cancellation of the Keystone XL oil pipeline from Canada.

chart on US oil production

https://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=PET&s=MCRFPUS2&f=M

it spiked bigly under Trump ... imagine if Biden spiked it the same way in the next 3 years ?

maybe he will - but if he does, he's going to lose the environmentalist's/save the planet support .... if he doesn't, US Citizens will suffer high fuel/utilities prices

Biden should have never promised to be green - because its a lose/lose situation for him now

Just FYI - 

Biden’s Interior Department, however, is still approving drilling permits on federal lands. More than 3,800 were authorized onshore last year, according to a Public Citizen analysis of Bureau of Land Management data. That’s down from the 5,426 permits issued in 2020, but in is line with prior years’ permitting levels.

LINK

 

[Stealthycat]

It also took a dive under Trump that some are trying to claim was due to Biden.  Prior to him being elected.  Of course that was due to Covid...which we are coming out of back to production levels where they were.  Seems it shows, and the predictions are showing that Biden and the Democrats are not so bad when it comes to US oil production.

And oddly enough, it increased quite often under Obama as well...which is interesting when people saw Bush as such a Texas oil guy and production was not great under him.

https://www.statista.com/statistics/265215/us-oil-production-in-million-metric-tons/

increased yes but 2016-2020 it really took off

Biden is between a rock and a hard place - he promised clean/green and to abandon fossil fuels - burn those promises and he'll lose votes as will Democrats. Don't burn those bridges and fuel/energy costs will lose votes for him and Democrats

as a non-Democrat and non-Biden voter, I love it .... the implosion took 12 months from what the left painted pictures of and what reality is. As a consumer and knowing so many people low income / fixed income, I hate that its like this

 

[Summer Wheat]

Agreed. But why is the red wave coming? Because inflation. Inflation is not the only reason, but let’s say it’s a good 70% of the reason or more. 
And with inflation it’s the same simplistic, dishonest argument as the gas hikes: “Biden should do something; this happened under his watch!” Not that I blame Republicans; if a Republican was President, Democrats would be making the exact same argument. Because it works. 

Probably good to switch things up every couple of years both ways.

 

[Stealthycat]

Just FYI - 

Biden’s Interior Department, however, is still approving drilling permits on federal lands. More than 3,800 were authorized onshore last year, according to a Public Citizen analysis of Bureau of Land Management data. That’s down from the 5,426 permits issued in 2020, but in is line with prior years’ permitting levels.

LINK

from your article

Biden campaigned on promises to combat climate change, accelerate renewable fuels and ban new oil and gas permitting on public lands and waters. As president, he revoked a permit for the Keystone XL pipeline ............The administration has held just one auction of drilling rights in the Gulf of Mexico, which was subsequently invalidated by a federal court, and has yet to sell new oil and gas leases.............More than 3,800 were authorized onshore last year, according to a Public Citizen analysis of Bureau of Land Management data. That’s down from the 5,426 permits issued in 2020 ......... 

Biden and this administration is scrambling right now imo

 

[Stealthycat]

Agreed. But why is the red wave coming? Because inflation. Inflation is not the only reason, but let’s say it’s a good 70% of the reason or more. 
And with inflation it’s the same simplistic, dishonest argument as the gas hikes: “Biden should do something; this happened under his watch!” Not that I blame Republicans; if a Republican was President, Democrats would be making the exact same argument. Because it works. 

you'd think a man 50 years in Govt would understand that and would have had a plan wouldn't ya ? 

 

[timschochet]

Probably good to switch things up every couple of years both ways.

It would be if we could have just a little more bipartisanship. 
But the Republicans have already told us what they’re going to do once they’re in office: hearings on Hunter Biden. Hearings about Nancy Pelosi. Possible impeachment of Joe Biden. Hearings on Black Lives Matter causing violence. Nothing about inflation, the issue that got them elected, except to hope it goes down so they can take the credit (it likely will.) 

I don’t want it. But hey I’m in the minority! 

 

[whoknew]

from your article

Biden campaigned on promises to combat climate change, accelerate renewable fuels and ban new oil and gas permitting on public lands and waters. As president, he revoked a permit for the Keystone XL pipeline ............The administration has held just one auction of drilling rights in the Gulf of Mexico, which was subsequently invalidated by a federal court, and has yet to sell new oil and gas leases.............More than 3,800 were authorized onshore last year, according to a Public Citizen analysis of Bureau of Land Management data. That’s down from the 5,426 permits issued in 2020 ......... 

Biden and this administration is scrambling right now imo

I don't understand. You literally re-posted and highlighted a part of the article that I posted - but without the rest of the sentence - i.e., "but in is line with prior years’ permitting levels."

 

[Summer Wheat]

It would be if we could have just a little more bipartisanship. 
But the Republicans have already told us what they’re going to do once they’re in office: hearings on Hunter Biden. Hearings about Nancy Pelosi. Possible impeachment of Joe Biden. Hearings on Black Lives Matter causing violence. Nothing about inflation, the issue that got them elected, except to hope it goes down so they can take the credit (it likely will.) 

I don’t want it. But hey I’m in the minority! 

Well if they did nothing wrong there is nothing to worry about.  There might be just a little smoke though....

 

[E Street Brat]

They are just leases.   Could be anywhere with bad geology.   If they where good and they could get financing they would be open.   Could be they don't trust biden won't change his mind and change the rules again.

Or Tim is right.  It's the mean Republicans who won't let biden change his rules.

The left has been putting pressure on banks and insurance companies to not due business with industries they do not like.  RSG scoring is real, and is starting to influence our everyday life.  

Remember when it was the republicans that were in bed with big business and hated the little guy. It seems that table has turned, or at least the democrats have decided to take a seat at the table as well, because lets face it. The republicans aren't going to walk away from big donations. 

Big business especially the Tech Industries are dying to be regulated by the government. Why? Because it's their lobbyists that actually write the regulations and can use that to protect themselves from new competition.  In return, if the government says "hey, maybe you shouldn't be loaning money to gun manufactures"  

I hate the "Both Sides" response, but sometimes it is the true response and up to the voters to demand better. 

One thing I'm sure of is taking oil from the strategic reserve, in todays geopolitical environment should be a non-starter. Just last week nuclear war was being discussed as a possible real thing for the fist time in 40 years.  

We should do whatever we have to in order to not buy oil from Russia, Saudi, Venezuela, or God bless us Iran. 

 

[GregR]

Here is one of the more meaningful metrics in the industry, the count of active rigs:  https://rigcount.bakerhughes.com/

The US has 650 active rigs.  That's 247 more than were active at this time last year.   Canada has 217, up by 76. 

So when we're talking about 9000 inactive leases, and having 650 active rigs, realize the amount of drilling equipment that exists compared to the amount of leases that are available to be drilled. It's very much a limiting factor in this equation.

 

[Stealthycat]

I don't understand. You literally re-posted and highlighted a part of the article that I posted - but without the rest of the sentence - i.e., "but in is line with prior years’ permitting levels."

was that article supposed to defend Biden ?   because it said "Biden campaigned on promises to combat climate change, accelerate renewable fuels and ban new oil and gas permitting on public lands and waters. As president, he revoked a permit for the Keystone XL pipeline ............The administration has held just one auction of drilling rights in the Gulf of Mexico, which was subsequently invalidated by a federal court, and has yet to sell new oil and gas leases" 

I highlighted in red to show the reduction 

https://www.foxbusiness.com/politics/energy-industry-psaki-oil-and-gas-leases-ceraweek

Energy industry representatives told FOX Business at CERAWeek Monday that the U.S. is effectively at its capacity for oil and gas production under the current regulatory framework. They said that it would take at least months or even years of investment in extraction and infrastructure to significantly increase output and potentially backfill Europe's energy needs, which are currently filled by Russia. 

But the administration needs to create the proper regulatory environment for that to happen, they said. 

Biden's administration - the anti-oil one Biden promised 

 

[Stealthycat]

Here is one of the more meaningful metrics in the industry, the count of active rigs:  https://rigcount.bakerhughes.com/

The US has 650 active rigs.  That's 247 more than were active at this time last year.   Canada has 217, up by 76. 

So when we're talking about 9000 inactive leases, and having 650 active rigs, realize the amount of drilling equipment that exists compared to the amount of leases that are available to be drilled. It's very much a limiting factor in this equation.

interesting count - of course covid impacted but here is another link to similar

https://www.statista.com/statistics/280141/oil-and-gas-wells-drilled-annually-in-the-united-states/

oil production UP with fewer drilling ... is that because of shale or other methods of extraction maybe ?