delta1 wrote:and now...for the rest of the story...
https://www.politifact.com/article/2022/jul/11/why-us-selling-stockpiled-oil-china-we-have-answer/
The Biden administration wanted to release some barrels of reserve oil to meet supply shortages that have resulted in higher gas prices...
the US has to sell excess reserve oil, by law, to the highest bidder...
The Chinese company was the highest bidder
The US does not have to sell "excess" oil by law. The US can still hold onto it. It's not like it's going to grow mold and be worthless. It was a political move from the Biden administration to pretend they are tying to fix things but it didn't pan out. Gas prices have been coming down a bit lately but not because of the release of the oil on the open market but because people are looking and preparing for the impending recession.
I agree that if you offer our oil up for sale, it's best to sell it to the highest bidder. Then what? You have to replenish the reserves. We sell it off today, and buy it back later at a higher price. Biden, in day one, stomped on the US's ability to pump our own so we'll have to buy it from someone else.
If you have "excess" food in your freezer and your family is hungry do you sell the food to the highest bidder or hold onto it and use it to feed your family along the way?
Currently the US refineries are running at nearly 100% capacity. Why can't we increase capacity? Why did we sell it off to other countries to process it (other than a political show that Biden was tying to pretend he was doing something)? Our government's energy policy doesn't make economical sense for oil companies to increase capacity or build new refineries or fire up ones that have been shuttered down during COVID. Here is one source on the topic.
https://www.instituteforenergyresearch.org/fossil-fuels/gas-and-oil/will-any-new-refineries-be-built-in-the-united-states/"No investor will finance a new refinery when its output is expected to shrink because of federal policy dictated by President Biden."Agreed, it's just one source with one point of view but Biden has been trying to rage war against fossil fuels from day one.
Who would want to play with him when his goal is to put you out of business? OPEC won't even answer the phone when Biden calls them to beg them to produce more.
If you have a problem with gas prices, heating oil prices... your first stop should be at the steps of your government not the oil companies.