BIG OIL-CONTINUED

porchwise said...

Dennis rants like he owns oil stock. It's never been about supply; it's demand and the oil execs know it and they're unconscionable when it comes to gouging the public. Last week, congress knocked off the Federal Excise tax which should have brought the price down forty cents. Didn't happen. So far, in my area, I have seen a pitiful six cent drop. What happened to the other thirty four cents?....right

I know. The oil companies are like the Debeers company. The Debeers controls the price of diamonds because they are the only one importing diamonds to the US. Since they control the flow, they control the price. Now grant it, China has suddenly become and big consumer of oil, trading in their bicycles for cars, but its OPEC that controls the flow of oil to the US and other areas. Stil, the big disruption of oil that was supposed to have occurred after the hurricanes last year wasn't as big as they thought.

As I've tried to make clear before is that "profits" are what you have after all expenses are paid, including exploration and drilling. Now the oil companies have announced billions of dollars of profit just in this first quarter. So, evidently, they are not putting the money into drilling and processing. I would dare any of them to put public their balance sheets for the quarter to see where they money is really going.