Saudi Arabia is slashing oil supply. It could mean higher gas prices...
Monday, June 5, 2023 10:46 AM
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I remember the last time this happened was the first time in my life that we had gas prices spike past inflation-adjusted increases not seen since the Iraqi invasion of Kuwait. It also provided the financial reward necessary to make fracking and oil sands/shale oil extraction profitable. That, in turn, provided the increase in oil production infrastructure that Trump would use to turn the US into an oil-independent net exporting nation.
I was working in New Orleans manufacturing sector at that time. Oil refineries were a large part of my revenue, but nowhere near the largest. That changed around 2012 when OPEC squeezed production and the US domestic production exploded. All of the refineries were adding second and third shifts, reopening long-shuttered furnaces, and rapidly expanding existing infrastructure. Not only was this helping to contain skyrocketing oil prices, but hundreds of Americans were getting high-paying jobs with OTJ skills training, full benefits, and advancement opportunities. Even more shockingly, they were able to pull this off under the Obama administration, due in large part to a Republican controlled congress which Obama had earned through his ceaseless Communist activisim and expansion.
Eventually, OPEC would increase production and pull the rug out from underneath the US domestic production industry. Overnight, oil was too cheap and it was no longer profitable to extract using the expensive processes necessary for shale, sands, and fracking extraction. However, the infrastructure and processes were in place and these companies continued to work at refining their craft until they had a Republican president and Congress which help them to activate again and create the first net-exporting US oil industry in modern history.
Then, Joe Biden killed it on day one as part of his anti-American barrage of executive orders. No liberals are allowed to whine about gas prices. If you voted for Joe Biden, you are a liberal and it is you who gave this power to OPEC (including Russia). Remember that.
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