Senile Biden's Oil Polices Are "Bat-Shi*t Crazy", Creating "Turmoil" In Markets: USF Geology Professor
excerpts;
By 2019, due primarily to fracking, the US became the number one producer of oil and gas in the world.
In fact, we became a net exporter of oil and gas.
Prior to Biden entering office, oil production of oil shales reached over 12 million B/D. but fell more than 1 million B/D during 2021. During this time, Russia became the world’s largest exporter of oil which helped fund their war effort in the Ukraine.
How did Biden’s policies impact the lower production of oil and gas?
Under Obama, the government came up with a dollar value called the social cost of carbon. It is supposedly an estimate by the government as to the environmental damage from everything from rising sea level to wildfires and floods from the release of one ton of carbon dioxide via fossil fuel burning. But scientists are still completely uncertain about the direct impact the burning of fossils fuels may have on the environment.
I hope this causes you to suspect the number may be related to magic.
But that never stopped the Obama administration from coming up with a solid amount of $57. Trump reduced the number to $7, but Biden revised the number to $51. The number is important because it gave the Biden administration the leverage to restrict oil and gas production based on supposed environmental and economic threats from greenhouse gasses (i.e., reduce permitting on federal lands).
As might be expected, gas-producing states fought back by challenging the social cost of carbon in court, and a judge issued an injunction preventing the administration from using the metric.
But rather than submit to the judge’s ruling, the Biden administration simply decided to stop new permits on federal lands blaming the judge for the action - sigh. But Biden has been slow-walking permitting since he became President.
He is the only President in 20 years not to have an onshore lease sale in a given year (2021).
We should not be surprised by Biden’s actions.
During his campaign he promised to end drilling on federal lands to fight climate change. As much as 25% of oil and gas production comes from federal lands.
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Ultimately, investment in the oil industry increases when roadblocks to making a return on investment are removed.
Biden’s actions have scared off many potential investors further reducing oil production. Press Secretary Jen Psaki’s oft repeated statement that 9.000 leases have been permitted is at the very least disingenuous considering the impediments to drilling the Biden administration has created.
Psaki frequently claims that the Keystone XL Pipeline has no impact on oil prices because it will take two years to complete (only one year now if they had not shut it down).
But Psaki is undermining (purposely in my opinion) the importance of the supply chain.
For example, the oil that would come through the pipeline has to be shipped by train. Recent train crashes demonstrate the danger of transporting oil via this method. And it obviously costs a lot more to ship via rail. But in a real head scratcher, Biden waved sanctions on the Nord Stream 2 pipeline from Russia to Germany. Why is this acceptable, but the XL is not? Russian oil is notoriously dirty (high sulfur content).
https://www.zerohedge.com/markets/bi...logy-professor
