How Much Is A Oil Change At Delta Sonic
Guest "Is flunking math a prerequisite for Democrat politicians?" by David Middleton
These cretins actually called the hearing, "Gouged at the Gas Station and America's Hurting at the Pump"…
Big Oil Executives Bear witness in 'Gouged at the Gas Station' Hearing in Congress
By Sabrina Escobar
Updated April 6, 2022Executives from the largest oil and gas companies testified Midweek — and got a grilling from lawmakers — at a Business firm commission hearing on their role in setting gas prices at the pump.
The hearing — "Gouged at the Gas Station: Big Oil and America's Pain at the Pump" — intends to "examine the oil industry's role in the contempo increment in gasoline prices in the Us," according to a memorandum sent past Rep. Frank Pallone, a Democratic representative from New Bailiwick of jersey.
[…]
Barrons
Later on listening to a bunch of crap from Democrat representatives, the oil manufacture executives and onetime National Security Adviser H.R. McMaster responded:
Gretchen Watkins, president of Beat United states, the U.South. subsidiary of U.One thousand.-based Shell plc (ticker: SHEL), said: "Beat out does not ready or control the cost of crude oil" or the prices that consumers pay at the pump. "Indeed, it would exist illegal for Shell to do so because most all Shell-branded retail stations in the United States are endemic past independent operators who set their own prices in the market place."
Chevron (CVX) CEO Michael Wirth said the company had committed to increasing capital spending this year by more than than sixty% from 2021, with approximately one-half of that increment going to oil and gas production.
"I likewise desire to be absolutely articulate about where Chevron stands: We do non control the market cost of crude oil or natural gas, nor of refined products similar gasoline and diesel fuel, and we have no tolerance for price gouging," Wirth said.
David Lawler, chairman and president of BP America (BP), told the commission that all simply about x% of the BP stations are independently operated, and that the college pump prices could reflect oil entering the refinery system that could have been purchased at a higher price and that's working its way through the system.
He said BP aimed to start upwardly Argos, a product platform that would increase Gulf production by 25%, and planned to spend more than than $1 billion to install infrastructure that would reduce emissions from onshore production.
Retired U.S. Ground forces Lt. General H.R. McMaster, a senior fellow at the Hoover Institution at Stanford University, said Russia has actively worked to discourage fracking, decrease American exports and go on other countries dependent on its oil and gas.
[…]
Barrons
Chevron CEO Michael Wirth also noted that nearly half of their increase in CapEx was going to renewable free energy and low carbon solutions projects, like CCS.
Wirth restated Chevron's plans to boost capital expenditure this year by l%, with nigh half going to increasing oil and gas output and half to renewable fuels and lower-carbon energy.
Reuters
I recurring theme is the mistaken notion that gasoline prices are remaining loftier, while rough oil prices are falling.
"I of the things that has confused me … and it'south making people mad, is why are gas prices all the same high?" said U.S. Representative Diana DeGette, a Democrat and chair of the subcommittee.
Reuters
The Reuters article featured this graph:
Autonomously from a couple of spikes, the delta between retail and wholesale gasoline prices has ranged from $0.75 to $ane.00/gal.
| The taxes and other fees on retail gasoline and diesel, in cents per gallon, equally of Jan 1, 2022 are: | Gasoline | Diesel | |
| Federal | 18.40 | 24.40 | |
| Boilerplate of total state taxes | 31.02 | 32.66 |
An average of $0.49/gal of that delta consists of federal and land taxes. Stated another way, ane/2 to 2/3 of the difference between wholesale and retail gasoline prices consists of taxes.
These fundamentals haven't changed.
Since the beginning of 2021, crude oil prices have actually risen significantly faster than retail gasoline prices.
Oil gradient = 0.0862
It's important to restate the fact that these oil companies own very few retail outlets. They take no control over either crude oil or retail gasoline prices, nor would they benefit from a higher wholesale-retail differential.
Democrats demand control of oil companies' cash menses
The near insane demand made past the Democrats was for the oil companies to hand over command of their cash flow to Congress…
During a hearing, Rep. Frank Pallone, a New Jersey Democrat, asked the top executives from ExxonMobil (XOM), Chevron, BP, Trounce, Pioneer Natural Resources and Devon Free energy if they would commit to "doing any it takes," including not just increasing production but reducing dividends and buybacks to lower prices for American consumers.
[…]
'The respond is no on dividends'
[…]
"We can increase product and return value to shareholders," Chevron (CVX) CEO Mike Wirth said in response. BP (BP) America CEO David Lawler said he "can't commit" to cut buybacks and dividends.
Gretchen Watkins, the president of Shell (RDSA) USA, said her company believes it tin can return value to shareholders, boost supply of oil and invest in renewables. "We will be doing all of that," Watkins said.
And Scott Sheffield, the CEO of Pioneer Natural Resources (PXD), said his company will increment production only flatly declined to dial back dividends. "The answer is no on dividends," Sheffield said.
Lawmakers fired back with strong complaints, suggesting that the executives should exist squarely focused on shareholders, particularly during the war in Ukraine.
"During this Russian war, you are ripping the American people off and it must finish," said California Democrat Rep. Raul Ruiz, who too referenced a recent Dallas Federal Reserve survey in which 59% of oil executives said investor pressure to maintain capital bailiwick is the primary reason publicly traded oil producers are restraining growth.
"Gas prices cannot keep to be dependent on the whims of autocrats similar Putin who can weaponize oil confronting u.s.a.," Ruiz said.
[…]
CNN
Is Rep. Paul Ruiz really that stupid? Speaking of stupid…
I'll repeat the actually stupid bit…
Kernen: Were you one of the 26 House Democrats who voted for the bill final year to outlaw fracking likewise every bit oil and gas production?
Representative Schakowsky: Look, the question is are the, has these, what are the oil companies doing. Yes, I a..I, I, I, I am against fracking. I think it'south a real problem.
Question: Did you vote yes on that.
Schakowsky: The question is that the oil companies fabricated the decision rather, in this crunch correct now, to raise the cost, to gouge the consumers, to, uh, in some ways, to, to, to, just to do what we day in, uh, thursday, thuh, the name of the hearing today is [checks notes] "gouged at the gas pump,", um, [checks notes over again] "Big Oil and America's hurting at the pump."
They had an option to exercise that. To increase their ability right now, not to have to frack, not to have to drill more than, merely to simply, at their ability right now to raise the corporeality of gas that they produce.
https://www.linkedin.com/posts/david-blackmon-2325189_energyabsurdityoftheday-squawkbox-joekernen-activeness-6917473407529795585-h6D9?utm_source=linkedin_share&utm_medium=member_desktop_web
She actually said this:
They had an choice to do that. To increment their ability right now, non to have to frack, not to accept to drill more, just to simply, at their power correct at present to raise the amount of gas that they produce.
Rep. Jan Schakowsky (D-IL08)
That'south actually dumber than what Rep. Ruiz said,
Dorsum to dividends and buybacks
I don't currently ain ExxonMobil (XOM) or Chevron (CVX) stock. I used to be an XOM shareholder. One of the main reasons I bought XOM was the dividend. That'southward probably the main reason that many XOM shareholders bought the stock. The demand that XOM, CVX and other companies suspend their dividends because of Biden'south incompetence the state of war in Ukraine, is at best Leninist. The shareholders own these companies. Congress doesn't. Here's chart of XOM & CVX net operating cash flow (NOCF), upper-case letter expenditures (CapEx), complimentary cash flow (FCF), dividends and oil prices (WTI) over the nearly recent five quarters:
A couple of things stand up out:
- Major oil companies XOM and CVX haven't increased their CapEx equally quickly as the big independents (PXD, DVN and EOG) nosotros looked at yesterday. Major oil companies can't do anything as quickly every bit independents.
- Neither visitor has increased their dividends. The question should exist, "Why aren't you returning more to your shareholders"?
That's where buybacks come in to play
One of the chief purposes of a business is to render value to their owners, shareholders in the example of publicly traded companies. The returns generally have the form of increasing the stock price and/or paying dividends. One of the means that large companies, similar XOM and CVX, increase their stock cost is to buy back shares. XOM actually suspended its buyback plan in 2016 and only recently announced that they would "repurchase $x billion worth of stock over the side by side 12 to 24 months." CVX "said it now plans to purchase back $5 billion to $x billion worth of stock a year, up from prior plans for $three billion to $5 billion of annual repurchases."
The 2 companies combined will spend $15 to $30 billion over the next two years on stock buybacks… $7.five to $15 billion per year.
Context
Putting this in context of their 2021 performance:
- Gross Acquirement: $436.8B
- Pre-tax Income: $52.87B
- Income Taxes: ($14.2B)
- Net Income: $38.67B
- Turn a profit Margin: 8.ix%
- Effective Taxation Rate: 26.9%
- CapEx: ($19.68B)
- Dividends: ($25.1B)
- Buybacks: ($7.5B to $15B)
In 2021, Apple spent $85B on stock buybacks and paid out $14.5B in dividends, had a 42% profit margin and an constructive revenue enhancement rate of but 13%… Why aren't the Democrats berating Tim Cook?
Source: https://wattsupwiththat.com/2022/04/06/oil-industry-executives-slap-down-house-democrats-in-congressional-hearing/
Posted by: ammonsmucithe.blogspot.com
0 Response to "How Much Is A Oil Change At Delta Sonic"
Post a Comment