DIYbanter - View Single Post

wrote:

Duane Bozarth wrote:
That's the same logic that's having us pay $3 for a gallon of gas,
while oil companies rack up unprecedented and obscenely huge
profits.

If you will provide a 20% increase in US refining capacity tomorrow
you'll see the markets drop overnight as well.

Lack of refining capacity might make the price of gasoline go up,
but it would make the price of crude oil go down (lower the demand
for crude oil, and the oil-producers won't be able to demand such
high prices anymore). Since the price of oil has been going up as
well, the only logical conclusion is that not enough crude oil is
being produced.

Actually, that's the problem as the Saudi Oil Minister pointed
out...producing more oil won't help the US because we couldn't process
it any faster even if they did...