As the US administration grows more desperate each week as gas prices soar above $5 a gallon in the US, President Biden is now going after individual oil and gas companies, know ExxonMobil.
A statement from Biden attempting to address May inflation data contained harsh words, both for the oil industry as a whole and for Exxon specifically.
“Why don’t they drill? Because they make more money without producing more oil,” he said. “Exxon, start investing and start paying your taxes.”
The chairman also said they would make sure everyone knew how much Exxon was profiting from it. “Exxon made more money than God last year.”
To be precise, Exxon’s net profit was $23 billion in 2021, offsetting the loss of $22.4 billion the previous year. Exxon’s 2021 earnings came in behind Apple, Berkshire Hathaway, Alphabet, Microsoft, JP Morgan Chase, Meta Platforms, Amazon and Bank of America – and barely picked up a win over Federal National Mortgage Association’s Fannie Mae.
On the matter of taxes, Exxon’s income taxes for the 2022 quarter alone were $2.8 billion, with income taxes for the year 2021 of $7.6 billion, according to Macrotrends and CSI Market.
Biden’s anti-oil statement follows a similar statement on Thursday, where National Economic Council deputy director Bharat Ramamurti told CNN in a phone interview that “it’s outrageous that oil and gas companies can take advantage of them and make four times the profits they made when there was no war. Asked if the White House could support a windfall tax proposal, Ramamurti said they were “open to many different ideas. We realize there is a problem here that we need to solve.”
By Julianne Geiger for Oilprice.com
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