As you and your wallet well know, gas and oil prices are through the roof right now, with no real signs of lessening any time soon.
Many would rightfully blame Democratic President Joe Biden and the multiple policies he has either pushed through or ordered that limit the amount of oil the US can produce here at home, thus increasing the amount of oil we must now import from nations like Russia. Of course, Russia’s current invasion and the war on Ukraine aren’t helping matters.
In light of their seemingly unwarranted invasion, many nations, including the US, have since put sanctions on Russia’s exports, disrupting its shipments of oil and the price for which it is being sold.
But no matter the case, the equation has left America and her people feeling the sting of record-high gas prices and an ever-decreasing supply of it.
And that’s exactly why those such as Montana’s Petroleum Association have announced that they will begin reopening and firing up their oil drilling operations.
Isn’t that against federal regulation, you might ask? Well, yes, it is, thanks to Biden and his greedy administration. However, as Alan Olson, executive director of the Montana Petroleum Association, says, the rising cost of oil now makes any fees to be incurred worth it to reopen their wells.
According to KTVH-TV, the Bakken oil fields, where the group will begin drilling soon, “become more stable between costs and profits” when oil prices are around $80 a barrel, which is about the average price in the US right now. Any less than that, and the oil companies selling their products won’t be able to cover the costs of the federal fees for breaking regulations.
However, that doesn’t mean that there won’t be problems along the way.
As Olson explains, unemployment rates are at a record low in states like Montana, thanks to their ban on extended COVID welfare benefits that left many not even willing to look for work during the pandemic. And that means there are fewer workers available to man these drills.
This is only compounded by the fact that the COVID pandemic forced many oil companies to let go of employees due to a complete nose-dive in oil prices. But now that prices are rising and those companies are beginning to drill again, they need those employees back. And yet, they aren’t available.
Olson also mentioned that while member companies of the Montana Petroleum Association can currently cover regulation fees that will undoubtedly be imposed, the same may not be able to be said of new federal regulations that are still in the process of being implemented.
And this creates a lot of “uncertainty” in the industry, especially in states like Montana, where they “no longer have any of the major oil companies producing oil.” Instead, the state’s oil producers are an assortment of what Olson calls “very small, independent” producers, most of which won’t be able to afford the fines such as Build Back Better’s proposed methane fees.
If these regulations are passed and soon implemented, it means many of these oil producers will be left with two choices, neither of which are ideal. As Olson says, they’ll ever have to “bite the bullet” and spend the money which will likely force them to let go of an already short supply of workers, or “plug your wells and walk away.”
But it’s not like we can afford not to try anymore, can we?
I mean, oil prices are at an all-time high, with gas prices rising quicker than any of us have ever seen. I mean, in my region, it went up some 40 cents overnight a few days ago. I have grandparents that remember gas only cost that much per gallon and who never dreamed they’d see the day when it was nearly $5 at the pump.
And yet, when asked about those rising prices, Biden quite literally said, “nothing I can do” and suggested you go buy an electric car instead, which still costs far above what the average American can afford.
It’s time we took back control like Montana is attempting to do. Perhaps then, Biden will finally get the picture and understand that this is not a dictatorship.