• 4 minutes Energy Armageddon
  • 6 minutes "How to Calculate Your Individual ESG Score to ensure that your Digital ID 'benefits' and money are accessible"
  • 12 minutes "Europe’s Energy Crisis Has Ended Its Era Of Abundance" by Irina Slav
  • 12 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 3 days Is Europe heading for winter of discontent with extensive gas shortages?
  • 1 day Wind droughts
  • 5 days "Natural Gas Price Fundamental Daily Forecast – Grinding Toward Summer Highs Despite Huge Short Interest" by James Hyerczyk & REUTERS on NatGas
  • 2 days Kazakhstan Is Defying Russia and Has the Support of China. China is Using Russia's Weakness to Expand Its Own Influence.
  • 3 days Oil Prices Fall After Fed Raises Rates
  • 4 days Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
  • 11 days "Russian oil executive and Putin critic Ravil Maganov dead after mysterious six-story fall" - The New York Post
  • 12 days How Far Have We Really Gotten With Alternative Energy
  • 2 days 87,000 new IRS agents, higher taxes, and a massive green energy slush fund... "Here Are The Winners And Losers In The 'Inflation Reduction Act'"-ZeroHedge
  • 7 days Beware the Left's 'Degrowth' Movement (i.e. why Covid-19 is Good)
  • 10 days The Federal Reserve and Money...Aspects which are not widely known
Daniel J. Graeber

Daniel J. Graeber

Daniel Graeber is a writer and political analyst based in Michigan. His work on matters related to the geopolitical aspects of the global energy sector,…

More Info

Premium Content

What Would U.S. Energy Exports do to Prices at Home?

Lawmakers in Washington say expanded energy exports could strengthen the U.S. hand overseas while at the same time shielding the economy from overseas shocks. How that affects U.S. consumers, however, depends largely on forces at home, AAA said Monday.

With Russian holding the energy cards in Eastern Europe, House Speaker John Boehner, R-Ohio, said it was time for Washington to act. In a letter to Central European leaders, the speaker said President Barack Obama should sign off "immediately" on pending export requests for liquefied natural gas to help U.S. allies overseas.

At the IHS CERA Week energy conference in Houston last week, U.S. Sen. Lisa Murkowski, ranking member of the Senate Energy Committee, struck the same chord for oil. She said reversing a ban on domestic crude oil exports could help establish the United States as the premier global superpower while creating more jobs at home. Adam Sieminski, director of the U.S. Energy Information Administration, said he was "quite prepared" to review the issue, though how that affects the domestic market remains to be seen.

Related Article: Coal’s Comeback Year Runs into Trouble

Michael Green, a spokesman for AAA, told Oilprice the jury is out on just how increased exports could affect consumers in the United States. Increased exports, he said, could stimulate oil production and reduce some market volatility.

"On the other hand, exports would increase demand for domestic oil, which could push prices higher in the United States," he said. "Refineries in many parts of the United States currently have access to relatively inexpensive crude oil and could lose that cost advantage if policymakers allow expanded oil exports."

Green said Russia's military response to the Ukrainian row overseas caused oil prices to spike last week.  By Monday, however, Brent crude was trading below the $108 per barrel mark, down by more than $1.00 amid disappointing economic data from China. The decline was limited because of simmering tensions over Ukraine, though unless there's some form of major response to Russia's actions overseas, petroleum prices should be relatively unaffected, the spokesman said.

Related Article: Lingering U.S. Winter and Ukrainian War Could Spark Perfect Gasoline Storm

AAA said Monday's national average price of $3.49 is only slightly higher than last week, but marked the 31st consecutive day of increases. South Carolina reported the lowest state average with $3.19 for a gallon of regular unleaded while California had the highest in the Lower 48 with $3.91.  This time last year, the national average price was $3.70 per gallon.

Green said the steady increase in gasoline prices is largely related to refinery maintenance and the shift to the summer blend of gasoline, which is more expensive to make. Daylight Saving Time means days are longer and warmer months are ahead, which could lead to an increase in demand as cabin fever breaks. The spokesman said there's not much volatility on the horizon, however, and "unless there are unexpected problems, it is likely that prices will peak at the lower end of our springtime forecast of $3.55-$3.75 per gallon."

By Daniel J. Graeber of Oilprice.com


Download The Free Oilprice App Today

Back to homepage





Leave a comment
  • Bill Simpson on March 12 2014 said:
    Sure, sell foreigners all the oil and gas in the US so it runs out faster, than if we just consumed it ourselves. I'm sure when it is all gone, they will return the favor. We're so popular all across the globe, that the few exporters will line up to sell us what oil remains on planet Earth.
    What's the plan for when the finite fossil fuels run out anyway? Magic to run the country? Evacuate the cities for primitive farming using draft animals and hand tools? The price isn't $100 a barrel because it is getting more abundant and of better quality.

Leave a comment




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News