Fracking-based energy production is not expanding at anything like a useful rate, even as oil approaches $100/barrel, which only benefits Russia while harming us American consumers.
America’s largest frackers are reporting huge profits but plan to keep oil production in low gear this year, adhering to an agreement with Wall Street, even as prices approach the $100-a-barrel mark for the first time since 2014.
That “agreement” consists of
commitments they made to limit production and return more cash to shareholders, an effort to win back investors who fled the industry after years of poor returns.
That’s certainly a factor. However, even as President Joe Biden (D) claims he wants these producers to produce more in the face of those rising costs, he’s also spending far more energy begging OPEC—and Russia!—to produce more.
There’s another factor that may be strongly informing these producers’ decisions, though.
Maybe these producers just don’t trust Biden, given his openly declared war on our hydrocarbon energy industry—on the frackers—and Biden’s refusal to undo all—any—of his anti-carbon regulations and his other bars aimed explicitly at limiting oil, natural gas, and coal production.
Maybe they think Biden would only resume his war against them once the present energy and resulting inflation crises pass.
They wouldn’t be far wrong.