Joe Biden Accuses Exxon of Exploiting Gasoline Prices

President Joe Biden has accused Exxon Mobil Corp along with other oil companies of taking advantage of soaring gasoline prices after reports have shown that inflation has risen to a new record for the first time in 40 years.

Exxon's revenue is expected to almost double this year to $43 billion, which is likely to be the second-best performance ever. The wealth of Texas oil giants clashes head-on with consumers who are paying more for fuel than ever before. According to AAA, as of June 10, regular gasoline averaged $4.99 a gallon nationwide.

Soaring energy costs due to failure to invest in new rigs, the Covid19 shutdown, and the Ukraine-Russia war has become a major political challenge for Biden as he heads into the midterm elections in November. 

Biden urged domestic oil companies to increase production and said it would be better to buy back their shares than to drill on land with permission.

Casey Norton, a spokesperson for Exxon has said that the company has been in regular contact with the administration, informing them of their investment to increase production and expand refining capacity in the USA.

Exxon expects to increase production from the Permian Basin, the largest oil field in the United States, by 25% this year, with a refining capacity "equivalent to the construction of a new medium-sized refinery" of about 250,000 barrels per day “the equivalent of adding a new medium-sized refinery,” Norton said.