As Americans feel pain at pump, Big Oil wins big

2011-04-26

For immediate release
April 26, 2011

Media Contact:
Matt Garrington, Deputy Director
[email protected]
(303) 454-3376

Washington, DC – This week, Big Oil will announce record profits at a time when Americans are suffering at the gas pump. In the first quarter of 2011, ExxonMobil is expected to post a gain of 50 percent while a 33 percent bump is expected for both Chevron Corp. and ConocoPhillips.

“While Americans are feeling the pain of high gas prices, Big Oil is to announce record profits for the first quarter of 2011,” said Matt Garrington, Deputy Director of the Checks and Balances Project.

“These dirty energy corporations skirt their obligations and get billions in taxpayer funded subsidies, while they gouge Americans at the pump. The industry continues to demonstrate an abusive of the federal tax system. Speaker Boehner should stand by his words and make sure Big Oil pays their ‘fair share” of taxes,” continued Garrington.

According to Politico, the announcement schedule is:

Wednesday, 2 a.m.: BP
Wednesday, 2:30 p.m.: ConocoPhillips
Thursday, 5 a.m.: Royal Dutch Shell
Thursday, 8 a.m.: ExxonMobil
Friday, 11 a.m.: Chevron

These announcements come after Halliburton reported last week that its first quarter revenue set a company record at $5.3 billion, which is up from $3.8 billion in the first quarter of 2010. First quarter profits were up 148 percent from $206 million in 2010 to $511 million in 2011.

Halliburton cited increased U.S. onshore drilling activity as the reason for its success, with Chairman Dave Lesar stating, “North America delivered strong performance as margins progressed due to increased activity while Eastern Hemisphere operating income was significantly impacted by geopolitical events in North Africa, delays in Iraq, and typical seasonality.”

A simple analysis by the Checks and Balances Project of 10 years’ worth of industry profits and pump prices demonstrate that oil companies profit the greatest when Americans pay the most at the pump.

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The Checks and Balances Project’s mission is to investigate how and why decisions are made that affect taxpayers and consumers. The project is focused on holding government officials, lobbyists, and corporate management accountable for their actions related to energy, government spending, public health, and the environment.