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ECONOMY

Oil Execs Blame Rising Gas Prices On High Cost Of Gas

Oil Execs Blame Rising Gas Prices On High Cost Of Gas

WASHINGTON (CAP) - Top executives from five major oil companies testified before Congress last week about the continued rise in gasoline prices. They told Congressional leaders that high prices at the gas pump are the result of the high price of gas.

"It's quite simple," pointed out John Hofmeister, chairman of Shell Oil Co. "As gas prices continue to rise, our trucking and transportation costs rise along with them."

Added John Lowe, executive vice president of ConocoPhillips Co, "Unfortunately, we have no choice but to pass those costs on to the consumer. It's what we do.

"And I might add that Congress really should reimburse us for our travel expenses here today. My Hummer swallows gasoline like a desperate drunk downing a fifth of Scotch," noted Lowe. "Cost me eighty bucks just to show up for this pointless hearing."

When queried by Democratic Senator Patrick J. Leahy about record-breaking oil industry profits, Stephen Simon, executive vice president of Exxon Mobil Corp, explained, "Have you been to a gas station recently? The stuff costs an arm and a leg.

"Of course we're making astronomical profits," said Simon. "But it's negated by the fortune we're spending at the gas pumps."

Concluded an anonymous oil industry spokesperson, "It all comes down to supply and demand. We've got the supply and will continue demanding every last dime for it that we can."

- Robert Friedman
Contributing Writer
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