Wright Predicts Gas Prices Will Fall as $5.89 Diesel Spurs Supply Push
Updated
Updated · CBS New York · Sep 6
Wright Predicts Gas Prices Will Fall as $5.89 Diesel Spurs Supply Push
3 articles · Updated · CBS New York · Sep 6
Summary
$3 gasoline by Sept. 20 is possible, Energy Secretary Chris Wright said, arguing prices should ease after Labor Day as summer demand fades and new rules let refiners make more gasoline and diesel with existing equipment.
$5.89-a-gallon diesel reflects a global refining crunch more than crude costs, he said, citing damage to Russian refineries and saying the administration is not pursuing an export ban now, favoring higher production instead.
Iran remains a major pressure point: Wright said the U.S. is still open to a nuclear deal but is using military pressure to choke off Iranian energy exports while trying to keep oil flowing through the Strait of Hormuz.
50% growth in Venezuelan oil exports over eight months shows how Washington wants to add supply, Wright said, alongside more output from Alaska, the Gulf and Canada to push crude back toward the prewar $50 range.
Venezuela is also central to the administration's broader strategy, with Wright calling a zero-cost deal for discounted oil and production stakes a win-win even as he offered no timeline for the free elections he said are coming.