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This is an interesting point. The news that the US will become one of the largest producers of oil could lead one to believe that oil will become cheaper for US consumers. This, of course, is not the case. Oil is a global commodity and will stick to a global price. The advantage is simply less reliance on other countries. (There’s a WSJ article here, or click on ‘read more’ for the logistics angle.)

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  • Michael Webber

    November 19, 2012 at 7:07 pm

    I’m not nearly as saddened that US consumers won’t enjoy a windfall at the pump as I am that US taxpayers won’t receive any benefit. One of the most egregious ripoffs is how little energy companies pay to exploit public lands. The royalties on this production could take that doomsday deficit down substantially but instead the energy lobby & their stooges in Congress will make sure that they continue to pay a pittance – all the while feigning some kind of abuse from regulators & tax-collectors.