Four refiners have formed a coalition that will lobby against removing the decades-old U.S. ban on crude oil exports. The Consumers and Refiners United for Domestic Energy (CRUDE) will stand in opposition to other major oil and gas lobbying groups to fight the widespread allowance of crude oil exports — an idea that has gained traction among U.S. lawmakers in recent months.
Philadelphia Energy Solutions (PES) CEO Philip Rinaldi told Reuters yesterday eliminating the ban would be “rash” and that any such decision should be based on the “dynamics of the market.” Rinaldi noted that the U.S. still imports millions of barrels of crude per day. Many who oppose lifting the ban believe widespread crude exports would result in higher domestic prices, which would raise costs for refiners.
The new coalition includes PES, Monroe Energy, PBF Energy and Alon USA Energy. Notably absent is Valero Energy Corp. Valero executives have in recent months stated publicly their opposition to removing the ban. The United Steelworkers union on Monday stated its opposition to removing the ban, saying widespread crude oil exports would ultimately kill jobs and run some refineries out of business.
