Chuck Schumer and Elizabeth Warren want FTC to probe blockbuster Exxon and Chevron mergers
Senate Majority Leader Chuck Schumer, Sen. Elizabeth Warren and nearly two dozen other Democrats are demanding federal regulators probe the mega takeovers inked last month by ExxonMobil and Chevron.
Exxon, already America’s biggest oil company, reached a deal in October to .
Schumer, Warren, Sens. Bernie Sanders, Amy Klobuchar and others urged the FTC to “closely review” the deals for possible anticompetitive harm and block the transactions if necessary.
In the letter, the Senate Democrats argue past mergers that helped create Exxon and Chevron “enabled anticompetitive coordination” that hurt consumers by limiting supply of oil.
“The oil-and-gas industry is still dominated by a handful of corporate giants, led by the top-two players Exxon and Chevron. Any further consolidation could harm American consumers,” the lawmakers wrote.
The Senate Democrats note that Pioneer owns more drilling acreage than any other Permian producer and Exxon is also a top producer there. The combined company could , which is more than twice the closest rival.
“This deal would enable the new Exxon to dominate the Permian – the most prolific oil-and-gas field in the world and America’s most important,” the letter said.
“If anything,” the lawmakers said, the FTC should be investigating the past mergers that created Exxon and Chevron to determine if the companies “should be broken up once again.”
The Democrats also expressed alarm at Exxon and Chevron “doubling down” on fossil fuels at a time when many Americans support efforts to clean up the environment.
