Biden blasts oil refiners for record profits on pain at the pump

U.S. President Joe Biden, under pressure over sky-high gasoline prices, on Wednesday demanded oil refining companies explain why they are not putting more fuel on the market as they reap windfall profits.

Biden wrote to executives from Marathon Petroleum Corp (MPC.N), Valero Energy Corp (VLO.N) and Exxon Mobil Corp (XOM.N), and complained they had cut back on oil refining to pad profits, according to a copy of the letter seen by Reuters.

The letter was also sent to Phillips 66 (PSX.N), Chevron Corp (CVX.N), BP (BP.L) and Shell (SHEL.L), a White House official, who declined to be identified, told Reuters.

"At a time of war, refinery profit margins well above normal being passed directly onto American families are not acceptable," Biden wrote, adding the lack of refining was driving up gas prices faster than oil prices.

Biden said the industry's lack of action is blunting the administration's attempts to offset the impact of oil-rich Russia's invasion of Ukraine, such as releases from the U.S. oil reserves and adding more ethanol to gasoline.