* Lawmakers say Trump prioritizes oil companies over
consumers
* Energy Secretary Chris Wright says $200-a-barrel oil
unlikely
* Oil prices up despite U.S. efforts to control them
(Adds White House comments paragraphs 7-8)
By Timothy Gardner and Susan Heavey
WASHINGTON, March 12 (Reuters) - U.S. President Donald
Trump said on Thursday the United States stood to make
significant money from oil prices driven higher by the war with
Iran, prompting criticism from some lawmakers who accused him of
caring only about rich people.
Oil prices jumped more than 9% to $100 a barrel, as the
U.S.-Israeli war with Iran widened. Two crude tankers blazed in
an Iraqi port after a hit by suspected Iranian explosive-laden
boats, while scores of other oil-laden ships remained stranded
with the Strait of Hormuz shuttered.
Trump, a Republican, wrote on social media: "The United
States is the largest Oil Producer in the World, by far, so when
oil prices go up, we make a lot of money." But stopping Iran
from having nuclear weapons was far more important, he said.
U.S. Senator Mark Kelly, an Arizona Democrat, responded that
working Americans were being hurt by the war Trump started.
"The only ones benefiting from gas prices skyrocketing are
the big oil companies," Kelly, a potential presidential
candidate in 2028, wrote on X. "But it makes sense why Trump is
happy about it because he's only ever cared about rich people."
At least two other Democratic lawmakers, Representatives
Mark Pocan of Wisconsin and Don Beyer of Virginia, made similar
comments on X.
White House spokesman Kush Desai called the criticism of
Trump's comments "idiotic." Desai said that oil and gas prices
will decline after "short-term disruptions" from the U.S. and
Israeli war on Iran are over.
"The president's point was that the United States is now the
largest oil and gas producer in the world and a net oil exporter
thanks to this administration's energy dominance agenda," Desai
added.
U.S. GASOLINE PRICES RISE
Republican Senator Thom Tillis of North Carolina, asked
about Trump's post, said while the president and his
administration may be taking a longer view of the war and costs,
most Americans were dealing with weekly budgets.
U.S. gasoline prices continue to spike 13 days into the war,
even after more than 30 countries in the International Energy
Agency, including the U.S., announced a release of a record 400
million barrels of oil from global reserves.
In another attempt to control prices, the Trump
administration is considering waiving a shipping rule known as
the Jones Act temporarily to ensure energy and agricultural
products can move freely between U.S. ports, the White House
said. Waiving the rule would allow foreign ships to carry fuel
between U.S. ports, potentially lowering costs and speeding
deliveries.
Trump told Reuters in an interview earlier this month that
he was not concerned about rising gas prices and that they would
fall "very rapidly" when the conflict ends, something energy
analysts have disputed as the war stretches toward a second full
week.
$200 OIL UNLIKELY, ENERGY CHIEF SAYS
Energy Secretary Chris Wright said on Thursday that oil
prices were unlikely to reach $200 a barrel.
"I would say unlikely, but we are focused on the military
operation and solving a problem," Wright told CNN when asked if
prices would reach $200 a barrel - a level that an Iranian
official said prices could hit if the war further escalates.
Wright's use of the word "unlikely" was a veiled concession
that a spike to $200 was possible, though he repeated that the
price jump would last weeks, not months.
Brent oil hit all-time highs in 2008 of around $147 per
barrel, on tension between the West and Iran over its nuclear
program, a weak U.S. dollar and inflation fears.
This time, analysts say, oil prices could remain high
because of the strait's unprecedented shuttering. Iran's new
Supreme Leader Mojtaba Khamenei said on Thursday the strait
should remain closed as a pressure tool.
"Get ready for the oil barrel to be at $200 because the oil
price depends on the regional security which you have
destabilized," Ebrahim Zolfaqari, the spokesperson for Tehran's
Khatam al-Anbiya military command headquarters, said on
Wednesday.
Wright told CNN: "We're in the midst of a significant
disruption in the short term to fix the security of energy flow
for the long term." The administration was focused on "pragmatic
solutions ... to get through these few weeks of tight energy
supply," he said.
On Wednesday, Trump urged oil companies to travel through
the strait despite the risks. "I think they should use the
strait," Trump said. Asked if Iranian mines were in the strait,
he added: "We don't think so."
Wright told CNBC on Thursday that the U.S. Navy cannot
escort ships through the Strait of Hormuz now but it was "quite
likely" that could happen by the end of the month.
He said the energy shortages were less likely to affect
the U.S. and other Western Hemisphere countries. "There's no
shortage or even really tight oil market in the Western
Hemisphere. The issue's in Asia," Wright said.