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Rex Tillerson, ExxonMobil CEO
He also addressed fears associated with drilling techniques and oil dependency

ExxonMobil's CEO defended oil and gas drilling by saying that climate change is something humans can adapt to.

Rex Tillerson, ExxonMobil CEO, said issues like climate change, energy dependence and oil/gas drilling are blown out of proportion. He blames a lazy press, illiterate public and fear-mongering advocacy groups for the bad light placed on the oil industry.

Climate change is a controversial topic that has been subjected to much debate. Tillerson said that fossil fuels may cause global warming, but argued that humans can easily adapt to the warmer climate. More specifically, he said that humans can adapt to rising sea levels and climate changes because he doubts the validity of climate modeling, which predicts the magnitude of impact associated with climate change.

"We have spent our entire existence adapting," said Tillerson. "We'll adapt. It's an engineering problem and there will be an engineering solution."

Others, however, disagree with Tillerson's assessment. Andrew Weaver, chairman of climate modeling and analysis at Canada's University of Victoria, said that adapting to climate change would be much harder than just preventing it in the first place.

In addition, adapting to climate change could be much more expensive than preventing it. According to Steve Coll, author of "Private Empire: ExxonMobil and American Power," adapting to climate change would require moving entire cities. A better alternative would be legislation that slows the process of global warming.

An example of such a measure is the proposed fuel standards for 2017-2025, which will require automakers to create vehicles capable of 54.5 MPG by 2025. The effort aims to reduce greenhouse gas emissions and lessen the country's dependency on foreign oil. These standards will cost the auto industry $157.3 billion and add an extra $2,000 to the sticker price of new autos, but it will save consumers $1.7 trillion at the gas pump.

The National Highway Traffic Safety Administration (NHTSA) will finalize the fuel efficiency standards by the end of July 2012. Such measures could hit ExxonMobil's wallet with less gas used.

Tillerson also addressed the topic of consequences related to oil/gas drilling techniques, saying that drilling will always present possible risks like spills and accidents. But he mentioned that such risks are manageable and worth the end result, which is the energy provided.

Tillerson also said that drilling in shale formations doesn't pose life-threatening risks to those living nearby. However, drilling mixes millions of gallons of water with sand and chemicals that creates drilling wastewater. If this water is not treated, it can contaminate drinking water through cracked drilling pipes.

Tillerson also mentioned his problem with views on oil dependency. He said that there will always be access to oil, and that it doesn't matter where the U.S. gets oil because it is priced globally. Tillerson added that the U.S. only receiving oil from North America would still increase gas prices in the U.S. because it would cause a "disruption" in the Middle East.

Source: The Hook

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RE: Tillerson makes $25.2 million a year
By Spuke on 6/29/2012 10:09:23 PM , Rating: 2
After all, public companies like ExxonMobil are not under any such governance as Fiduciary Duty -- right?
I don't understand. If the board and shareholders are happy with the CEO's pay (afterall they approved it), then what's your point? Did the CEO get paid an amount the shareholders and the board didn't approve? How did this CEO actually collect an unapproved paycheck?

RE: Tillerson makes $25.2 million a year
By boeush on 6/30/2012 7:43:02 PM , Rating: 3
My point is that the board and shareholders are being stupid -- at best (and this is far from the only exhibit demonstrating the case.)

And yes, the market can indeed be stupid, inefficient, corrupt, and utterly irrational. I hope you won't force me to dredge up the innumerable examples from the last, oh, 15 years of financial headlines to prove that point. Or from the past few months, for that matter...

My main point here is that stupidity and corruption will continue and even escalate, in a climate where everyone either ignores it or acquiesces to it.

Personally, I have no problem with calling it as I see it at every opportunity. Not that I'm going to change the world by posting rants in some little forum. But at least I personally won't be actively contributing to the problem of malignant neglect, thank you very much.

By Spuke on 7/2/2012 3:12:43 PM , Rating: 2
Personally, I have no problem with calling it as I see it at every opportunity.
I don't have a problem with this actually. I do fail to see how this is my concern though. If the pay is too exorbitant or not based on the market then that company fails and is replaced by another one. I would be concerned about the jobs lost but since oil demand is huge some other company will just come in and buy up all of the equipment and rehire most of the employees to run it. In reality, considering oil company profits, I highly doubt CEO pay will be the thing that brings down these companies so I'm not concerned in the least.

By JediJeb on 7/2/2012 6:53:57 PM , Rating: 2
But at least I personally won't be actively contributing to the problem of malignant neglect, thank you very much.

Just a question, but do you have a 401K or other retirement plan? If so is there any Exxon Mobile stock owned at part of that plan? If so then you are actively contributing to that problem by being one that must be paid from the profits of the oil company, and supporting the oil company through purchase of that stock.

Most people never know what companies they have invested in through their retirement accounts.

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