U.S. Says May Tap Oil Reserve in a Natural Disaster

[UpInArms]

http://olympics.reuters.com/newsArticle.jhtml;jsessionid=K2LRBYFXSRCLGCRBAEZSFFA?type=topNews&storyID=6247720

WASHINGTON (Reuters) - U.S. Energy Secretary Spencer Abraham said on Wednesday the nation's emergency oil stockpile could be used in a case of a natural disaster, but he would not commit to tapping the reserve in response to Hurricane Ivan.

The storm and its 135 mile per hour winds forced oil companies to temporarily shut offshore platforms in the Gulf of Mexico that produce some 1.3 million barrels of crude a day. Some coastal refineries also closed, along with ports that receive U.S. oil imports.

"We're going to see what happens," Abraham told Reuters when asked if the Bush administration was prepared to provide oil companies crude from the Strategic Petroleum Reserve to make up for lost oil imports and Gulf of Mexico production.

"We've laid out I think over a long period of time the strategic reserve is to address severe supply disruptions," Abraham said after a briefing on nuclear weapons issues at Energy Department headquarters.

"That could include disruptions caused by natural occurrences as well as by intentional ones, but I don't speculate about what might happen," he said. "We'll obviously monitor it closely."

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[w4rma]

1. My goodness. Those people *really* want to drill up there.

And there isn't even that much oil up there, anyway. In the long term it is much better for America to leave the oil there under the ground for when prices skyrocket in a few (couple of?) decades.

[bpilgrim]

2. hello... that's what it's there for

sheesh, talk about not having nothing to talk about but FEAR :argh:

peace

[happyslug]

3. Bush worried about a gasoline price jump?

Remember the Iraq oil pipeline bombing a few days ago (There goes Iraqi Oil from world usage). With Ivan and Frances you had oil production in the Gulf cut back at least twice in a two week period. The Russians are having a fight over who gets to sell their oil, Putin or the Russians oil barons. Thus oil supplies are already tight, all you need is a major debacle somewhere and you can see Gasoline go over $3.00 a gallon. People will complain of that happens and will vote their pocket book. Bush will do ANYTHING to avoid that situation even sell from the oil reserves.

[CHIMO]

9. We Could

Use some inexpensive oil in Canada. Under NAFTA they would probably have to supply Canada at the same price.

[REVOLT823]

4. We will tap the reserve in case of a natural disaster, but not for

Hurricane Ivan? If a hurricane is not a natural disaster, what the hell is?

[Zan_of_Texas]

6. In case of a significant, temporary disruption,

there's no reason the reserve couldn't be used to borrow some oil, which could then be paid back by the borrowers within a short time period.

The way the Rogue Administration works, there's no telling if there is actually any oil in there.

[REVOLT823]

7. Excellent point Zan, if no sees it, how do we know it is all there?

[TheFarseer]

11. dude, he's talking about a disaster like.......

like his poll numbers coming down. You know, something really bad.

[Dem2theMax]

13. * getting four more years. THAT'S the biggest disaster I can think of.

As for lack of oil, good. Let's see how fast everyone learns to ride bikes, WALK, use carpools, sell the gas hogs and buy cars that actually get GOOD gas mileage. The ONLY way this country is going to get off it's spoiled rotten ass is if we are forced to. ('we' meaning the selfish, stupid people driving those gas hogs.)

[daleo]

5. If the price of gasoline is high come early October

The Bushco administration will probably open the spigots of the strategic reserve wide open, to bring prices down before the election. This sets them up to blame a political ploy on a natural disaster.

[belab13]

8. Bushco must already be manipulating prices with the reserve.

weren't spetember futures trading at $50/ gallon?

[TheFarseer]

10. Is this the excuse they need

to rape the petroleum reserve down to nothing in a pathetic attempt to drive down prices for November 2nd?

[jdj]

12. They're planning something, that's for sure.