U.S. to suspend oil reserve shipments i2.cdn.turner.com
U.S. to suspend oil reserve shipments
Added 634 days ago on May 16th, 2008
Crude still closes at new record as Saudis shut down Bush and Goldman Sachs predicts much higher prices.
The government said Friday that it would halt deliveries to the strategic oil reserves in July, a move many lawmakers have been calling for in an attempt to boost oil supplies and bring down gas prices.
Oil prices eased a bit from pervious highs, but still settled at a new closing record of $126.29 a barrel as Saudi Arabia rejected a plea from President Bush to boost production and Goldman Sachs revised their price outlook sharply higher.
The U.S. Energy Department announcement comes several days after Congress voted to direct the Bush administration to stop the shipment of oil to the emergency reserves.
The Energy Department decided not to purchase oil for the reserve from July to December in case the bill becomes law, said Megan Barnett, a spokeswoman for the department.
The Strategic Petroleum Reserve, located underground at four sites in the salt caverns bordering the Gulf of Mexico, was built in the 1970s after the first oil embargo to protect the country against a sudden drop in oil supplies.
The Bush administration has been filling the reserve since 2001, boosting the reserve from about 540 million barrels to 702.7 million, enough to protect against a disruption in imports for about 58 days, said Barnett.
Barnett remained skeptical of the halt's effect, saying deliveries to the strategic reserve accounts for "less than one tenth of one percent" of the oil on the market.
"The amount of oil put in the SPR last week... we trade that in less than one minute," said Tom Kloza, the Oil Price Information Service's chief oil analyst.


Added by: Jane60
Votes: 88
Ratings: 11
» Link
You
Poll
Is it a good or bad idea to stop stashing away gas in the strategic oil reserves?
Good idea, will lower gas prices
60%
Bad idea, insignificant impact on supply
40%
Closed on June 15th, 2008
This is not a scientific survey, click here to learn more. Results may not total 100% due to rounding and voting descrepencies.
Add Comments - Enter your comments below to join the discussion.
Log in or sign up to post comments.
Subject:
 
Showing 1-2 of 2 comments
« 1 »
Posted by: moblou
8:06pm, May 16th, 2008
Re: U.S. to suspend oil reserve shipments
Women have been messed over for many years by the Democrat Party and it appears that millions of "US" will be returning the favor, should this primary season continue on its current path. Hillary Clinton is clearly the best choice to be our party's nominee for President. As a life-long Democrat, age 55, I think the way my party has hosed Hillary and their most loyal and largest voting block; women intolerable. I am confident the Democrat Party will pay a severe price for this blatant assault on women in November. Cry all you want about this being "sour grapes" but little good will result from your on-going efforts to rally Hillary's staunch supporters around your chosen candidate instead of the people's choice. Now, the Democrat Party leaders want women to get their pre- selected from the start, elite, wimp, Barack Obama elected in November. It will be cold day in hell before I comply and I also hope Hillary walks away from this Party. Most of the women, and many men as well, with whom I have contact are finished with the Democrat Party, now and forever. Also, many of "US" are starting a grassroots movement to insure these kind of sorry tactics employed by my now soon to be former party, never happen again. This clear favoring of Obama, making him the nominee because the party doesn't want a woman, especially a Clinton woman, is more that I can tolerate. Of all the gall, the Democrat Party now expects "US" girls, including Hillary, to turn over our undying support to Obama. Sorry guys, this is not going to happen. Obama has no shot of winning in November without Hillary's help and all of us, her supporters. Not on your life or in your wildest dreams is this going to happen. Democrat Party leaders take heed and you superdelegates had better wait to declare your support until the final results of all the primaries are tallied and the voices of all 50 states and territories are heard from. At that time, the real nominee of the people can be declared for the fall election. Let it be known that the damage has already been done to the largest voting block in America. However, it remains to be seen how deep these "bitterly disappointing and highly blatant attacks" are to women. In my mind, this is a travesty and affects all women of America. I for one will change my registration to Independent, and possibly Republican, on the day I vote for Hillary Rodham Clinton in the KY primary. Bye, bye and good riddance from Mary O'Bryan, Louisville, KY, to my former party, no matter what happens in the primaries left to come.
Posted by: Charles43
12:44pm, May 17th, 2008
Re: U.S. to suspend oil reserve shipments
I just can't understand our country. We have the most inteligence individuals in the world. Therefore, "why can't we take this intelligence and put it to use in finding ways to alternate fuels." This debate has been going on for several years without much a concise plan of action. Because of this fact - Our government can't make up its mind on a true course of action. They're more concerned in fighting amongst themselves without getting the peoples work done. One only needs to look at our current infrastructure proples that affects all of our citizens. Yea - I know "Money talks Bull-- talks.
« 1 »