As of now, I am in control here, in the White House

Obama to Release Oil for Strategic Reserve

This just in from the White House:

U.S. Energy Secretary Steven Chu announced today that the U.S. and its partners in the International Energy Agency have decided to release a total of 60 million barrels of oil onto the world market over the next 30 days to offset the disruption in the oil supply caused by unrest in the Middle East.  As part of this effort, the U.S. will release 30 million barrels of oil from the Strategic Petroleum Reserve (SPR).  The SPR is currently at a historically high level with 727 million barrels.

“We are taking this action in response to the ongoing loss of crude oil due to supply disruptions in Libya and other countries and their impact on the global economic recovery,” said Energy Secretary Steven Chu.  “As we move forward, we will continue to monitor the situation and stand ready to take additional steps if necessary.”

The United States has been in close contact with oil producing and consuming countries about disruptions to the international oil market that could affect the global economy.  The situation in Libya has caused a loss of roughly 1.5 million barrels of oil per day – particularly of light, sweet crude – from global markets.  As the United States enters the months of July and August, when demand is typically highest, prices remain significantly higher than they were prior to the start of the unrest in Libya.

Share on FacebookTweet about this on TwitterShare on RedditShare on LinkedInEmail this to someone

9 Responses to Obama to Release Oil for Strategic Reserve

  1. How clever to blame the conflict in Libya as a reason to tap into the oil reserves and avoid blaming the collapse of the dollar value as a reason for the higher cost of the crude. We could avoid any impending shortage of oil and refresh our economy by giving the green light to drilling in America.

    Libya could resume drilling if they weren’t trying to hide from our drones and missiles that are destroying their country and killing their people.

  2. Just love this “spill not drill ” mentality …
    This will only hurt us in the future if there is a REAL shortage.
    muslim saudi king abddulla “his majesty” as obambo calls him (you know , the one POTUS bows to & counsels with) must be whispering something in obambo’s ear.
    Last time I checked, the saudis were reaping one billion a DAY in revenues.

  3. Well, he just wants to turn every knob available on the ‘presidential control panel’, doesn’t he? This is fun. What is there left for a prez to do? Oh yeah, who can we nuke?!! Mideast unrest causing disruption in the global economy?? How about the effect of marxist principles imposed on a capitolist economy for disrupting the global economy?

  4. kind of a q.e. 3 in disguise? So, you take this out of theSPR and then you have to put it back at a higher price…and exactly how do you expect the Saudi’s to view this drop in price and excess of oil…they surely will not expand their oil exports into an environment like this.

    • Dont worry POTUS has that covered.. he will take our borrowed money
      form the china and replenish at the higher price to make “his majesty ”
      king abddulla so happy he’ll send POTUS fresh goat cheese & hummus for his eating pleasure.

      Even a 5 yr old running a lemonade stand knows you cant operate like this.

  5. This won’t lead to anything good. Anybody remember why we have the Strategic Petroleum Reserve? Remember the Arab Oil Embargo of 73-74? The SPR is to be used only in case of an emergency. This is no emergency. MT is right, he is pushing all the buttons to see what happens. So what if he destroys the country in the process? He’ll blame it on someone else…Bush, the Republicans, the Tea Party, anybody else but himself.

    What do I foresee? Once they have depleted our oil reserves, OPEC is going to call another oil embargo on us and we will right back to the 70’s malaise. Buckle up folks, we’re in for a bumpy ride.

  6. What happened to the release of the reserve? No more news about it. If it went forward, how was it sold and to whom? Gas prices in St. Louis have come off for a few days last week, but are grinding back up. Announce the release, get the positive news coverage, and then nothing. What gives?