XPost: sci.geo.petroleum, alt.politics.usa.republican, alt.fan.rush-limbaugh XPost: talk.politics.guns, sac.politics
https://www.msn.com/en-us/money/markets/president-biden-has-canceled- plans-to-refill-america-s-emergency-oil-reserve-here-s-why-and-what-it- means-for-you/ar-AA1ng3xX
The Department of Energy (DOE) has unexpectedly axed plans to refill its
“oil piggy bank” in August and September due to surging oil prices.
The DOE previously announced in March that it was soliciting 3 million
barrels of oil for its Bayou Choctaw site in Louisiana — one of four major storage facilities for the Strategic Petroleum Reserve (SPR).
The SPR is the world's largest supply of emergency crude oil and was established back in 1975 in case of a severe oil supply crisis or economic disruption.
"We monitor market dynamics to remain nimble and innovative in our
successful replenishment approach to protect this critical national
security asset," said DOE spokesperson Charisma Troiano, noting the energy department is keeping “the taxpayer’s interest at the forefront.”
Rising prices are halting refills
The Energy Department has been gradually refilling the emergency oil
supply after stockpiles hit a historic low last year.
The administration withdrew a record 180 million barrels in 2022 to
counter supply issues created by Russia’s invasion of Ukraine — but Energy Secretary Jennifer Granholm said in March that the strategic oil reserve
would be replenished by the end of the year.
The DOE has said it’s aiming to buy back oil for the SPR at $79 per barrel
or below, less than the average of about $95 it received for the 2022
sales.
However, amid increasing prices — currently hovering at around $88 per
barrel — the DOE has decided to pull back on further purchases until
market conditions improve.
The SPR currently holds about 363 million barrels, according to Energy Department data — down from nearly 600 million at the beginning of 2022.
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What this means for you
Bob McNally, president of consultant Rapidan Energy Group, who served as
an adviser to former President George W. Bush, told Bloomberg he believes domestic crude prices will likely remain high for the rest of the year,
which means the refill program could remain paused for a while.
“If pump prices keep rising, the Biden administration will shift gears and reconsider SPR releases, though we currently do not think they are
imminent,” McNally says.
But critics have concerns that the depleted oil reserves could put the
U.S. at risk, especially in a time of crisis, or if the global supply hits dangerously low levels. It also means prices at the pump could remain high
for the foreseeable future.
“It’s pure insanity to watch the Biden administration cut American oil production and then claim they can’t refill our critical reserve because
of the price,” Daniel Turner, founder and executive director for energy advocacy organization Power The Future, said in a statement.
“As a result, Americans are paying more at the pump, more at the grocery
store and our SPR is less full during a time of rising turmoil in the
Middle East.”
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We live in a time where intelligent people are being silenced so that
stupid people won't be offended.
Durham Report: The FBI has an integrity problem. It has none.
No collusion - Special Counsel Robert Swan Mueller III, March 2019.
Officially made Nancy Pelosi a two-time impeachment loser.
Thank you for cleaning up the disaster of the 2008-2017 Obama / Biden
fiasco, President Trump.
Under Barack Obama's leadership, the United States of America became the
The World According To Garp. Obama sold out heterosexuals for Hollywood
queer liberal democrat donors.
President Trump boosted the economy, reduced illegal invasions, appointed dozens of judges and three SCOTUS justices.
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