• E-mail
• Print
• Comment
• Font Size
• Digg
• del.icio.us
• Discuss article

US Government Ready to Tap Heating Oil Reserve

Posted on: Tuesday, 4 October 2005, 09:00 CDT

US government ready to tap heating oil reserve

WASHINGTON, Oct. 3 (Xinhua) -- US Energy Secretary Samuel Bodman said on Monday that President George W. Bush is ready "to do whatever it takes", including tapping government stocks of heating oil to counter supply shortages this winter.

Samuel Bodman said at a news conference that "We are prepared to do what is necessary with regards to the strategic reserves," adding that the president has indicated "he is prepared to do whatever it takes" to meet supply needs.

He said that the twin hurricanes Katrina and Rita have dealt "a very significant blow" to the country's energy infrastructure with almost all of the Gulf Coast's oil production, nearly 80 percent of the region's natural gas supplies, and a fifth of the country's refining capacity still shut down.

"We've had a very severe pair of episodes, they have damaged the (energy) infrastructure," Bodman said

Bodman said that a decision to release additional government stocks of crude oil, or for the first time tap the government's heating oil reserve, will be considered by Bush.

The US government stockpile of heating fuel, which is rotated regularly while held at private terminals in New York Harbor and Connecticut, has never been used.

The US Energy Department has forecast sharp increases in heating costs this winter because of the disruption of natural gas supplies and refining capacity in the aftermath of Hurricanes Katrina and Rita.

Source: Xinhua News Agency - CEIS

More News in this Category