Building a world of
resilient communities.

MAIN LIST

 

Opec asks US to release emergency oil stocks

Jakarta - The president of the Organization for Petroleum Exporting Countries (Opec) on Wednesday urged the United States to release some of its emergency crude oil stocks.

"I am always asking them to do that," Purnomo Yusgiantoro told reporters.

The statement came as dealers said crude oil prices retreated slightly in Asian trade after the world's largest producer, Saudi Arabia, declared its readiness to boost output.

Yusgiantoro said there was no need for a formal request to the United States to release oil from its Strategic Petroleum Reserve (SPR) but he had made his wishes known through the Opec secretariat.

"Basically, I have asked America to release (oil from the) SPR," said Yusgiantoro, who is also Indonesia's minister of energy and mineral resources.

According to the US Department of Energy, the SPR is the world's largest emergency supply of crude oil and is designed to hold 700 million barrels when full.

It has been drawn down on several, exceptional occasions, most recently after a series of hurricanes hit US oil output but such decisions have been controversial.

On Tuesday, Yusgiantoro had said there was no problem with world oil stocks.

He said he had called on Opec members to release all their supply into the market "to give a positive signal to the market that we are not (facing) any shortage."

In Asian trade at 11:40 am (0340 GMT), New York's light sweet crude for December delivery was down five cents to $55.12 a barrel from its close of $55.17 in New York Tuesday.

Saudi Arabia, the world's largest oil exporter, said Tuesday it was ready to raise production if asked but said shortages were not an issue at the moment.

World oil prices have surged by about two-thirds since the start of this year.

Adjusted for inflation, however, they remain well below the levels reached in the wake of the 1979 Iranian revolution when prices soared beyond the equivalent of $80 a barrel in today's money. - AFP

What do you think? Leave a comment below.

Sign up for regular Resilience bulletins direct to your email.

Take action!  

Find out more about Community Resilience. See our COMMUNITIES page
Start your own projects. See our RESOURCES page.
Help build resilience. DONATE NOW.

 

This is a community site and the discussion is moderated. The rules in brief: no personal abuse and no climate denial. Complete Guidelines.

Tags:  

Surge in Renewables Remakes California’s Energy Landscape

Thanks to favorable geography, innovative government policies, and …

BC LNG Lost Its Window of Opportunity, Study Finds

The window of opportunity to capture Asian gas markets has eluded proposed …

Peak Oil Review - May 26

A weekly review including Oil and the Global Economy, The Middle East & …

Peak Oil Notes - May 22

A midweek roundup. After a five-session losing streak, oil prices reversed …

Review: Afterburn by Richard Heinberg

Heinberg, who has few peers in the art of distilling complex messages down …

The IMF Tells a Half-Truth

On May 18 the International Monetary Fund (IMF) published a report titled …

Renewable Energy: Is That Where Salvation Lies?

It’s common to read on blogs dealing with global warming that the only …