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US to request that UK release emergency oil reserves
Posted: 15 Mar 2012, 16:03
by Blue Peter
This just tweeted by Linda Yueh of Bloomberg:
Linda Yueh ‏ @lindayueh
RT @pdacosta: Britain expects formal request shortly from United States to release emergency oil reserves -- UK sources
I wonder why that would be,
Peter.
Posted: 15 Mar 2012, 16:18
by emordnilap
Surely that should be 'strategic', not 'emergency'?
Maybe they've (USA/Israel) decided to nuke Iran.
Posted: 15 Mar 2012, 16:24
by Blue Peter
Now she tweets:
Linda Yueh ‏ @lindayueh
Details Report of agreement on oil release inaccurate, Obama aide says
What does that mean? It hasn't been decided yet? Was never even discussed?
Peter.
Posted: 15 Mar 2012, 16:36
by Tarrel
http://www.bbc.co.uk/news/uk-politics-17377386
David Cameron and Barack Obama discussed the possibility of releasing emergency oil reserves during talks in Washington, the BBC has learned.
No final decision was taken, but BBC political editor Nick Robinson said it was a sign of the president's concern at the high level of US fuel prices.
The UK has previously released oil from its reserves as part of co-ordinated efforts to dampen soaring prices.
Surely this wouldn't work. It would just be a further acknowledgment that we are at the limits of supply, thus pushing prices higher. Or am I wrong?
Posted: 15 Mar 2012, 16:44
by PS_RalphW
They (us and the US) released 60M barrels last year, at about this time, on the excuse of the Libyan uprising, but in reality the initial price spike to $127 had already passed, and price was about $120.
I fully expect another release in the next couple of months, regardless of Iran. It is acknowledgement of global peak oil supply by limited release from reserves at the peak summer demand season, an attempt to avoid a 2008 scale price spike triggering another oil shock.
I just hope we don't attack Iran just to provide a cover story for this year's SPR release. We are unlikely to get another Libya on cue - Syria is too big a nut, and too small an exporter.
[edit]
Brent dropped $1.50 on the news, so the markets take it seriously.
Posted: 15 Mar 2012, 16:49
by clv101
FT's headline is:
Oil prices fall on talk of reserves releases: US and UK reportedly set to announce bilateral move
Posted: 15 Mar 2012, 16:51
by extractorfan
Blue Peter wrote:Now she tweets:
Linda Yueh ‏ @lindayueh
Details Report of agreement on oil release inaccurate, Obama aide says
What does that mean? It hasn't been decided yet? Was never even discussed?
Peter.
Perhaps they were talking about soil reserves? tin foil reserves?
pesky inaccuracies.
Posted: 15 Mar 2012, 19:19
by Aurora
The Guardian - 15/03/12
Britain and the US have been in talks about a joint release of national oil reserves in a desperate bid to subdue soaring crude and petrol prices.
UK officials confirmed that David Cameron and Barack Obama had discussed a presidential oil stock plan, at an Oval Office meeting on Wednesday.
Speculation that two oil users and producers were preparing to co-operate in this way sent the price of Brent crude spinning down by $3 a barrel.
The price later crept back $2 to sit at $124, still a very high price by historic standards though short of the record $148 hit in mid-2008.
Both Cameron and Obama are under similar political pressure from motorists and consumers in their own countries from soaring fuel costs.
Article continues ...
Posted: 15 Mar 2012, 21:49
by Eternal Sunshine
That's a great long term strategy. Well done boys.
Posted: 15 Mar 2012, 22:23
by RenewableCandy
"They do say" that a large part of the summer is known, in the USA, as "the Driving Season". I wonder why people drive more in the summer? Do they work more days? Do they have to drive more? If they didn't, wouldn't that solve the problem without having to raid the emergency stash?
Posted: 15 Mar 2012, 22:32
by woodburner
They probably have so much snow in the winter, people don't drive much. Spring comes and they have to load their guns into the pickup and head off to shoot the available wildlife.
Posted: 16 Mar 2012, 00:17
by bigjim
RenewableCandy wrote:"They do say" that a large part of the summer is known, in the USA, as "the Driving Season". I wonder why people drive more in the summer? Do they work more days? Do they have to drive more? If they didn't, wouldn't that solve the problem without having to raid the emergency stash?
I think that a lot of them take to the highways and interstates come their summer hols.
Posted: 16 Mar 2012, 00:48
by madibe
I think that a lot of them take to the highways and interstates come their summer hols.
Saves on a flight to the Canaries or Majorca tho luv
Posted: 16 Mar 2012, 03:48
by kenneal - lagger
Lower fuel prices the summer before an election would do Dave's friend Barack's chances no harm at all. This is politics after all.
Cynic? 'course I am!
Posted: 16 Mar 2012, 06:25
by woodburner
This topic shows what a crap benefit twitter is. A few words and you can totally mislead the world, and affect oil prices to the extent of $3 a barrel.