Clinton Orders Oil Stockpile: Can Anyone Confirm This? : LUSENET : TimeBomb 2000 (Y2000) : One Thread

This was posted on another forum on Thursday. Can anyone confirm either the story, or the order, or both? *** By order of Pres. Clinton the government will stockpile 23m gallons of oil to decrease the possibility of a shortage in the future. The oil producers that pump oil from public lands will no longer pay the royalities, they will instead pay with oil.

Saw it on the 9:00 news, Fox channel 4 news, Dallas.

( ***


-- LP (, February 13, 1999


I heard we're going to buy some oil and put it in reserve to help the poor buggers through this oil glut.

-- margie mason (, February 13, 1999.

U.S. to add oil to emergency petroleum reserves

(Note: Link stops working, soon)

http:/ /

Posted at 11:16 a.m. PST Thursday, February 11, 1999

WASHINGTON (AP) -- The Clinton administration is moving to shore up the petroleum reserves the nation would tap in times of oil crisis with a plan to take 28 million barrels from a glutted marketplace.

The plan announced today by Energy Secretary Bill Richardson would add up to 100,000 barrels daily to the Strategic Petroleum Reserve, with the government accepting oil instead of cash from companies paying royalties for drilling on public lands in the Gulf of Mexico.

At a news conference, Richardson said the move has a dual purpose: to improve the nation's energy security and refill the reserve with oil now selling at historic lows. ``We are making this step for energy security, for good energy policy,'' he said. ``The American taxpayer wins because oil prices are low and we store for a rainy day.''

Domestic producers who have been battered by depressed oil prices have been clamoring for help from Washington, with reserve replenishment one of the items on their agenda. While the replenishment plan does nothing for the small independent producers who have been among the most affected, Richardson pledged help for them in a series of announcements due next week.

``We want to help our domestic industry. They are hurting. We recognize that,'' he said.

Oil-patch lawmakers welcomed the administration's action to fill the reserves, which are stored in underground salt caverns in Texas and Louisiana.

``I'm very pleased the administration has taken this critical step,'' said Sen. Jeff Bingaman of New Mexico, who is top Democrat on the Senate Energy and Natural Resources Committee. ``With oil prices at an all-time low, now is the time to strengthen our national energy security by replacing the oil we've drained from the Strategic Petroleum Reserve. Failure to do so would have been a grave mistake.''

The administration's plan, which does not require congressional approval, closely mirrors legislation introduced last week by Rep. Mac Thornberry, R-Texas.

At a recent Senate hearing on the state of the energy industry, senators and witnesses chided the administration for not replenishing the reserve at a time when prices are at their lowest level since 1986, and some say the lowest since the Depression when adjusted for inflation.

Since 1995, the government has sold 28 million barrels from the reserve as a revenue-producing measure to offset other federal spending. That oil, Bingaman noted, was sold for an average $19.50 a barrel and can be replenished now at a cost of less than $12 a barrel.

The reserve now holds 563 million barrels, more than 119 million barrels below capacity.

-- Diane J. Squire (, February 13, 1999.

Energy Sec. Richardson said, "...we store for a rainy day."

Hmm, how does he know the first 6 months of 2000 are going to be rainy...

-- rick blaine (, February 13, 1999.

Another report on this can be found at It says Clinton sold 28millions barrels out of the reserve previously to satisfy international debt.

-- Ann Fisher (, February 13, 1999.

Yeah, it is also in USA Today, Money section front page. Says that the amount of oil we now have in reserve is enough to replace 62 days of imports. Imagine if the military gets activated in any way, we'll use it up pretty quick.

-- (@@@.@), February 13, 1999.

Story is also on the front page of the Department of Energy web-site:

-- Diane J. Squire (, February 13, 1999.

Can anyone point me to an authoritative source for the following information:

The number of barrels of oil the US consumes daily

The percentage of that which is imported and the percentage which is produced here in the US.

A rough breakdown of how that oil is consumed (power, commercial transportation, private transportation, etc.)

The current size of our strategic petroleum reserves.

How much oil the Dept of Defense uses daily

I assume the strategic reserve is stored as crude (i.e. no refined products are stored. Is this true?


-- Arnie Rimmer (, February 13, 1999.


That will take some research, but it should be interesting.

As far as the amount we import, my calculations show that it is:

9,080,645 barrels per day.

Boy, if anything goes wrong with the supply chain, the price will go sky high. That is, if the government doesn't hold it for their use!

-- (@@@.@), February 13, 1999.

The American Petroleum Institute Home Page at has information on oil and natural gas.

-- No Spam Please (, February 13, 1999.

Check out this site


-- Mike (, February 13, 1999.

It's Alive! Is government actually stirring? I find this to be the most encouraging news I've heard on y2k in a long time. I didn't know we had a 62 day supply. It's not great but its better than nothing, plus if we can put in another 119 million barrels, that's in the 70 or 80 day range. I wonder if we can store refined product?

-- Puddintame (, February 13, 1999.

There was a story the other at this link about the Strategic Petroleum Reserve...

"U.S. To Add 28 Mln Barrels Oil To Reserve"

-- Kevin (, February 14, 1999.

Its crude, and still has to go through the refining process and the pipeline system.

-- dave (, February 14, 1999.

I posted this url before on another thread but for the newbies this is from a dod briefing papa bear

-- papa bear (, February 14, 1999.

Papa Bear, I got a DoD homepage at that URL. What's the name of the article you're referencing?

-- Puddintame (, February 14, 1999.

"However, the 28 million barrels of oil the DOE plans to transfer in the reserve equals the amount of foreign oil the United States imports in less than four days, according to the latest department data."

Don't get TOO excited!

-- Gayla Dunbar (, February 14, 1999.


If you really want to be precise, it is 3.1 days. Total stockpile, enough for 62 days, or about 2 months.

-- (@@@.@), February 14, 1999.

Oh goodie, all the luxury car and SUV owners can relax! I'm so relieved.

-- Donna Barthuley (, February 14, 1999.

Moderation questions? read the FAQ