U.S. Said to Seek Release of Oil Reserves
http://www.guardian.co.uk/worldlatest/story/0,1280,-5251003,00.html
Friday September 2, 2005 2:46 PM
AP Photo YBOT103
By DAVID RISING
Associated Press Writer
BERLIN (AP) - Chancellor Gerhard Schroeder said Friday the United States has asked for the release of international oil reserves to help deal with the supply shortage in the aftermath of Hurricane Katrina, and that he supports the call for help.
``First of all, the United States has made a request to the International Energy Agency to release parts of the international reserves into the market,'' Schroeder said in a televised statement. ``Certainly, we will support the American request.''
The IEA, a Paris-based oil market watchdog under the Organization for Economic Cooperation and Development, is in consultations with its members on the release of some of their oil products inventories after Katrina shut down some 90 percent of production facilities on the U.S. coast of the Gulf of Mexico.
``What we hear about the discussions is they are talking about 2 million barrels per day for 30 days,'' Schroeder said, emphasizing that the talks were still ongoing and the numbers could change.
IEA officials have said they were in touch with the United States but have not said whether the U.S. has formally requested the release of oil reserves.
Both the United States and Germany are IEA members.
Germany's position has been that the question of releasing the reserves should be decided at the international level and not by the countries individually.
Germany not only has a ``historical duty'' to help the United States in a time of crisis because of the support it received rebuilding after World War II, but also because of the scope of the damage, Schroeder said.
``Everything that we can mobilize will be mobilized,'' he said.
IEA member countries hold some 4.1 billion barrels of public and industry oil stocks, of which roughly 1.4 billion barrels are government-controlled for emergency purposes.
Speaking on Britain's Sky News network, EU security affairs chief Javier Solana said the U.S. administration has approached several EU member states individually for help. ``Whatever they ask for, it will be given from the reserves of oil that the different (EU) countries are providing,'' he said.
Solana did not say if the offers by individual European governments involved supplies of crude or refined oil products, such as gasoline.
British Foreign Secretary Jack Straw, chairing an EU foreign ministers meeting Newport, Wales, said the EU as a whole would play no role in supplying emergency deliveries of oil, but added, ``There might be other assistance that can be offered.''
EU officials said 16 of the 25 EU countries maintain a 90-day strategic oil reserve to deal with any sudden shortfalls in supply. They are Belgium, the Netherlands, Luxembourg, Denmark, Sweden, Finland, France, Germany, Britain, Italy, Portugal, Denmark, Austria, Greece, Ireland and Hungary.
Japan's Ministry of Economy, Trade and Industry said it had received a call from the IEA exploring the option of releasing some oil reserves. Japan has one of the largest petroleum reserves in the world, with 321 million barrels as of June 30.
Separate from the IEA discussions, the European Commission said oil sector experts from all EU nations will meet in special session Sept. 9 to discuss the oil supply situation. They comprise an EU panel that meets twice a year and was founded during the first oil crisis in 1973.
Schroeder also said Foreign Minister Joschka Fischer was meeting with new U.S. Ambassador William Timken to offer a wide range of other German aid to recover from the hurricane, including medical supplies, vaccination teams, water purification technology, medical evacuation aircraft and crisis management experts who could help restore infrastructure and deal with environmental damage.
Friday September 2, 2005 2:46 PM
AP Photo YBOT103
By DAVID RISING
Associated Press Writer
BERLIN (AP) - Chancellor Gerhard Schroeder said Friday the United States has asked for the release of international oil reserves to help deal with the supply shortage in the aftermath of Hurricane Katrina, and that he supports the call for help.
``First of all, the United States has made a request to the International Energy Agency to release parts of the international reserves into the market,'' Schroeder said in a televised statement. ``Certainly, we will support the American request.''
The IEA, a Paris-based oil market watchdog under the Organization for Economic Cooperation and Development, is in consultations with its members on the release of some of their oil products inventories after Katrina shut down some 90 percent of production facilities on the U.S. coast of the Gulf of Mexico.
``What we hear about the discussions is they are talking about 2 million barrels per day for 30 days,'' Schroeder said, emphasizing that the talks were still ongoing and the numbers could change.
IEA officials have said they were in touch with the United States but have not said whether the U.S. has formally requested the release of oil reserves.
Both the United States and Germany are IEA members.
Germany's position has been that the question of releasing the reserves should be decided at the international level and not by the countries individually.
Germany not only has a ``historical duty'' to help the United States in a time of crisis because of the support it received rebuilding after World War II, but also because of the scope of the damage, Schroeder said.
``Everything that we can mobilize will be mobilized,'' he said.
IEA member countries hold some 4.1 billion barrels of public and industry oil stocks, of which roughly 1.4 billion barrels are government-controlled for emergency purposes.
Speaking on Britain's Sky News network, EU security affairs chief Javier Solana said the U.S. administration has approached several EU member states individually for help. ``Whatever they ask for, it will be given from the reserves of oil that the different (EU) countries are providing,'' he said.
Solana did not say if the offers by individual European governments involved supplies of crude or refined oil products, such as gasoline.
British Foreign Secretary Jack Straw, chairing an EU foreign ministers meeting Newport, Wales, said the EU as a whole would play no role in supplying emergency deliveries of oil, but added, ``There might be other assistance that can be offered.''
EU officials said 16 of the 25 EU countries maintain a 90-day strategic oil reserve to deal with any sudden shortfalls in supply. They are Belgium, the Netherlands, Luxembourg, Denmark, Sweden, Finland, France, Germany, Britain, Italy, Portugal, Denmark, Austria, Greece, Ireland and Hungary.
Japan's Ministry of Economy, Trade and Industry said it had received a call from the IEA exploring the option of releasing some oil reserves. Japan has one of the largest petroleum reserves in the world, with 321 million barrels as of June 30.
Separate from the IEA discussions, the European Commission said oil sector experts from all EU nations will meet in special session Sept. 9 to discuss the oil supply situation. They comprise an EU panel that meets twice a year and was founded during the first oil crisis in 1973.
Schroeder also said Foreign Minister Joschka Fischer was meeting with new U.S. Ambassador William Timken to offer a wide range of other German aid to recover from the hurricane, including medical supplies, vaccination teams, water purification technology, medical evacuation aircraft and crisis management experts who could help restore infrastructure and deal with environmental damage.
posted by Marcel at 1:47 PM
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