The Energy Department will review other requests for oil from the Strategic Petroleum Reserve
Texas Gov. Greg Abbott, (C), greets Energy Secretary Rick Perry, (R), as they prepare to visit areas affected by Hurricane Harvey, Thursday, Aug. 31, 2017, in Corpus Christi, Texas. photo: AP/Eric Gay, photo: AP/Eric Gay
31 of August 2017 14:27:10
WASHINGTON — Energy Secretary Rick Perry said Thursday he is releasing 500,000 barrels of crude oil from an emergency stockpile in a bid to prevent gasoline prices from spiking in the wake of disruptions caused by Harvey.Perry said he's authorized immediate shipments of crude to the Phillips 66 refinery in Lake Charles, Louisiana. The oil will be replenished under an exchange arrangement similar to a loan.The Energy Department will review other requests for oil from the Strategic Petroleum Reserve, an emergency stockpile that guards against supply disruptions, a spokeswoman said.The petroleum reserve was created in the wake of the 1970s Arab oil embargo. The reserve stores oil at four underground sites in Texas and Louisiana.Gasoline prices have increased by at least 10 cents a gallon since Harvey came ashore and caused record flooding, shutting down oil refineries along the Texas and Louisiana coasts. More than one-fifth of U.S. refining capacity has been shuttered, according to S&P Global Platts.