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Hoarding is exactly what the government is doing right now by filling the SPR, and frankly it's the best thing that could happen. It drives prices up. High prices encourage demand destruction. They also finance new well development. The hoarded oil gives us a buffer to fall back on once shortages become more prevalent. High prices are what we need in order to adapt to what's coming, and the sooner they happen, the better.

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Iran Says It Won't Use Oil As a Weapon
Public Policy; Political and Legal NewsGENEVA - Iran's foreign minister said Friday his country would not use oil as an economic weapon against those countries pressing Tehran over its suspect nuclear program.

Iran is second to Saudi Arabia as an oil producer in the Organization of Petroleum Exporting Countries. Foreign Minister Manouchehr Mottaki said Iran had medium- and long-term obligations to supply oil to different countries, especially in Asia.


"We are not going to use oil as political leverage in conducting our foreign policy," Manouchehr Mottaki said during an appearance at a security think tank in Geneva. "We will respect our obligations in energy."

Mottaki, who was in Geneva for a speech to the 65-nation Conference on Disarmament, made similar comments earlier this month, casting doubts on a statement by Interior Minister Mostafa Pourmohammadi.

AP

Posted on Friday, March 31 @ 06:37:52 PST by Leanan
 
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