The United States has said it will release 172 million barrels of oil from its Strategic Petroleum Reserve as the Iran-US war has started to take toll on the global energy supplies. This comes amid Iran’s retaliation keeping the Strait of Hormuz, the key passage that facilitates the transport of roughly a fifth of the world’s oil and liquefied natural gas, blocked. Track Iran US war updates
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“President Trump authorized the Department of Energy to release 172 million barrels from the Strategic Petroleum Reserve, beginning next week. This will take approximately 120 days to deliver based on planned discharge rates,” US secretary of energy Chris Wright said in a statement.
Wright said that US President Donald Trump has promised to ‘protect America’s energy security by managing the Strategic Petroleum Reserve responsibly’. “This action demonstrates his commitment to that promise,” Wright said, adding that the US has arranged ‘to more than replace these strategic reserves.’
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“Unlike the previous administration, which left America’s oil reserves drained and damaged, the United States has arranged to more than replace these strategic reserves with approximately 200 million barrels within the next year—20% more barrels than will be drawn down—and at no cost to the taxpayer,” Wright said as he accused Iran of intending to kill Americans for 47 years. “They have manipulated and threatened the energy security of America and its allies. Under President Trump, those days are coming to an end,” he said.
“Rest assured, America’s energy security is as strong as ever.”
Flashpoint Strait of Hormuz
Earlier, while speaking to Fox News, Wright expressed hope that things along the Strait of Hormuz will normalise in the coming weeks. “This is to tide the world over while these flows are restricted by Iran, but ultimately the United States military will prevail,” Wright was quoted as saying. “Hopefully in the next few weeks we will start to see ship traffic returning to the Strait of Hormuz.”
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Meanwhile, in a stark warning, Iran has said the world should be ready for oil at $200 a barrel as it targeted at several tankers in Iraqi waters and other ships near the strategic Strait of Hormuz, including a Thailand-flagged cargo ship bound for India.
One killed in Iraq
Meanwhile, at least one person was killed in Iraq on Thursday in deadly strike at Basra port, officials were quoted as saying by the Associated Press. The strike forced the authorities to halt operations at all the country’s oil terminals.
The officials said a ship engaged in a ship-to-ship transfer of oil in the Basra port on the Persian Gulf was targeted in the attack, adding that it wasn’t clear if the ship was attacked in an air strike or by seaborne drone. Thirty eight people have been rescued after the attack.