Tuesday, June 06, 2006

U.S. Can Handle Oil Disruption

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Consumers wouldn't suffer undue hardships in the event Iran disrupts Persian Gulf oil supplies because the Bush administration has a plan "if push were to come to shove," Energy Secretary Samuel Bodman said Tuesday.

Bodman told reporters that in such a scenario, the government would tap its emergency oil reserve. He said he doesn't anticipate an oil supply disruption and said he was speaking hypothetically.

As to any sharp reduction of Iran oil or a disruption in the supply line, Bodman said, "We certainly can handle it for a while. ... There is the Strategic Petroleum Reserve and we have other approaches."
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Iran's supreme leader, Ayatollah Ali Khamenei, said last weekend that if his country is punished because of its nuclear program, Tehran is prepared to disrupt the world's oil supply, including production cuts.

Khamenei said the United States and its allies would be

unable to secure oil shipments passing out of the Persian Gulf through the strategic Strait of Hormuz to the Indian Ocean.

Is anyone else getting tired of messing around with those people?

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