US Interior Secretary Doug Burgum says now is the right time to release global oil reserves to combat higher prices due to Middle East transit issues.
Washington: US Secretary of the Interior Doug Burgum (Picture) said that this is an opportune time to consider releasing global oil reserves to reduce rising energy prices.
His comments follow a Wall Street Journal report that the International Energy Agency has proposed a larger release.
Oil prices have soared after US-Israeli attacks on Iran killed its supreme leader and plunged the Middle East into war.
Iran’s missile and drone attacks and threats have virtually closed the Strait of Hormuz, a vital shipping lane for 20% of global crude oil and LNG.
Asked about the report, Burgum told Fox News that reserves are used for these types of moments.
“We have no shortage of energy here in the world. We have a transit problem which is temporary,” he said.
“This is the right time to think about releasing some of them to take some pressure off the global price.”
The IEA has proposed the largest release of oil reserves in its history to lower crude oil prices.
The release would have included 400 million barrels of oil, more than double the agency’s largest previous release since Russia’s invasion of Ukraine.
Burgum said the United States and its allies have several options to ensure the flow of energy across the global economy.
