US Interior Secretary Doug Burgum says now is the perfect time to release global oil reserves to counter high prices caused by Middle East transit issues.
WASHINGTON: US Interior Secretary Doug Burgum (pic) said it is an opportune time to consider releasing global oil reserves to ease surging energy prices.
His comments follow a Wall Street Journal report that the International Energy Agency has proposed a major release.
Oil prices have surged since US-Israeli strikes on Iran killed its supreme leader and plunged the Middle East into war.
Iran’s missile and drone strikes and threats have all but shut the Strait of Hormuz, a vital shipping lane for 20% of global crude and LNG.
Asked about the report, Burgum told Fox News that these are the kinds of moments reserves are used for.
“What we have here is not a shortage of energy in the world. We’ve got a transit problem which is temporary,” he said.
“This is the perfect time to think about releasing some of those to take some pressure off of the global price.”
The IEA has proposed the largest release of oil reserves in its history to lower crude prices.
The release would involve 400 million barrels of oil, more than doubling the agency’s biggest prior release after Russia’s invasion of Ukraine.
Burgum added that the United States and its allies have many options to ensure energy keeps flowing to the global economy.
