Shrub uses Katrina to Boost Oil Companies Bottom line....

[MazeRat7]

Well that's not _exactly_ the headline... but Shrub plans to tap the strategic oil reserves to help mitigate the loss in daily refinement capacity as a result of Katrina.

http://www.cnn.com/2005/POLITICS/08/29/katrina.bush.ap/index.html

All things being equal, I would agree this is a good move to keep prices from spiking. We (the US) only have about a 1.5Mbbl/day margin of error which will be challenged due to Katrins and yes he did do this with Ivan. However.. there is one major difference. The cost/bbl today vs a year ago when Ivan struck.

You see... if you dip into the national reserve, you have to replenish it (soon - by law)). So basically he plans to release oil purchased for somewhere around 30-40/bbl and replace it with oil that is over $60/bbl. Hummmm..... I would take that investment any day. How about you ?

I can hear them at the White House now...*tee hee... "ya know this is a win win... I get to look like a savior and my pards get "denero" in their pocket...."

Just my $.02 observation since things are never as they seem.

MZr7

[SammyWinstonJack]

1. Almost a trifecta? nt

[Skink]

2. Does the oil in the reserves still need to be refined?

[SammyWinstonJack]

3. I think so. nt

[MazeRat7]

4. Silly Rabbit -of course. Thats why its called a "crude oil" reserve. *grin