Factbox: U.S. readies emergency oil reserves in wake of Saudi attacks

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Factbox: U.S. readies emergency oil reserves in wake of Saudi attacks
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The Trump administration said on Saturday it stood ready to tap U.S. emergency o...

WASHINGTON - The Trump administration said on Saturday it stood ready to tap U.S. emergency oil reserves if needed after attacks in Saudi Arabia shut more than half the crude output in the world’s largest oil exporter.

Yemen’s Iran-aligned Houthis claimed responsibility for the attack that knocked out about 5 million barrels or 5% of global production, but U.S. Secretary of State Mike Pompeo put the blame squarely on Iran. Former Secretary of State Henry Kissinger pushed for the creation of the SPR in 1975, after the Arab oil embargo spiked gasoline prices and damaged the U.S. economy.

Washington in the past has participated in coordinated drawdowns of emergency oil with the Paris-based International Energy Agency, which coordinates energy policies of 30 industrialized nations, including the United States.

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