It was an interesting idea - the entire movie based itself on a cascade effect.
A: Hurricane Disrupts Supply (Initial), international chaos to follow.
B: Port of Houston Shutdown - Supply Disruption Continues/Refining Capacity lost.
C: Civil rioting, national speed limit, chaos to follow.
D: Teamster strike, farmer strike, more civil rioting.
E: More Oil Imports
F: More Oil Terrorism - Supply Disruption/Refining Capacity loss
G: More Oil Imports
H: Oil goes to China (Who is on track to supercede US consumption by the way)
I: Oil comes back to US
In the end, all becomes well because refining capacity is restored and supply comes back because the US makes a deal with Russia.
Now, the chances of all those events happening specifically are not very high, but a few things are true.
Refining capacity IS at 100%. There is no refining capacity left. The last new refinery was built 30 years ago and increasing capacity is not something that happens overnight. You cant flip a switch and make things happen.
If the US has a loss of one refinery due to fire/whatever, there can be a loss of 1-3% of the entire national production.
The entire US economy is based on the concept of relatively inexpensive energy costs. If gas were to hit $5 a gallon, many industries would bankrupt themselves.
The SPR does have a capacity of over 700 million barrels. That can sustain the US for two months. HOWEVER - that is a calculation based on consumption of fuels, not the time it takes to initiate the drawdown, bidding, physical transportation of product and then refining.
if all hell broke loose and they needed to drain the SPR as fast as possible to ship crude to the refiners - and meet the "59 day import protection" status they would have to draw over 11 million barrels a day. I think that is physically IMPOSSIBLE to draw that kind of volume in 24 hours.
When Clinton released 30 million barrels from the SPR, that is based on 1 million barrels being released daily and then sold to the highest bidder.
Some things to think about...
A: Hurricane Disrupts Supply (Initial), international chaos to follow.
B: Port of Houston Shutdown - Supply Disruption Continues/Refining Capacity lost.
C: Civil rioting, national speed limit, chaos to follow.
D: Teamster strike, farmer strike, more civil rioting.
E: More Oil Imports
F: More Oil Terrorism - Supply Disruption/Refining Capacity loss
G: More Oil Imports
H: Oil goes to China (Who is on track to supercede US consumption by the way)
I: Oil comes back to US
In the end, all becomes well because refining capacity is restored and supply comes back because the US makes a deal with Russia.
Now, the chances of all those events happening specifically are not very high, but a few things are true.
Refining capacity IS at 100%. There is no refining capacity left. The last new refinery was built 30 years ago and increasing capacity is not something that happens overnight. You cant flip a switch and make things happen.
If the US has a loss of one refinery due to fire/whatever, there can be a loss of 1-3% of the entire national production.
The entire US economy is based on the concept of relatively inexpensive energy costs. If gas were to hit $5 a gallon, many industries would bankrupt themselves.
The SPR does have a capacity of over 700 million barrels. That can sustain the US for two months. HOWEVER - that is a calculation based on consumption of fuels, not the time it takes to initiate the drawdown, bidding, physical transportation of product and then refining.
if all hell broke loose and they needed to drain the SPR as fast as possible to ship crude to the refiners - and meet the "59 day import protection" status they would have to draw over 11 million barrels a day. I think that is physically IMPOSSIBLE to draw that kind of volume in 24 hours.
When Clinton released 30 million barrels from the SPR, that is based on 1 million barrels being released daily and then sold to the highest bidder.
Some things to think about...
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