Oil Crisis As 308,000 Barrels Go Missing, According to Audit

[babylonsister]

Oil Crisis As Barrels Go Missing, According to Audit

January 10, 2008 4:19 PM


Marcus Baram Reports:


How do you not notice when 308,000 barrels of oil go missing?

That's the question government auditors were asking after they looked into the Department of Energy's management of oil received for the Strategic Petroleum Reserve, a critical program to assure energy stability in the U.S. in case of an oil crisis.

To help add to the reserve, DOE receives a portion of the royalty oil that the Department of the Interior gets in return for allowing petroleum companies to drill on government lands and waters.

The department's Inspector General Gregory H. Friedman and his auditors found that in 28 percent of the oil transfers they examined, the amount received did not match the estimated amount to be shipped by the Interior Department's Minerals Management Service.

"To illustrate our findings regarding discrepancies, during a four-month period in Fiscal Year 2005, two Department contractors reported receiving 308,000 barrels of royalty oil less than the amount that MMS had scheduled for delivery to the market center. Yet, despite this significant shortfall, the Department took no action to resolve the discrepancy and to ensure that it had received all of the oil shipped by MMS," according to the audit.

Eventually, the auditors received documentation from MMS to explain reasons for the discrepancy, including "a decision by MMS to sell royalty oil rather than ship it to the Department," although 32,000 barrels could still not be accounted for in the above example.

more...

http://blogs.abcnews.com/theblotter/2008/01/oil-crisis-as-b.html

[lovuian]

1. So how do you steal 308000 barrels without anybody

noticing

[HereSince1628]

2. In a very big truck?

[Viva_La_Revolution]

3. during a four-month period

"...during a four-month period in Fiscal Year 2005, two Department contractors reported receiving 308,000 barrels of royalty oil less than the amount that MMS had scheduled for delivery to the market center."

So we lose 1,232,000 barrels per year. :mad:

[Jackpine Radical]

4. Y'know, that would be enough for a person of modest means like me

to retire on fairly comfortably.