Last month, the Department of Energy announced its plans to build a gasoline storage reserve in the Northeast. Widespread shortages caused by massive super storm Sandy sparked plans to mitigate future risks in affected Northeastern states.
The gasoline reserve will hold nearly one million gallons of gasoline, providing power to first responders and generators. The $200 million dollar project is set to be finished at the end of this summer, before the 2014 hurricane season begins.
The reserve, however, may be needed sooner considering the continued conflict in Iraq.
The chaos in Iraq has driven crude oil prices to their highest levels in nine months; amid fears that Iraqi oil output could suffer as Sunni militants continue their advance on Baghdad.
U.S. oil production, which reached its highest levels since 1986 last month at nearly 8.5 million barrels a day, has helped create a modest cushion for the country.
The spike in oil prices as a result of the conflict in Iraq is only a glimpse into the future of the crude oil market if America continues to depend upon unstable governments for energy supplies. To protect American citizens, U.S. leaders need to strive for energy independence.
Read the rest of the article at Fuel Fix.