T. Boone Pickens appeared on CNBC and suggested that oil prices – which have fallen quickly over the past several weeks – would fall another $5 per barrel but that natural gas would go to $4 per million cubic feet (Mcf) from its current level of just below $3/Mcf.
He told CNBC’s Maria Bartiromo that “There are 750 million barrels of oil in the Strategic Petroleum Reserves, and I’d start looking at taking maybe half of that out of there,” he said. “We don’t need to store that much oil.”
Pickens reminded viewers that there are about 18 million barrels of oil shipped through the Strait of Hormuz each day but only about 2.2 million are bound for the U.S. Yet American taxpayers pick up the entire tab of protecting that oil with at least two carrier battle groups.
You can read the summary on CNBC.com HERE
— The Pickens Team