STUDY GROUP URGES INCREASED U.S. OIL RESERVES

  A study group said the United States
  should increase its strategic petroleum reserve to one mln
  barrels as one way to deal with the present and future impact
  of low oil prices on the domestic oil industry.
      U.S. policy now is to raise the strategic reserve to 750
  mln barrels, from its present 500 mln, to help protect the
  economy from an overseas embargo or a sharp price rise.
      The Aspen Institute for Humanistic Studies, a private
  group, also called for new research for oil exploration and
  development techniques.
      It predicted prices would remain at about 15-18 dlrs a
  barrel for several years and then rise to the mid 20s, with
  imports at about 30 pct of U.S. consumption.
      The study cited two basic policy paths for the nation: to
  protect the U.S. industry through an import fee or other such
  device or to accept the full economic benefits of cheap oil.
      But the group did not strongly back either option, saying
  there were benefits and drawbacks to both.
      It said instead that such moves as increasing oil reserves
  and more exploration and development research would help to
  guard against or mitigate the risks of increased imports.
  

