Comment by cyberax
15 hours ago
One thing about salt domes: they almost by definition are surrounded by very low-permeability dry soils. Because otherwise they would have dissolved long ago!
And a related way to use salt domes is for natural gas storage.
Another related way is to store nuclear waste. The properties (as described in this article, impermeable/self sealing etc.) sound great until the reality that water dissolves salt comes knocking and further confronts you with the reality that salty brine corrodes nuclear waste barrels...
And even helium, which is famous for its ability to leak out of almost any container you put it in.
The US formerly maintained a National Helium Reserve (https://en.wikipedia.org/wiki/National_Helium_Reserve), in fact, until we decided that a helium reserve wasn't all that useful or important.
US has some of the world's largest natural gas deposits, and is a major producer of helium, so it makes less sense to have a strategic helium reserve. Even the SPR was created in the aftermath of the last middle east oil crisis, back when the US was a major net importer of oil, and many people have been saying we should scrap the SPR, as no major oil producer has an SPR.
The problem with the SPR is that it is used to manipulate prices, which was why Biden on the one hand cut oil leases and reduced domestic oil production, but then did major SPR drawdowns before the election to hide the realities of these policies. Now Trump is playing the same game, sanctioning oil producers and creating wars in the middle east, but using the SPR to hide the effects of these policies until after the midterm.
In both cases, we'd probably be better off without an SPR, so all of these actions against oil production would be immediately felt at the pump before the election and voters could respond quickly. It's just too tempting to have this tool to manipulate oil prices that incumbents can use before elections.
Huh? The oil price shock in 2022 and resulting SPR drawdown had nothing to do with oil leases. Prices almost doubled worldwide in the span of a week after Russia invaded Ukraine. Look at any chart of petroleum products and it's clearly visible as a huge, almost vertical line.
The explicit purpose of the SPR is to function as a lever to smooth temporary supply shocks. The US increasing oil output by a few percent in either direction wouldn't have made any difference to global disruption of oil markets from a major exporter to Europe starting a war and then getting sanctioned.