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...dismay of most participants, during the hypothetical crisis the U.S. Energy Department did not move to control supplies or limit the price of oil. As a result, U.S. oil prices zoomed to a theoretical $98 per bbl., with gasoline priced at $2.83 per gal. As Wisconsin Energy Administrator Roy Christiansen recalls: "The Feds didn't seem to be concerned, or want to deal with it." During the game, Wisconsin energy officials telexed Washington: "We hope it will not take the economic collapse of one of these cities . . . before the Administration realizes that its [noninterventionist] policies have failed and must...

Author: /time Magazine | Title: Over a Barrel | 10/3/1983 | See Source »

...second study, completed in March by the Congressional Research Service, confirmed that the "ceiling" could go as high as $130 per bbl. in a crisis. If one had erupted in 1982, the study concluded, the gross national product of Western nations would have dipped by an additional...

Author: /time Magazine | Title: Over a Barrel | 10/3/1983 | See Source »

...most serious charges against Rich and Green in last week's indictment is that during the hostage crisis in Iran they bought 6.2 million bbl. of crude worth $200 million from the National Iranian...

Author: /time Magazine | Title: Marc Rich's Road to Riches | 10/3/1983 | See Source »

...buying and selling grains and metals. One of his biggest market coups came during the Arab oil embargo of 1973-74, when he used his Middle Eastern contacts to circumvent the embargo and buy crude oil from Iran and Iraq. After purchasing the crude for roughly $12 per bbl. Rich doubled the price and sold it to supply-starved U.S. oil companies. Successes like that inflated Rich's already ample ego, and in 1974 he and Co-Worker Green set up their own company...

Author: /time Magazine | Title: Marc Rich's Road to Riches | 10/3/1983 | See Source »

...Texas firms, West Texas Marketing of Abilene and Listo Petroleum of Houston, carried out an oil-laundering and profit-hiding scheme. In the first step of the process, Rich allegedly went to domestic producers and bought crude oil that had Government-controlled prices as low as $5 per bbl. Rich then supplied the oil to the Texas firms at the legal price. The Texas companies, according to federal officials, laundered the crude through a series of purchases so that it was difficult for Government regulators to trace the oil's origin. Then the Texans sold it back to Marc...

Author: /time Magazine | Title: Marc Rich's Road to Riches | 10/3/1983 | See Source »

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