Congressional Leaders Call on President to Explain News Reports of a Saudi Oil Deal

WASHINGTON, April 19 -- In a letter sent today, House Democratic Leader Nancy Pelosi, Democratic Whip Steny Hoyer, and Democratic Caucus Chair Bob Menendez demanded a response to news reports alleging President Bush struck a deal with Prince Bandar of Saudi Arabia to lower oil prices prior to the November 2004 election.

"Mr. President, we request that you fully explain the agreement that you or your Administration reached with the Saudis to boost oil production and disclose any promises or commitments that have been made to the Saudis," the Members of Congress wrote.

  The following is the full text of the letter:

   April 19, 2004
   The President
   The White House
   1600 Pennsylvania Avenue
   Washington, D.C. 20500

  Dear Mr. President:

Americans have struggled under the burden of record-setting gasoline prices over the last few weeks. However, on last night's episode of "60 Minutes," Bob Woodward, author of the new book "Plan of Attack," made the startling assertion that you have an agreement with Prince Bandar, the Saudi ambassador, that the Saudis will lower oil prices to benefit you on election day.

The television show "60 Minutes" reported that, "Prince Bandar enjoys easy access to the Oval Office. His family and the Bush family are close. And Woodward told us that Bandar has promised the president that Saudi Arabia will lower oil prices in the months before the election to ensure the U.S. economy is strong on Election Day."

Additionally, "Bandar wanted Bush to know that the Saudis hoped to fine- tune oil prices to prime the economy in 2004. What was key, Bandar understood, were the economic conditions before a presidential election." According to Bob Woodward, "[Oil prices are] high, and they could go down very quickly. That's the Saudi pledge. Certainly over the summer or as we get closer to the election, they increase production several million barrels a day and the price would drop significantly."

In effect, Mr. Woodward is alleging that you have an understanding with the Saudis that the Saudis will manipulate gasoline prices for your political advantage. Such an allegation would strain credulity under normal circumstances. However, Mr. Woodward has had exceptional access within the Administration. In preparation for his book, he interviewed 75 top military and Administration officials, including two long interviews with you.

Mr. President, we request that you fully explain the agreement that you or your Administration reached with the Saudis to boost oil production and disclose any promises or commitments that have been made to the Saudis on behalf of the U.S. Additionally, we request that you explain what steps you are taking today to address excessive gasoline prices, and why your Administration has not pressed the Saudis to increase their production prior to this year's driving season.

  We urge you to respond promptly to these concerns.

  Sincerely,

  Nancy Pelosi, Democratic Leader
  Steny Hoyer, Democratic Whip
  Robert Menendez, Democratic Caucus Chair