U.S. Released 800,000 Bbl of Crude from SPR Last Week, with Sept Releases Lowest in 6 Months

Dow Jones
2 hours ago

The United States released 800,000 bbl of crude from the Strategic Petroleum Reserve last week, with releases during September marking the smallest total in six months.

There were 283 million bbl held in the reserve as of Friday, the lowest level since October 1982, according to data Monday from the Department of Energy.

That includes 96.8 million bbl of sweet crude and 186.2 million bbl of sour crude, the data show.

The latest week's release was made up entirely of sour crude.

The week's release brought to 2.2 million bbl the total amount of oil removed from the reserve during September. That's the lowest monthly total since March, when the U.S. began releasing oil in an effort to counter supply disruptions caused by the war with Iran.

In that time, stockpiles in the reserve have fallen by 132.442 million bbl.

That pretty much wraps up the amount of oil so far contracted for release from the reserve.

The Trump administration has pledged to release a total of 172 million bbl from the reserve. However, it has so far only awarded contracts for the release of 133.5 million bbl.

Last week, the administration sought bids for another 40 million bbl from the stockpile.

Releases from the reserve are being conducted under a return-exchange program, with companies that are awarded barrels agreeing to return them, along with additional oil as a premium for the loan.

The latest solicitation is for oil from the reserve's Big Hill and Bryan Mound storage sites in Texas. Bids are due by 11 a.m. CT Tuesday.

 

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