WSJ: U.S. strategic oil stock reaches low

WSJ: U.S. strategic oil stock reaches low


The US strategic stock of crude oil fell to 427 million barrels, reported The Wall Street Journal, citing the weekly report US Energy Information Administration. Oil reserves have reached their lowest level since 1984.

The EIA said oil reserves fell by nearly 7 million barrels in the week ended September 16. Prior to this, oil reserves amounted to 434.1 million barrels.

Since 1983, the country's strategic oil reserves (SPR) have been smaller than those stored in commercial storage. According to EIA data, at the end of the previous week, oil reserves, excluding state reserves, were 3.6 million more than the state stock.

In March, US President Joe Biden announced on plans to release oil from the strategic reserve. The White House announced that the United States would release 1 million barrels of oil per day for six months. As explained in Washington, the decision is connected with the desire to reduce gasoline prices, which rose after the ban on the supply of Russian oil to the United States. Oil from the strategic reserve will be sold to refiners.

Biden's decision came as a surprise to members of the International Energy Agency (IEA), Reuters wrote in May. IEA sources said the IEA was concerned that Washington was using the strategic reserve "to contain runaway domestic inflation for political reasons" rather than taking action to protect consumer countries from potential supply disruptions.



Source link