US to start rebuying crude oil for SPR in February
Date
12/18/2022 2:39:51 AM
(MENAFN) The US is going to start rebuying crude oil for its Strategic petroleum Reserve (SPR) in February, as declared by the energy Department on Friday.
"This repurchase is an opportunity to secure a good deal for American taxpayers by repurchasing oil at a lower price than the USD96 per barrel average price it was sold for, as well as to strengthen energy security," it stated in an announcement.
The verdict is going to supply American crude oil producers the pledge to make instant funds, as the oil costs they obtain when they trade to the SPR is going to be locked in place, it also mentioned.
This signifies a change from Leader Joe Biden's action in March to release an overall of 180 million barrels from the SPR to back the international oil market that dealt with massive oil provision disruptions because of Russia's conflict on Ukraine.
"This initial step to fulfilling the President's replenishment strategy follows his historic release from the SPR to address the significant global supply disruption caused by (Russian President) Putin's war on Ukraine and provide a wartime bridge for domestic production to increase. The releases have helped lower (gasoline) prices for American families," the announcement also mentioned.
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