US acquires around 2.5M barrels of oil for strategic reserve
Date
8/25/2024 4:07:14 AM
(MENAFN) The US Department of energy announced that it has acquired nearly 2.5 million barrels of oil to begin replenishing the Strategic petroleum Reserve (SPR) following the largest-ever release from the emergency stockpile in 2022. This effort is part of the department's ongoing strategy to restore the reserve's capacity after significant drawdowns were made to stabilize oil markets.
The department detailed that around 800,000 barrels per month of relatively high-sulfur crude oil will be delivered to the Bryan Mound storage site in Texas. These deliveries are scheduled to take place between January and March of the coming year, ensuring a steady supply to the reserve during that period.
The contract for this purchase, valued at over USD180.3 million, was awarded to Macquarie Commodities Trading. This deal marks a significant step in the government's plan to bolster the SPR's inventory, which had been significantly reduced during last year's unprecedented release of emergency oil supplies.
On August 12, the department had revealed its intention to buy up to 6 million barrels of oil, aiming to secure 2 million barrels each month from January to March. However, when questioned about the possibility of purchasing the remaining 3.5 million barrels for delivery to the Bryan Mound site within that timeframe, the department did not provide an immediate response, leaving the potential for additional purchases uncertain.
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