Strategic Petroleum Reserve Near Historic Lows , Amid War in Middle East.
Strategic Petroleum Reserve Near Historic Lows , Amid War in Middle East.
Fox News reports that drawdowns made to the U.S. Strategic Petroleum Reserve (SPR) have left the emergency stockpile at its lowest level since 1983.
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High market prices have reportedly delayed efforts made to replenish the reserve, as Israel's war against Hamas could destabilize oil supplies worldwide.
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High market prices have reportedly delayed efforts made to replenish the reserve, as Israel's war against Hamas could destabilize oil supplies worldwide.
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According to data from the Energy Information Administration (EIA), the SPR had approximately 351.3 million barrels of oil as of September 29.
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Fox News reports that for most of the last decade, the emergency stockpile has stood at over 650 million barrels.
According to an EIA estimate, the U.S. consumes an estimated 20 million barrels of oil per day.
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This means that the SPR would be depleted after just 17 days if America could no longer access "new domestic production or imports," Fox News reports.
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Fox News reports that the historical average since 1990 has seen the emergency stockpile maintain approximately 33 days worth of oil reserves.
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In 1975, the SPR was created under the Energy Policy and Conservation Act following an oil embargo by OPEC that lasted from 1973 to 1974.
America’s SPR remains the largest in the world and stands ready to deliver on its mission to provide refiners and the American public relief in the event of supply disruptions, United States Department of Energy, via Fox Business.
Initially, the SPR was intended to have a one billion barrel capacity, but it has never reached that level.
Fox News reports that SPR supplies are held at four locations in salt caverns located thousands of feet below ground to prevent leaking oil from seeping out.
