Crude oil inventories in the US Strategic Petroleum Reserve (SPR) fell by 6.1 million barrels last week, reaching their lowest level since 1983, according to Department of Energy data released Monday.
The reserve held 298.7 million barrels as of Aug. 7, including 105.3 million barrels of sweet crude and 193.4 million barrels of sour crude.
The latest decline followed a reduction of approximately 2.8 million barrels the previous week, when SPR inventories stood at 304.8 million barrels.
The drawdowns are part of Washington’s commitment to release 172 million barrels from the SPR under a coordinated initiative by members of the International Energy Agency aimed at addressing global supply disruptions and high energy prices.
The wider initiative involves releasing 400 million barrels of oil and refined petroleum products from emergency reserves held by participating countries.
The US Energy Department has primarily arranged the releases through exchanges, requiring companies receiving crude oil to return the borrowed volumes later along with additional barrels as a premium.
The SPR is stored in underground salt caverns along the Gulf coasts of Texas and Louisiana. It has an authorized capacity of approximately 714 million barrels and a maximum nominal withdrawal capacity of 4.4 million barrels per day.
NEWS DESK
PRESS UPDATE