US Strategic Petroleum Reserve crude stocks fall to lowest since 1982
The decline follows years of drawdowns under both the current and previous administrations.
Published
Chart: USO, a fund that tracks crude, daily closes since Sep 2023
Crude oil stocks held in the US Strategic Petroleum Reserve have fallen to their lowest level since 1982.
The drop is the result of drawdowns carried out under both the current and previous administrations rather than a single emergency release.
The decline comes as Saudi Arabia's East-West pipeline, which normally allows oil to move without passing through the Strait of Hormuz, remains shut after a drone attack, officials said. The pipeline may stay mostly offline for three to five weeks. Oil prices neared monthly highs after the shutdown, according to market reporting.
The administration has said it intends to refill the reserve using Venezuelan crude, though moving that oil into the SPR faces hurdles around infrastructure and crude compatibility. Energy Secretary Wright has said he expects reserve levels to be higher by the end of the conflict, a sign the administration is treating the low stockpile as a policy problem to be managed rather than an immediate supply emergency.