The United States is ready to release more barrels of crude oil from its stockpile, the State Department’s senior adviser told CNBC today.
The Biden administration announced last week that 50 million barrels of crude oil would be released from the Strategic Petroleum Reserve.
But according to Amos Hochstein, senior energy security adviser to the US State Department, the United States has enough to release.
Out of 50 million barrels, 32 million barrels will be released from emergency reserves – that means those barrels will be filled at some point.
“This is a tool that has been and will be available to us,” said Hosteinstein.
OPEC + reaffirms that the United States should continue to meet not only a few days ago, but also with a planned 400,000 barrel increase, not only pause or cut production, but that the recent law and 50 million BPD release could partially eliminate SPR by 2032. It will arrive on the same day, according to US Energy Information Administration.
This includes adjusting 87.6 million barrels and 160 million barrels from the US Facility Transport and Bilateral Budget for 2028 to 2031.
If the SPR is halved by 2032, this will bring the SPR to its lowest level since March 1983, the IAA added.
Oil prices plummeted over the weekend due to fears of a new overcrowding, but eased slightly on Monday.
By Julian Giger for Oilprice.com
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