U.S. Won’t Buy Oil to Refill Strategic Petroleum Reserve

2024-04-03 14:00:46

President Joe Biden’s administration dropped its plan to buy oil to refill the Strategic Petroleum Reserve (SPR) due to rising oil prices.

The oil would have gone to Louisiana’s Bayou Choctaw SPR site in August and September.

The administration canceled the purchase despite depleting the emergency supply by 43%, the lowest since the 1980s.

The emergency supply holds 600 million barrels. The supply is at 363 million barrels.

Then again, the administration planned only to buy three million barrels. It’s still better than nothing, though:

The Energy Department has been slowly refilling the emergency oil supply after it reached a 40-year-low following the administration’s unprecedented drawdown of a record 180 million barrels in the wake of Russia’s invasion of Ukraine. It currently holds about 363 million barrels, according to Energy Department data, down from almost 600 million at the start of 2022.

“Domestic crude prices are likely to remain too high for the remainder of the year for DOE to resume its refilling program,” said Bob McNally, president of consultant Rapidan Energy Group and a former adviser to President George W. Bush. “If pump prices keep rising, the Biden administration will shift gears and reconsider SPR releases, though we current do not think they are imminent.”

Officials insisted it canceled the purchase to save the taxpayers some money.

Dude, we know that you hate oil. The administration has been ramming electric vehicles down our throats since it took over.

In December, the Department of the Interior offered the most restrictive offshore drilling plan in U.S. history, months after only proposing three oil drilling leases through 2029.

At the same time, the administration ended oil and gas leases in Alaska except for ConocoPhillips 30-year oil project.


Donations tax deductible
to the full extent allowed by law.

Source link

Daily Cartoon


More Posts

U.S. Won’t Buy Oil to Refill Strategic Petroleum Reserve


Please enter donation amount below


Choose your membership level

$35 billed annually