US emergency oil reserve sinks to 1982 low
Arabian Post Staff -Dubai US emergency crude holdings have fallen below 300 million barrels for the first time in more than four decades as Washington continues drawing oil from the Strategic Petroleum Reserve to cushion energy markets from Middle East supply disruptions. Stocks in the Strategic Petroleum Reserve dropped by about 5.3 million barrels during the week ended August 14 to 293.4…
The United States emergency crude oil holdings have dropped to their lowest level since 1982, according to recent data. This significant reduction in the Strategic Petroleum Reserve has been driven by ongoing withdrawals to stabilize energy markets amidst supply disruptions in the Middle East. The reserve, which reached a peak of 707.21 million barrels in 2008, now stands at just 293.4 million barrels as of the week ending August 14.
This decline follows months of strategic oil draws initiated in response to conflicts involving the US, Israel, and Iran, which severely impacted oil movements through the Middle East. The International Energy Agency (IEA) authorized a coordinated release of 400 million barrels of oil and petroleum products in March, with the US contributing 172 million barrels.
The Energy Department began releasing crude through emergency exchanges, with companies required to return equivalent volumes later. The reserve, stored in underground salt caverns along the Gulf Coast, has become increasingly strained despite substantial commercial crude holdings, which recently surged by 17.4 million barrels to 424.4 million barrels.
Concerns over the US strategic reserve's diminishing capacity grow as global oil supply forecasts from the IEA project a supply deficit of 1.27 million barrels per day by 2026 due to ongoing Middle East conflicts, tanker attacks, and constrained regional production.
Written by urgent.news from Arabian Post's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
