U.S. Taps Strategic Oil Reserve Again as Prices Surge and Stockpiles Hit 42-Year Low
Source Summary
The U.S. Department of Energy authorized an emergency exchange of up to 400,000 barrels from the Strategic Petroleum Reserve to Phillips 66's Lake Charles refinery in Louisiana to address a temporary crude supply disruption. The oil will be drawn from the reserve's West Hackberry site and is available for immediate delivery. Crude prices have climbed above $117 per barrel, while the Strategic Petroleum Reserve stands at its lowest level since 1982.
Why it matters
The Strategic Petroleum Reserve's depletion to 42-year lows while crude prices remain elevated signals constrained U.S. emergency energy capacity at a time of supply disruptions.
