U.S. Strategic Petroleum Reserve Nearing Historic Lows Amid War in the Middle East

Objectivity 4.8 | Credibility 4.8 | Relevance 4.9

 The Strategic Petroleum Reserve (SPR) is nearing the lowest level since 1983 due to the Biden administration’s drawdowns and high market prices stalling efforts to replenish it.  This comes amid the Israel-Hamas war that could destabilize global oil supplies.  At the end of September, the SPR had about 351.3 million barrels of oil stockpiled, compared to 1983 when it was at or below 350 million barrels for an extended period of time.  According to data from 2021, the Energy Information Administration estimates  U.S. oil consumption to be about 20 million barrels of oil per day. Based on this, if the U.S. had to rely solely on oil in the SPR, the reserve would be depleted in about 17 days, which is about half the historical average of 33 days.  The Biden administration plans to replenish the reserve when oil prices drop to $75 a barrel, but with prices above $80 a barrel in recent months a planned purchase of 6 million barrels in August was cancelled.