From OilPrice, August 2:
- As oil prices have continued to climb, the Department of Energy has pulled back from its offer to purchase 6 million barrels of oil for the SPR.
- Strong demand projections, OPEC+ cuts, and a massive decline in U.S. inventories have all added upward pressure to oil prices.
- Despite the withdrawal of its offer to purchase oil, the Department of Energy claims it remains committed to replenishing the SPR.
The Department of Energy has canceled its offer for the purchase of 6 million barrels for the strategic petroleum reserve amid the latest surge in oil prices.
These hit the highest in three months earlier this week on strong demand projections, OPEC cuts and outages, and a massive 15.4-million-barrel decline in U.S. inventories for the week to July 28.
Last year, to arrest an inexorable climb in retail fuel prices, the White House announced a release of 180 million barrels of crude oil from the strategic petroleum reserve. Critics warned the move would have a limited effect on prices but compromise the energy security of the country by reducing the level of crude in the SPR....
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